376.436. Discontinuance notice by carrier, contents--notice forms furnished by carrier for distribution to policyholders. - Missouri Statutes

Discontinuance notice by carrier, contents--notice forms furnished bycarrier for distribution to policyholders.

376.436. 1. Any notice of discontinuance so given by the carriershall include a request to the group policyholder or other entity involvedto notify employees covered under the policy or contract of the date as ofwhich the group policy or contract will discontinue and to advise thatunless otherwise provided in the policy or contract, the carrier shall notbe liable for claims for losses incurred after such date. Such notice ofdiscontinuance shall also advise, in any instance in which the planinvolves employee contributions, that if the policyholder or other entitycontinues to collect contributions for the coverage beyond the date ofdiscontinuance, the policyholder or other entity may be held solely liablefor the benefits with respect to which the contributions have beencollected.

2. The carrier will prepare and furnish to the policyholder or otherentity at the same time a supply of a notice form to be distributed to theemployees or members concerned indicating such discontinuance and theeffective date thereof, and urging the employees or members to refer totheir certificates or contracts in order to determine what rights, if any,are available to them upon such discontinuance.

(L. 1985 H.B. 623, A.L. 1999 H.B. 903)