Sec. 12. (a) If the department believes that a claim review agent or claim review consultant has violated this chapter, the department shall notify the claim review agent or claim review consultant of the alleged violation.

     (b) The claim review agent or claim review consultant shall respond to a notice given under subsection (a) within thirty (30) days after receiving the notice.

Terms Used In Indiana Code 27-8-16-12

  • claim review agent: means any entity performing medical claims review on behalf of an insurance company, a health maintenance organization, or another benefit program providing payment, reimbursement, or indemnification for health care costs to an enrollee. See Indiana Code 27-8-16-1
  • claim review consultant: means a person who:

    Indiana Code 27-8-16-1.5

  • department: refers to the department of insurance. See Indiana Code 27-8-16-2
     (c) If the department:

(1) believes that a claim review agent or claim review consultant has violated this chapter; and

(2) is not satisfied, based on the response given by the claim review agent or claim review consultant under subsection (b), that the violation has been corrected;

the department shall order the claim review agent or claim review consultant under IC 4-21.5-3-6 to cease all claims review activities in Indiana.

     (d) If the department determines that a claim review agent or claim review consultant has violated this chapter, the department:

(1) shall order the claim review agent or claim review consultant to cease and desist from engaging in the violation; and

(2) may do either or both of the following:

(A) Order the claim review agent or claim review consultant to pay a civil penalty of not more than five thousand dollars ($5,000) if the claim review agent or claim review consultant has committed violations with a frequency that indicates a general business practice.

(B) Suspend or revoke the certificate of registration of the claim review agent or claim review consultant.

     (e) An order issued or a ruling made by the department under this section is subject to review under IC 4-21.5.

As added by P.L.128-1992, SEC.2. Amended by P.L.260-1995, SEC.9.