(A) The board shall select an insurer through a competitive bidding process to administer the pool. The board shall evaluate bids submitted based on criteria established by the board which includes:

1. (1) the insurer's proven ability to handle accident and health insurance;
2. (2) the efficiency of the insurer's claim-paying procedures;
3. (3) an estimate of total charges for administering the plan;
4. (4) the insurer's ability to administer the pool in a cost-efficient manner;

(B)

1. (1) The administering insurer shall serve for a period of three years subject to removal for cause.
2. (2) At least one year prior to the expiration on each three-year period of service by an administering insurer, the board shall invite all insurers, including the current administering insurer, to submit bids to serve as the administering insurer for the succeeding three-year period. Selection of the administering insurer for the succeeding period must be made at least six months prior to the end of the current three-year period.

(C)

1. (1) The administering insurer shall perform all eligibility and administrative claims payment functions relating to the pool.
2. (2) The administering insurer shall establish a premium billing procedure for collection of premium from insured persons. Billings must be made on a periodic basis as determined by the board.

3. (3) The administering insurer shall perform all necessary functions to assure timely payment of benefits to a covered person under the pool including:

   1. (a) making available information relating to the proper manner of submitting a claim for benefits to the pool and distributing forms upon which submission must be made;
   2. (b) evaluating the eligibility of each claim for payment by the pool.
4. (4) The administering insurer shall submit regular reports to the board regarding the operation of the pool. The frequency, content, and form of the report are determined by the board.
5. (5) Following the close of each fiscal year, the administering insurer shall determine the net loss for the year and report this information to the board and the department on a form prescribed by the commissioner.
6. (6) The administering insurer is paid as provided in the plan of operation for its expenses incurred in the performance of its services.