Section R20-6-1802. Application for Certificate of Authority

A.      A person who wishes to operate as prepaid dental plan organi- zation in Arizona shall file an application for certificate of authority under A.R.S. § 20-1003 for the director’s review and approval under A.R.S. § 20-1004. The application shall con- tain all the information required in A.R.S. § 20-1003 and R20- 6-1802.

B.       An authorized insurer shall issue the fidelity bond required under A.R.S. § 20-1004(A)(4).

C.      An Organization shall not commence operation of, or service under, a prepaid dental plan without approval of the director under A.R.S. § 20-1004.

D.      An application is deemed filed with the director when the director receives it. The applicant shall include fees under

A.R.S. § 20-167 with the application.

E.       An applicant not domiciled in this state shall file a power of attorney as required by A.R.S. § 20-1003(A)(11) on a Depart- ment-prescribed form, with the application.

F.       Within 180 days after the director issues a certificate of authority to an Organization, the Organization shall notify the director in writing of each member appointed to the board of directors for the Organization under A.R.S. § 20-1003(A)(4).

G.      At the time it submits its application for certificate of author- ity, an Organization shall submit a written program of compli- ance with supporting documents that specify how the Organization will comply with the provisions of this Article. The written program of compliance shall contain the follow- ing:

1.        The responsibilities of and qualifications for the follow- ing positions:

a.         The Organization’s chief executive officer, and

b.        The Organization’s dental director;

2.        A plan for provision of basic dental services required under R20-6-1806(A) and a copy of the schedule of bene- fits required under R28-6-1806(B);

3.        A description of the system for delivery of services under R20-6-1807;

4.        A description of the geographic area designated under R20-6-1808;

5.        A plan for compliance with contract requirements under R20-6-1809 and a copy of a contract with a general den- tist and a specialist;

6.        A plan for compliance with records requirements under R20-6-1810; and

7.        The Organization’s quality improvement plan under R20- 6-1811.

H.      An application shall include the following information:

1.        The proposed number of members, and

2.        A copy of a letter from each network dentist that docu- ments the dentist’s intent to contract with the Organiza- tion to provide services to patients under the Organization’s prepaid dental plan.

I.        The director may require that an applicant for a certificate of authority under A.R.S. § 20-1003(A)(14) submit information that discloses biographical, employment and business finan- cial history, criminal activity, fingerprints, or any information that relates to the ability to operate a prepaid dental plan for principals, principal officers, controlling persons, and insur- ance producers of the applicant, if necessary for the protection of residents of this State.

Historical Note

New Section made by final rulemaking at 8 A.A.R. 463, effective January 10, 2002 (Supp. 02-1).