28 CA ADC § 1300.67.12


      28 CCR s 1300.67.12

      Cal. Admin. Code tit. 28, s 1300.67.12


      CALIFORNIA CODE OF REGULATIONS
      TITLE 28. MANAGED HEALTH CARE
      DIVISION 1. THE DEPARTMENT OF MANAGED HEALTH CARE
      CHAPTER 2. HEALTH CARE SERVICE PLANS
      ARTICLE 7. STANDARDS
      This database is current through 06/09/06, Register 2006, No. 23.

      s 1300.67.12. Contracts with Solicitor Firms.

      A plan shall not permit a solicitor firm to solicit enrollments or 
      subscriptions on its behalf except pursuant to a written contract which 
      meets all of the following minimum requirements:

      (a) All funds received by the solicitor firm for the account of the plan 
      shall at all times be segregated from the assets of the solicitor firm and 
      shall be promptly deposited to a trust account in a state or federal bank 
      authorized to do business in this state and insured by an appropriate 
      federal insuring agency. "Promptly deposited" means deposited no later 
      than the business day following receipt by the solicitor firm.

      (b) All funds received by the solicitor firm for the account of the plan 
      shall be transmitted to the plan, or to a person designated in the 
      contract, net of actual commissions earned under the particular contract 
      within (5) five business days after such funds are received by the 
      solicitor firm.

      (c) The solicitor firm shall comply and shall cause its principal persons 
      and employees to comply with all applicable provisions of the Act and the 
      rules thereunder.

      (d) The solicitor firm shall promptly notify the plan of the institution 
      of any disciplinary proceedings against it or against any of its principal 
      persons or employees relating to any license issued to any such person by 
      the California Insurance Commissioner.


      


      Note: Authority cited: Section 1344, Health and Safety Code. Reference: 
      Section 1367, Health and Safety Code. 

       HISTORY 
         
      1. Amendment filed 12-20-77 as an emergency; effective upon filing 
      (Register
      77, No. 52).

      2. Amendment filed 1-12-83; effective thirtieth day thereafter (Register 
      83, 
      No. 3).
      28 CA ADC s 1300.67.12

      END OF DOCUMENT

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