- (a) Non-transferability of Certificate. An independent review organization's certificate is non-transferable, and an independent review organization must surrender its certificate upon sale of the independent review organization.
- (b) Effect of Sale. An independent review organization that has been sold to a new owner must apply for and receive a new certificate pursuant to this subchapter before it can operate as an independent review organization.
- (c) Notification of Sale. An independent review organization must notify the department of an impending sale in writing at least 90 days prior to the date the sale will be finalized. The notification must include the date on which the sale is anticipated to be finalized, and the independent review organization must provide a revised notification of impending sale if the anticipated date for finalization of the sale changes. The notification must be filed with the Texas Department of Insurance at the following address: Texas Department of Insurance, Mail Code 103-6A, P.O. Box 149104, Austin, Texas 78714-9104.
- (d) Obligation to Continue Performing Duties Prior to Sale. An independent review organization must continue to perform all duties prior to the date that the sale of the independent review organization is finalized. Independent reviews will not be assigned to the independent review organization during the 45 days prior to the date that the sale of the independent review organization is finalized. Notification of the impending sale of an independent review organization does not negate the independent review organization's obligation to continue to perform its duties pursuant to the Insurance Code Chapters 1305 and 4202, the Labor Code Title 5, and applicable department and TDI-DWC rules.
- (e) Activities Following a Sale. Upon the sale of an independent review organization, the new owner is prohibited from performing the duties of an independent review organization specified in this chapter, the Insurance Code Chapters 1305 and 4202, the Labor Code Title 5, and applicable department and TDI-DWC rules prior to issuance of the certificate of registration to the independent review organization pursuant to its new ownership.
Source Note:The provisions of this §12.110 adopted to be effective December 26, 2010, 35 TexReg 11281.