NC General Statutes

N.C. Gen. Stat. § 58-65-1 (2026)

Regulation and definitions; application of other laws; profit and foreign corporations prohibited

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(a) Any corporation organized under the general corporation laws of the State of North Carolina for the purpose of maintaining and operating a nonprofit dental, health care, medical, or vision service plan whereby dental, health care, medical, or vision care or services may be provided in whole or in part by the corporation or by hospitals, physicians, optometrists, or dentists participating in the plan, or plans, shall be governed by this Article and Article 66 of this Chapter and shall be exempt from all other provisions of the insurance laws of this State, unless otherwise provided.

(a1) With the approval of the Commissioner, any corporation organized and subject to the provisions of this Article, the certificate of authority of which authorizes the operation of either a dental, health care, medical, or vision service plan, or any combination of those plans, may do both of the following:

(1) Issue subscribers' contracts or certificates for the provision of, or the payment of fees for, dental, health care, medical, or vision service or care, or any or all of those services or care as applicable.

(2) Enter into contracts with hospitals, physicians, dentists, optometrists, or any or all of those health care providers, for the provision of, or the payment of fees for, services or care under a dental, health care, medical, or vision service plan, or any combination of those plans.

(b) through (c) Repealed by Session Laws 2001-297.

(d) No foreign or alien hospital service corporation shall be authorized to do business in this State. (1941, c. 338, s. 1; 1943, c. 537, s. 1; 1953, c. 1124, s. 1; 1961, c. 1149; 1965, c. 396, s. 1; c. 1169, s. 1; 1967, c. 690, s. 1; 1973, c. 642; 1977, c. 601, ss. 1, 31/2; 1985, c. 735, s. 2; 1993, c. 347, s. 3; c. 375, s. 4; 464, s. 3.1; 1995, c. 223, s. 2; c. 406, s. 4; 1997-197, ss. 1, 2; 1999-186, s. 1; 1999-199, s. 2; 1999-210, ss. 5, 6; 2001-297, s. 2; 2001-487, ss. 40(h), 105(a), 105(b); 2003-212, s. 17; 2009-451, s. 21.13(a); 2018-120, s. 4.6(c); 2021-169, s. 1.)

 

Notes of Decisions
Cited in 4 cases, 1998–2019 · leading case: Sykes v. Health Network Solutions, Inc., 828 S.E.2d 467 (N.C. 2019).
Sykes v. Health Network Solutions, Inc., 828 S.E.2d 467 (N.C. 2019). · cites it 6× “Thus, they contend, in addition to its failure to obtain proper licensure, HNS is violating North Carolina’s antitrust statutes by fixing the prices charged by more than one-half of the licensed chiropractors in the state and by monopsony, a buyer-side form of monopoly,2 in…”
State Farm Mut. Auto. Ins. v. Long, 497 S.E.2d 451 (N.C. Ct. App. 1998). · cites it 6× “§ 58-64-1 (1994); dental service corporations, N.C.G.S. § 58-65-1 (1994); health maintenance organizations, N.”
Sykes v. Health Network Solutions, Inc., 2013 NCBC 53 (N.C. Bus. Ct. 2013). · cites it 9× “) {30} Plaintiffs contend that HNS is a “medical service corporation” within the meaning of Section 58-65-1, and that it conducts “utilization review” within the meaning of Section 58-50-61(a)(17).”
Sykes v. Health Network Sols., Inc., 2017 NCBC 72 (N.C. Bus. Ct. 2017). · cites it 6× “Three of those requests ask the Court to declare that HNS operates illegally either as an unlicensed medical-service corporation, defined in N.C. Gen. Stat. § 58-65-1 and subject to licensure under N.”
N.C. Gen. Stat. § 58-65-1(a): 1 case
Sykes v. Health Network Solutions, Inc., 2013 NCBC 53 (N.C. Bus. Ct. 2013). “) {30} Plaintiffs contend that HNS is a “medical service corporation” within the meaning of Section 58-65-1, and that it conducts “utilization review” within the meaning of Section 58-50-61(a)(17).”
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