(215 ILCS 5/512-5) (from Ch. 73, par. 1065.59-5) (Text of Section before amendment by P.A. 103-897) Sec. 512-5. Fiduciary and Bonding Requirements. A third party prescription program administrator shall (1) establish and
maintain a fiduciary account, separate and apart from any and all other
accounts, for the receipt and disbursement of funds for reimbursement of
providers of services under the program, or (2) post,
or cause to be posted, a bond of indemnity in an amount equal to not less
than 10% of the total estimated annual reimbursements under the program. The establishment of such fiduciary accounts and bonds shall be consistent
with applicable State law.
If a bond of indemnity is posted, it shall be held by the Director of Insurance
for the benefit and indemnification of the providers of services under the
third party prescription program. An administrator who operates more than one third party prescription program
may establish and maintain a separate fiduciary account or bond of indemnity
for each such program, or may operate and maintain a consolidated fiduciary
account or bond of indemnity for all such programs. The requirements of this Section do not apply to any third party prescription
program administered by or on behalf of any insurance company, Health Care
Service Plan Corporation or Pharmaceutical Service Plan Corporation authorized
to do business in the State of Illinois.(Source: P.A. 82-1005.) (Text of Section after amendment by P.A. 103-897) Sec. 512-5. Fiduciary and Bonding Requirements. A third party prescription program administrator shall (1) establish and maintain a fiduciary account, separate and apart from any and all other accounts, for the receipt and disbursement of funds for reimbursement of providers of services under the program, or (2) post, or cause to be posted, a bond of indemnity in an amount equal to not less than 10% of the total estimated annual reimbursements under the program. The establishment of such fiduciary accounts and bonds shall be consistent with applicable State law. If a bond of indemnity is posted, it shall be held by the Director of Insurance for the benefit and indemnification of the providers of services under the third party prescription program. An administrator who operates more than one third party prescription program may establish and maintain a separate fiduciary account or bond of indemnity for each such program, or may operate and maintain a consolidated fiduciary account or bond of indemnity for all such programs. The requirements of this Section do not apply to any third party prescription program administered by or on behalf of any health care payer.(Source: P.A. 103-897, eff. 1-1-25.) |