Washington § 48.46.240 - Funded reserve requirements.

Full text of Washington Revised Code of Washington § 48.46.240 — Funded reserve requirements., with citation guidance and answers to common questions.

§ 48.46.240. Funded reserve requirements.

(1) Each health maintenance organization obtaining a certificate of registration from the commissioner shall provide and maintain a funded reserve of one hundred fifty thousand dollars. The funded reserve shall be deposited with the commissioner or with any organization/trustee acceptable to him or her in the form of cash, securities eligible for investment by the health maintenance organization pursuant to chapter 48.13 RCW, approved surety bond or any combination of these, and must equal or exceed one hundred fifty thousand dollars. The funded reserve shall be established as an assurance that the uncovered expenditure obligations of the health maintenance organization to the enrolled participants will be performed.
(2) All income from reserves on deposit with the commissioner shall belong to the depositing health maintenance organization and shall be paid to it as it becomes available.
(3) Any funded reserve required by this section shall be considered an asset of the health maintenance organization in determining the organization's net worth.
(4) A health maintenance organization that has made a securities deposit with the commissioner may, at its option, withdraw the securities deposit or any part of the deposit after first having deposited or provided in lieu thereof an approved surety bond, a deposit of cash or securities, or any combination of these or other deposits of equal amount and value to that withdrawn. Any securities and surety bond shall be subject to approval by the commissioner before being substituted.
[ 2009 c 549 s 7154; 1990 c 119 s 6; 1985 c 320 s 4; 1982 c 151 s 3.]

Notes

Effective date—1982 c 151: See note following RCW 48.46.020.

Related Washington Legal Topics

Frequently Asked Questions About Washington § 48.46.240

What does Revised Code of Washington § 48.46.240 cover?

Section 48.46.240 ("Funded reserve requirements.") is part of the Revised Code of Washington, the codified statutory law of Washington. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.

How do I cite Washington § 48.46.240?

A common citation format is "Revised Code of Washington § 48.46.240" (Washington). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.

Is this the official text of Washington law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Washington official source linked on this page or consult a licensed Washington attorney.

How does Washington § 48.46.240 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Washington can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Not legal advice. Verify against the official source and consult a licensed attorney in Washington.