Rule 20:06:48:11 Coverage cancellation for nonpayment of premium.
20:06:48:11. Coverage cancellation for nonpayment of premium.
If an account has insufficient funds to allow the automatic withdrawal of the
monthly premium, a second attempt to collect the premium shall be made within
four to six days of the original deduction date. If the account still has
insufficient funds, the risk pool coverage shall be canceled. If a premium
payment is made through any method other than automatic withdrawal, any failure
to make the required premium payment by the premium due date may result in the
risk pool coverage being canceled at the discretion of the risk pool plan. An
enrollee who fails to make a required premium payment shall receive one grace
period in each calendar year. Such enrollee shall be notified of the
once-a-year grace period in writing. The grace period is an additional 15 days
after the cancellation date specified in this section.
30 SDR 51, effective October 28, 2003.
Authority: SDCL 58-17-124(5).
Implemented: SDCL 58-17-124(5), 58-17-136.
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