58-18A-56. Exclusion of certain expenses.
For the purposes of this chapter, the term, allowable expense, may exclude certain types of coverage or benefits such as dental care, vision care, prescription drugs, or hearing aids. A plan that limits the application of COB to certain coverages or benefits may limit the definition of allowable expense in its contract to expenses that are similar to the expenses that it provides. If COB is restricted to specific coverages or benefits in a contract, the definition of allowable expense shall include similar expenses to which COB applies.
If a plan provides benefits in the form of services, the reasonable cash value of each service shall be considered an allowable expense and a benefit paid.
The amount of the reduction may be excluded from allowable expense if a covered person's benefits are reduced under a primary plan because the covered person does not comply with the plan provisions concerning second surgical opinions or pre-certification of admissions or services, or because the covered person has a lower benefit because the covered person did not use a preferred provider.
Source: SL 2006, ch 259, §4.
Structure South Dakota Codified Laws
Chapter 18A - Coordination Of Benefits Of Health Plans
Section 58-18A-53 - Definitions.
Section 58-18A-54 - Allowable expenses defined.
Section 58-18A-55 - Expenses that are not allowable.
Section 58-18A-56 - Exclusion of certain expenses.
Section 58-18A-58 - Contracts and coverages included within definition of plan.
Section 58-18A-59 - Contracts and coverages not included within definition of plan.
Section 58-18A-60 - Application date.
Section 58-18A-61 - Promulgation of rules concerning coordination of health plan benefits.
Section 58-18A-62 - Prohibited grounds for reduction of benefits.
Section 58-18A-63 - Restriction on excess or secondary benefits provisions.
Section 58-18A-64 - Closed panel plans.
Section 58-18A-65 - Prohibition on reduction of benefits for coverage not qualifying as plan.
Section 58-18A-66 - Order of benefit payments.
Section 58-18A-67 - Coordination of benefits only available to secondary plans.
Section 58-18A-68 - Order of benefits determined under §§ 58-18A-69 to 58-18A-74.
Section 58-18A-69 - Plan covering person other than as dependent.
Section 58-18A-70 - Plan covering dependent child.
Section 58-18A-71 - Plan covering person as active employee.
Section 58-18A-72 - Coverage under COBRA or right of continuation.
Section 58-18A-73 - Plan covering person for longer period of time.
Section 58-18A-74 - Sharing of allowable expenses equally.
Section 58-18A-75 - Calculation of amount to be paid by secondary plan.
Section 58-18A-76 - Plan providing benefits as services.
Section 58-18A-77 - Coordination of benefits of complying and noncomplying plans.
Section 58-18A-79 - Subrogation distinguished.
Section 58-18A-80 - Paying of claim where plans disagree on order of benefits.
Section 58-18A-81 - Time for bringing existing contract into compliance with statutory requirements.
Section 58-18A-82 - Proceedings not subject to statutory requirements.
Section 58-18A-83 - Duties, rights accrued, and offenses committed prior to July 1, 2007.