A. The association shall be liable to pay claims or to provide alternative health care services for insolvent or financially troubled members who are not fulfilling obligations to provide such services to public assistance recipients under contracts pursuant to Subsection D of Section 3 [59A-42A-3 NMSA 1978] of the Provider Service Network Act. The association's obligation shall commence on the date the secretary of human services gives the association notice that a member is failing, because of insolvency or financial difficulties, to provide some or all of such services.
B. Nothing [in] the Provider Service Network Act shall be deemed to authorize or obligate the association to pay or otherwise assume any obligation of a provider service network prior to the date of notification, or any obligation thereafter other than the obligation to provide services to public assistance recipients under a contract pursuant to Subsection D of Section 3 of the Provider Service Network Act. In no event shall the association be liable to the creditors of a provider service network.
History: Laws 1997, ch. 107, § 9.
Bracketed material. — The bracketed material was inserted by the compiler and it is not part of the law.
Structure New Mexico Statutes
Article 42A - Provider Service Networks
Section 59A-42A-1 - Short title.
Section 59A-42A-2 - Definitions.
Section 59A-42A-3 - Provider service networks; insurance code applicability.
Section 59A-42A-4 - Guaranty association and board; created; membership.
Section 59A-42A-5 - Plan of operation.
Section 59A-42A-6 - Board; powers and duties.
Section 59A-42A-7 - Examination; annual statement.
Section 59A-42A-8 - Assessments; fund created.
Section 59A-42A-9 - Notification to pay claims or provide services.