DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part of the
legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law
or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 341 Original 2016 Regular Session Talbot
Abstract: Provides with respect to the application for registration as a discount medical plan
organization with the commissioner of insurance, by allowing a discount medical plan
organization not domiciled in this state to appoint a La. statutory agent for service of
process.
Present law provides for regulation of discount medical plan organizations by the commissioner of
insurance. Defines a "discount medical plan" as a business arrangement or contract in which a
person, in exchange for fees, dues, charges, or other valuable consideration, provides access for plan
members to providers of medical services and the right to receive medical services from those
providers at a discount. Defines a "discount medical plan organization" as any person or
organization that operates a discount medical plan and contracts with providers, provider networks,
or other discount medical plan organizations to offer access to medical services at a discount.
Present law prohibits any discount medical plan organization from conducting business or otherwise
operating in the state unless it is registered with the commissioner of insurance. Specifies that
registration includes the submission of a detailed application including the following information:
the name and address of each person owning 10% or more of the entity operating the discount
medical plan; a sample copy of a contract with a member which includes a general description of the
member's rights under the discount medical plan; a description of the member complaint procedures
to be established and maintained by the applicant; and the name and address of the applicant's La.
statutory agent for service of process. However, for an applicant not domiciled in this state, instead
requires a power of attorney executed by the applicant, appointing the insurance commissioner as
his agent for service of process.
Proposed law additionally allows an applicant for registration as a discount medical plan
organization which is not domiciled in this state to appoint a La. statutory agent for service of
process. Requires such an applicant to submit such agent's name and address as part of the
information required as part of the application.
(Amends R.S. 22:1260.4(B)(10))