58-17A-4 Reasonable benefits required--Regulations to establish minimum standard from loss ratios--...
Reasonable benefits required--Regulations to establish minimum standard from
loss ratios--Policies issued through mail or mass media advertising.
Medicare supplement policies
shall return to policyholders benefits which are reasonable in relation to the premium charged. The
director shall issue regulations to establish minimum standards for loss ratios of medicare
supplement policies on the basis of incurred claims experience or incurred health care expenses
where coverage is provided by a health maintenance organization on a service rather than
reimbursement basis and earned premiums and in accordance with accepted actuarial principles and
practices. For purposes of regulations issued pursuant to this section, medicare supplement policies
issued as a result of solicitations of individuals through the mail or mass media advertising, including
both print and broadcast advertising, shall be treated as individual policies.
Source: SL 1982, ch 360, § 4; SL 1989, ch 431, § 3; SL 1992, ch 347, § 4.