NAC689C.300. Application for registration; submission of proposed material changes to business plan.

     1. In addition to the requirements of NRS 689C.500, the application for registration must include:

     (a) A statement authorizing the representative of the voluntary purchasing group to complete and file the application;

     (b) A business plan, which must be approved by the Commissioner, that:

          (1) Explains the manner in which the group will reduce the cost of providing health care, increase access to and improve the quality of health care services for those persons eligible for participation in the group; and

          (2) Demonstrates to the Commissioner that the applicant possesses the technical expertise and physical capacity to serve at least 10 percent of the proposed service area in which small employers are not currently being served by an existing group;

     (c) The scope of services to be offered;

     (d) A demonstration that the group is an appropriate and effective representative of the interests of small employers in the service area;

     (e) Biographical information concerning the principals of the group demonstrating that the principals have sufficient expertise, experience and competence to represent small employers in a fiduciary capacity;

     (f) A description of the administrative and accounting procedures established for the operation of the group;

     (g) A description of the manner in which the group will offer insurance coverage through marketing to small employers currently not served by a group;

     (h) A disclosure of any preexisting oral or written agreements;

     (i) Statements and reports that show that the group itself will not bear the financial risk related to coverage;

     (j) An application fee of $1,500; and

     (k) A bond posted or a certificate of deposit or securities deposited in an amount to be determined by the Commissioner of not less than $100,000. The bond or deposit must be accompanied by an irrevocable power of attorney authorizing the Commissioner to transfer the bond or deposit, or any part thereof, for any purpose within the scope of NRS 689C.360 to 689C.600, inclusive.

     2. The application is deemed filed when all required information has been received by the Commissioner.

     3. Any proposed material changes to the operations of the business plan must be submitted to the Commissioner for review and approval.

     (Added to NAC by Comm’r of Insurance, eff. 3-5-96)