EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

1-1 Section 1. Chapter 679B of NRS is hereby amended by adding thereto

1-2 the provisions set forth as sections 2 to 9, inclusive, of this act.

1-3 Sec. 2. As used in sections 2 to 9, inclusive, of this act, unless the

1-4 context otherwise requires, the words and terms defined in sections 3 and

1-5 4 of this act have the meanings ascribed to them in those sections.

1-6 Sec. 3. "Health care plan" has the meaning ascribed to it in NRS

1-7 679B.520.

1-8 Sec. 4. "Provider of health care" has the meaning ascribed to it in

1-9 NRS 629.031.

1-10 Sec. 5. 1. The office of the ombudsman for insurance is hereby

1-14 and functions of his office; and

2-1 (b) Is in the classified service of the state.

2-2 2. The ombudsman shall receive, investigate and attempt to resolve

2-3 complaints made by or on behalf of:

2-4 (a) Persons who are insured under health care plans;

2-5 (b) Providers of health care who have not been paid promptly by an

2-6 insurer;

2-7 (c) Providers of health care who have not received prompt

2-8 authorization from insurers for medical procedures that are needed by

2-9 their patients; and

2-10 (d) Persons who are insured under policies of motor vehicle

2-11 insurance.

2-12 3. The ombudsman may employ such staff as is necessary to carry

2-13 out his duties.

2-14 Sec. 6. In conducting an investigation, the ombudsman for

2-33 investigation properly.

2-34 Sec. 7. 1. In appropriate cases and under the direction of the

2-35 commissioner, the ombudsman shall refer the results of his investigation

2-36 to the governmental agencies with authority to enforce applicable laws

2-37 and regulations through administrative, civil or criminal proceedings. If

2-38 the investigation indicates that fraud was or is being committed, the

2-39 ombudsman shall forthwith notify the commissioner and the attorney

2-40 general.

3-1 2. The ombudsman shall:

3-2 (a) Provide the commissioner with any information he requests

3-3 concerning an ongoing investigation or resolution of a complaint being

3-4 conducted by the ombudsman; and

3-5 (b) Upon the completion of an investigation or resolution of a

3-6 complaint, submit a report to the commissioner that describes the

3-7 complaint and the results of the investigation or resolution of the

3-8 complaint, as appropriate.

3-9 Sec. 8. 1. An insurer who delivers or issues for delivery in this state

3-10 a health care plan or policy of motor vehicle insurance shall assess each

3-11 policyholder of the health care plan or policy of motor vehicle insurance

3-12 a reasonable fee as prescribed by the division as follows:

3-13 (a) For each individual insured under the health care plan, not more

3-14 than $1 per year; and

3-15 (b) For each individual insured under the policy of motor vehicle

3-16 insurance, not more than 75 cents per year.

3-17 2. The insurer shall remit the money collected pursuant to this

3-18 section to the commissioner in such manner as prescribed by the division.

3-19 Money remitted to the commissioner pursuant to this section must be:

3-20 (a) Accounted for separately; and

3-21 (b) Used to pay the expenses of the office of the ombudsman for

3-22 insurance pursuant to sections 2 to 9, inclusive, of this act, including any

3-23 expenses incident to or associated with the requirements of those

3-24 sections.

3-25 3. Notwithstanding any provision of this Title to the contrary, money

3-26 collected by an insurer pursuant to this section is not a premium.

3-27 Sec. 9. The division shall adopt such regulations as are necessary to

3-28 carry out the provisions of sections 2 to 9, inclusive, of this act.

3-29 Sec. 10. 1. This section and sections 1, 8 and 9 of this act become

3-30 effective upon passage and approval.

3-31 2. Sections 2 to 7, inclusive, of this act become effective on January 1,

3-32 2000.