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40-4605. Same; arrangements which serve as inducement to reduce or limit delivery of medically necessary services prohibited; capitation payments or other risk sharing provisions not considered induce

40-4605

Chapter 40.--INSURANCE
Article 46.--MANAGED CARE

      40-4605.   Same; arrangements which serve as inducement to reduce or limitdelivery of medically necessary services prohibited; capitation payments orother risk sharing provisions not considered inducements.No health insurer shall offer or operate a compensationarrangement between such health insurer or its agents and a participatingprovider that may directly or indirectly serve as an inducement to reduce orlimit the deliveryof medically necessary services with respect to an insured in any healthbenefit plan offered by such health insurer. Compensation arrangements whichinvolve capitation payments or other risk sharing provisions shall not beconsidered inducements.

      History:   L. 1997, ch. 190, § 20; July 1.

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