In its sales and solicitation materials, a health insurance issuer must disclose that the following specific materials are available upon request:

1. (1) A statement detailing the health insurance issuer's right to change premium rates and the factors that may affect changes in premium rates;
2. (2) A notice detailing renewability of coverage;
3. (3) A description of the geographic area served by the Health Maintenance Organization; and

4. (4) A statement of the benefits and premiums available for all health insurance coverage for which the employer is qualified under permitted contribution and participation requirements.

   This section does not require the disclosure of proprietary information or trade secrets. The disclosure information provided must be in a format that is understandable by the average small employer and sufficient to reasonably inform small employers of their rights and obligations under the health insurance coverage. Examples of reasonable information that may be provided pursuant to this section include rating schedules for each product for which more than one rate applies and maps of the service areas or lists of counties served by a network plan.

Source: 39 SDR 203, effective June 10, 2013.

General Authority: SDCL 58-18B-36(8) ,(9), 58-18B-46.

Law Implemented: SDCL 58-18B-6 , 58-18B-36 , 58-18B-46.