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NORTH CAROLINA STATUTES AND CODES

§ 58-3-185. Lien created for payment of past-due child support obligations.

§58‑3‑185.  Lien created for payment of past‑due child supportobligations.

(a)        In the event thatthe Department of Health and Human Services or any other obligee, as defined inG.S. 110‑129, provides written notification to an insurance companyauthorized to issue policies of insurance pursuant to this Chapter that aclaimant or beneficiary under a contract of insurance owes past‑due childsupport and accompanies this information with a certified copy of the courtorder ordering support together with proof that the claimant or beneficiary ispast due in meeting this obligation, there is created a lien upon any insuranceproceeds in favor of the Department or obligee. This section shall apply onlyin those instances in which there is a nonrecurring payment of a lump‑sumamount equal to or in excess of three thousand dollars ($3,000) or periodicpayments with an aggregate amount that equals or exceeds three thousand dollars($3,000).

(b)        Liens arising underthis section shall be subordinate to liens upon insurance proceeds for personalinjuries arising under Article 9 of Chapter 44 of the General Statutes andvalid health care provider claims covered by health benefit plans as defined inG.S. 58‑3‑172. As used in this section, the term health benefitplans does not include disability income insurance. (1995, c. 538, s. 6(a); 1995(Reg. Sess., 1996), c. 674, ss. 1, 2; 1997‑443, s. 11A.118(a).)

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