NAC689B.310. Converted policies.

     1. If a person is issued a converted policy before the date on which basic and standard health benefit plans were required to be offered pursuant to subsection 1 of NRS 689B.590, the carrier shall notify the person in writing, not less than 60 days before the annual renewal date of the converted policy, of his right to elect a basic or standard health benefit plan as a substitute to his current converted policy. The notice must include, without limitation, the premium rates charged by the carrier for the basic and standard health benefit plans.

     2. A carrier that issues health benefit plans to small employers and large employers in this State shall allocate premium and loss experience on its converted policies issued pursuant to NRS 689B.590 based on:

     (a) The number of persons with converted policies whose most recent coverage was under a health benefit plan issued to a small employer or a large employer relative to the total number of persons with converted policies; or

     (b) The proportion of total premiums earned in the book of health benefit plan business containing small employers or large employers relative to the total premiums earned from all health benefit plans for small employers and large employers during the period of experience.

     3. As used in this section:

     (a) “Large employer” has the meaning ascribed to it in 42 U.S.C. § 300gg-91(e)(2).

     (b) “Small employer” has the meaning ascribed to it in NRS 689C.095.

     (Added to NAC by Comm’r of Insurance by R224-97, eff. 11-16-98)