Nevada Revised Statutes 695B.140 – Reserve fund: Minimum amounts; computation; contracts with hospitals; participation of physicians or dentists
1. No corporation subject to the provisions of this chapter may establish, maintain or operate a hospital, medical or dental service plan unless it has and at all times maintains a reserve fund equal to the following minimum amounts in relation to the number of natural persons entitled to hospital, medical or dental services under contracts issued by the corporation:
Terms Used In Nevada Revised Statutes 695B.140
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Dental services: means general and special dental services ordinarily provided by dentists licensed under the provisions of chapter 631 of NRS to practice in the State of Nevada in accordance with the generally accepted practices of the community at the time the service is rendered, and the furnishing of necessary appliances, drugs, medicines and supplies, prosthetic appliances, orthodontic appliances, metal, ceramic and other restorations. See Nevada Revised Statutes 695B.030
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
1 to 1,000, inclusive…………………………………………………………………………. $100,000
1,001 to 10,000, inclusive………………………………………………………………….. 500,000
10,000 or more…………………………………………………………………………………… 750,000
but such a reserve fund is not required of a corporation acting only as a fiscal administrator of programs funded by public agencies, authorized insurers and other authorized health service plans.
2. In computing the amount of a reserve fund, the Commissioner shall include the amounts agreed to be paid by contracting hospitals to the corporation or its equivalent value of hospital service to be rendered without charge by the contracting hospital to the hospital service corporation.
3. In addition to the reserve fund provided for in this chapter, the Commissioner shall require every corporation subject to this chapter to make, and to maintain in force, such contracts with enough hospitals in the State of Nevada to be adequate, in the opinion of the Commissioner, to provide care for all natural persons entitled to hospital benefits in the State of Nevada under contracts issued by such a corporation.
4. In addition, the Commissioner shall require medical or dental service corporations to give evidence of the participation of a sufficient number of physicians or dentists, in the judgment of the Commissioner, to render the medical or dental services specified under the contract.