762 IAC 2-1-4 Failure to pay assessment

Sec. 4. (a) If a member fails to pay an assessment or capitalization, the commission may do either of the following: (1) Send a notice of coverage cancellation to the delinquent member providing a minimum of ten (10) days notice before the cancellation is effective. (2) Assess the interest specified by statute on any outstanding balance. (b) If a member fails to provide information identified by the commission as necessary for underwriting within ten (10) business days of the member's renewal date the commission may issue a notice of coverage cancellation. Such a cancellation shall be mailed certified mail and shall be effective twenty (20) business days after receipt of the notice by the member. (c) If a member fails to pay an assessment or a capitalization for longer than sixty (60) days, the commission may give written notice to any state agency, including, but not limited to, the treasurer or auditor, of the political subdivision's default on the payment of an assessment or capitalization under this rule. Upon receipt of such notice, any state agency holding money payable to the delinquent political subdivision shall withhold the delinquent amount therefrom and pay the delinquent amount to the commission. The commission shall apply any such payments to the delinquent assessment or capitalization. (d) In the event a member withdraws from the risk management fund or the catastrophic liability fund, there shall be no return of any assessment paid prior to the effective of the termination.