|
§5509
|
§5509 . Stabilization reserve fund.
|
|
§5509(a)
|
(a) The association shall maintain a stabilization reserve fund. The fund shall be used for payment to the association of any deficit, or for reimbursement to the association's members for payment of any deficit arising out of the operations of the association or for such other purposes as are provided for in (this §) . Except in the case of a premium payment made pursuant to subsection (this §)(c) ,a deficit shall exist whenever the sum of the premiums collected by the association and the investment income on policyholder supplied funds is exhausted in payment of the association's administrative expenses, reserves for loss, reserve for loss adjustment expenses, loss and loss adjustment expenses, and taxes.
|
|
§5509(b)
|
(b) Each qualified health care provider policyholder shall annually pay to the association a stabilization reserve fund charge in an amount equal to 20% of the annual premium charge until the net value of the fund exceeds $50,000,000. Thereafter, such charges shall be made only when the net value the fund is less than $25,000,000 and shall continue annually until the net value of the fund exceeds $50,000,000. There shall be no stabilization reserve fund charge payable or receivable in connection with determining the actuarially appropriate amounts for the provision coverage to comply with the transfer requirements subsections cd section3436 and paragraphs §5504(f)(3) and §5504(f)(4) of this chapter. There shall be no stabilization reserve fund charge payable if the net value of the fund is less than $50,000,000 due to a transfer pursuant to subsections (this §)(c) and (this §)(d) .
|
|
§5509(c)
|
(c) In addition to those purposes provided for in subsection (this §)(a) ,the stabilization reserve fund shall also be used for the payment of premiums for excess or equivalent excess coverage provided pursuant to the program established by chapter 266 of the laws of 1986, as amended, for the period of coverage between July 1st, 2000 and June 30th, 2001.
|
|
§5509(d)
|
(d) The association and such officers and directors thereof responsible for the custody and investment of the stabilization reserve fund shall transfer from such fund and deposit to the hospital excess liability pool created pursuant to §18 of chapter 266 of the laws of 1986 such amounts as directed by the superintendent for the purchase of excess or equivalent excess coverage for eligible participating physicians and dentists for the policy year July 1st, 2000 to June 30th, 2001, and the cost of administering the hospital excess liability pool for such applicable policy year, pursuant to the program established in chapter 266 of the laws of 1986, as amended, no later than July 15th, 2000. Notwithstanding any other provision law, no director, officer, or employee the association, nor the association, nor any public officer or employee, nor any actuary, attorney, or advisor to the association or to the superin10dent shall incur or suffer any liability whatsoever to any person by reason actions taken pursuant to (this §) . Any action which could have been brought against any the persons or parties or entities noted herein, but for the provisions (this §) ,shall be brought against the state.
|
|
§5509(e)
|
(e) Upon termination of the association and the discharge of all of its liabilities any excess funds remaining in the stabilization reserve fund shall be distributed to the policyholders of the association in an equitable manner as set forth in the plan of operation. Source Data downloaded: 2009-04-10 09: 19: 22; Processed: 2009-05-08 15: 36: 21
|