(a) The TPA or service company, at a minimum, shall: (1) Periodically render an accounting to the self-insurer detailing all transactions performed by the TPA or service company pertaining to the business underwritten, premium or other charges collected, and claims paid by the self-insurer, when applicable. (2) Deposit all receipts directly into an account maintained in the name of the self-insurer. (3) Pay claims on drafts or checks of and authorized by the self-insurer. (4) Not withdraw from the self-insurer's account except for authority limited to pay claims and refund premiums. (5) Remit return premium, directly from the self-insurer's account, to the person entitled to the return premium. (b) Any check disbursement authority granted to the TPA or service company may be terminated upon the self-insurer's written notice to the TPA or service company or upon termination of the agreement. The self-insurer may suspend the check disbursement authority during the pendency of any dispute regarding the cause for termination.
‹ Prev All North Carolina sections Next ›
Lexace provides legal information, not legal advice, and no attorney–client relationship is created. Statute text is provided for general information and may not reflect the most recent amendments; verify against the official state code.