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. NRS 679B.158 is hereby amended to read as follows:

1-2 679B.158 1. The special investigative account is hereby established

1-3 in the state general fund for use by the commissioner. The commissioner

1-4 shall deposit all money received pursuant to this section with the state

1-5 treasurer for credit to the account. Money remaining in the account at the

1-6 end of any year [does not lapse and] may be used by the commissioner in

1-7 any subsequent year [.] for the purposes set forth in this section.

1-8 2. The commissioner shall [authorize] :

1-9 (a) In cooperation with the attorney general, biennially prepare and

1-10 submit to the legislature a proposed budget for the program established

1-11 pursuant to NRS 679B.153; and

1-12 (b) Authorize expenditures from the special investigative account to pay

1-13 the expenses of the program established pursuant to NRS 679B.153 and of

2-1 any unit established in the office of the attorney general [which] that

2-2 investigates and prosecutes insurance fraud.

2-3 3. The money authorized for expenditures pursuant to paragraph (b)

2-4 of subsection 2 must be distributed in the following manner:

2-5 (a) Fifteen percent of the money authorized for expenditures must be

2-6 paid to the commissioner to oversee the program established pursuant to

2-7 NRS 679B.153; and

2-8 (b) Eighty-five percent of the money authorized for expenditures must

2-9 be paid to the attorney general to enforce the provisions of the program

2-10 established pursuant to NRS 679B.153.

2-11 4. All of the costs of the program established pursuant to NRS

2-12 679B.153 must be paid by the insurers authorized to transact insurance in

2-13 this state. The commissioner shall annually determine the total cost and

2-14 [equally] divide that amount among the insurers [.] pro rata based upon

2-15 the total amount of premiums charged to insureds in this state by each

2-16 insurer, but the amount must not exceed the amount set forth in this

2-17 subsection. The annual amount [so assessed must not exceed $500 per

2-18 authorized insurer.] assessed to each insurer:

2-19 (a) Must not exceed $500, if the total amount of the premiums

2-20 charged to insureds in this state by the insurer is less than $100,000;

2-21 (b) Must not exceed $750, if the total amount of the premiums

2-22 charged to insureds in this state by the insurer is $100,000 or more but

2-23 less than $1,000,000;

2-24 (c) Must not exceed $1,000, if the total amount of the premiums

2-25 charged to insureds in this state by the insurer is $1,000,000 or more but

2-26 less than $10,000,000;

2-27 (d) Must not exceed $1,500, if the total amount of the premiums

2-28 charged to insureds in this state by the insurer is $10,000,000 or more

2-29 but less than $50,000,000; and

2-30 (e) Must not exceed $2,000, if the total amount of the premiums

2-31 charged to insureds in this state by the insurer is $50,000,000 or more.

2-32 5. The commissioner [may] shall adopt regulations [regarding] to

2-33 carry out the provisions of this section, including, without limitation, the

2-34 calculation [and collection] of the assessment.

2-35 6. As used in this section, "insurer" includes the state industrial

2-36 insurance system.

2-37 Sec. 2. NRS 695F.090 is hereby amended to read as follows:

2-38 695F.090 Prepaid limited health service organizations are subject to

2-42 nonrenewal of policies.

3-1 2. NRS 687B.122 to 687B.128, inclusive, concerning readability of

3-2 policies.

3-3 3. The requirements of NRS 679B.152.

3-4 4. The fees imposed pursuant to NRS 449.465.

3-5 5. NRS 686A.010 to 686A.310, inclusive, concerning trade practices

3-6 and frauds.

3-7 6. The assessment imposed pursuant to subsection [3] 4 of NRS

3-8 679B.158.

3-9 7. Chapter 683A of NRS.

3-10 8. To the extent applicable, the provisions of NRS 689B.340 to

3-11 689B.600, inclusive, and chapter 689C of NRS relating to the portability

3-12 and availability of health insurance.

3-13 9. NRS 689A.413.

3-14 10. NRS 680B.025 to 680B.039, inclusive, concerning premium tax,

3-15 premium tax rate, annual report and estimated quarterly tax payments. For

3-16 the purposes of this subsection, unless the context otherwise requires that a

3-17 section apply only to insurers, any reference in those sections to "insurer"

3-18 must be replaced by a reference to "prepaid limited health service

3-19 organization."

3-20 11. Chapter 692C of NRS, concerning holding companies.

3-21 Sec. 3. NRS 616B.197 is hereby amended to read as follows:

3-22 616B.197 1. The system shall comply with:

3-37 of the expenses of the examination.

3-38 Sec. 4. This act becomes effective on July 1, 1999.