Code of the District of Columbia

§ 31–3303.13c. Licensing requirement for certain multiple employer welfare arrangements.

(a) A multiple employer welfare arrangement that is not fully insured, as described in subsection (c) of this section, shall not operate in the District or market, offer, or issue a health benefit plan to any individual or employer in the District without first meeting the requirements for, and becoming licensed as, an insurer, a hospital and medical services corporation, a fraternal benefit society, or a health maintenance organization.

(b) The existence of contracts of reinsurance shall not be considered in determining whether a multiple employer welfare arrangement is fully insured.

(c) For the purposes of this section, a multiple employer welfare arrangement is not fully insured unless the covered benefits it provides are:

(1) Insured on a direct basis by an insurance company licensed to transact the business of insurance in District; or

(2) Arranged for or provided on a direct basis by

(A) A hospital and medical services corporation;

(B) A fraternal benefit society;

(C) A health maintenance organization licensed in the District; or

(D) Any combination of these entities.