THE INSURANCE CODE OF 1956
Act 218 of 1956
500.3711 Small employer carrier; guaranteed renewal; exceptions; modification.
Sec. 3711.
(1) Except as otherwise provided in this section, a small employer carrier that offers health coverage in the small employer group market in connection with a health benefit plan shall renew or continue in force the plan at the option of the small employer.
(2) Guaranteed renewal under subsection (1) is not required in any of the following circumstances:
(a) There is fraud or intentional misrepresentation by the small employer.
(b) For coverage of an insured individual, there is fraud or misrepresentation by the insured individual or the individual's representative.
(c) Lack of payment.
(d) Noncompliance with minimum contribution requirements.
(e) Noncompliance with minimum participation requirements.
(f) The small employer carrier no longer offers that particular type of coverage in the market.
(g) The small employer moves outside the geographic area.
(3) A small employer carrier that offers health coverage in the small employer group market may modify a health benefit plan if the modification is consistent with state law and effective on a uniform basis among all small employers with coverage under the health benefit plan.
History: Add. 2003, Act 88, Eff. Jan. 23, 2004 ;-- Am. 2016, Act 276, Imd. Eff. July 1, 2016
Compiler's Notes:
Former MCL 500.3711, which pertained to mental health services by mental health care provider, was repealed by Act 271 of 2001, Imd. Eff. Jan. 11, 2002.
PopularName Notes:
Act 218
Notes of Decisions
Priority Health v. Comm'r of the Off. of Fin. & Ins. Servs., 770 N.W.2d 457 (Mich. Ct. App. 2009).
· cites it 6× “, may a health maintenance organization require a minimum premiums contribution level from the employer if the level is reasonable and applied uniformly? Priority Health had refused to issue coverage under the act unless the employer contributed either 75 percent of the single…”
Priority Health v. Comm'r of the Off. of Fin. & Ins. Servs., 803 N.W.2d 132 (Mich. 2011).
· cites it 41× “At MCL 500.3711, it states: (1) Except as provided in this section, a small employer carrier that offers health coverage in the small employer group market in connection with a health benefit plan shall renew or continue in force that plan at the option of the small employer or…”
Priority Health v. Comm'r of Off. of Fin. & Ins. Servs., 777 N.W.2d 186 (Mich. 2010).
“, an insurer or licensed health maintenance organization can require an employer to pay a specific percentage of the premium charged for each employee; and (2) whether MCL 500.3711(2) limits the provisions that can be included in such policies.”
— Mich. Comp. Laws § 500.3711(1) — 1 case
Priority Health v. Comm'r of the Off. of Fin. & Ins. Servs., 803 N.W.2d 132 (Mich. 2011).
“At MCL 500.3711, it states: (1) Except as provided in this section, a small employer carrier that offers health coverage in the small employer group market in connection with a health benefit plan shall renew or continue in force that plan at the option of the small employer or…”
— Mich. Comp. Laws § 500.3711(2) — 3 cases
Priority Health v. Comm'r of the Off. of Fin. & Ins. Servs., 770 N.W.2d 457 (Mich. Ct. App. 2009).
“, may a health maintenance organization require a minimum premiums contribution level from the employer if the level is reasonable and applied uniformly? Priority Health had refused to issue coverage under the act unless the employer contributed either 75 percent of the single…”
Priority Health v. Comm'r of the Off. of Fin. & Ins. Servs., 803 N.W.2d 132 (Mich. 2011).
“At MCL 500.3711, it states: (1) Except as provided in this section, a small employer carrier that offers health coverage in the small employer group market in connection with a health benefit plan shall renew or continue in force that plan at the option of the small employer or…”
Priority Health v. Comm'r of Off. of Fin. & Ins. Servs., 777 N.W.2d 186 (Mich. 2010).
“, an insurer or licensed health maintenance organization can require an employer to pay a specific percentage of the premium charged for each employee; and (2) whether MCL 500.3711(2) limits the provisions that can be included in such policies.”
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