B. Each utilization review agent and each health care insurer operating in this state whose utilization review system includes the power to affect the direct or indirect denial of requested medical or health care services or claims for medical or health care services shall adopt written utilization review standards and criteria and processes for the review, reconsideration and appeal of denials that do all of the following:

1. 1. Meet the requirements of this article.
2. 2. Are consistent with chapter 1 of this title.
3. 3. Comply with section 20-2505, paragraphs 2 through 6.

C. This article does not apply to utilization review:

1. 1. Performed under contract with the federal government for utilization review of patients eligible for all services under title XVIII of the social security act.
2. 2. Performed by a self-insured or self-funded employee benefit plan or a multiemployer employee benefit plan created in accordance with and pursuant to 29 United States Code section 186(c) if the regulation of that plan is preempted by section 514(b) of the employee retirement income security act of 1974 (29 United States Code section 1144(b)), but this article does apply to a health care insurer that provides coverage for services as part of an employee benefit plan.
3. 3. Of work related injuries and illnesses covered under the workers' compensation laws in title 23.
4. 4. Performed under the terms of a policy that pays benefits based on the health status of the insured and does not reimburse the cost of or provide covered services.
5. 5. Performed under the terms of a long-term care insurance policy as defined in section 20-1691.
6. 6. Performed under the terms of a medicare supplement policy as defined by the department.