(215 ILCS 130/2005) (from Ch. 73, par. 1502-5)
Sec. 2005.
Claims liabilities.
(a) Every limited health service organization shall, at all times, maintain
liabilities in an amount estimated in the aggregate to provide for the
payment of all claims incurred and any due and unpaid provider capitation,
whether reported or unreported, which are unpaid and for which such
organization is or may be liable, and to provide for the expense of
adjustment or settlement of such claims. Such liabilities shall be
computed in accordance with regulations promulgated by the Director upon
reasonable consideration of the ascertained experience and character of
such business for the purpose of adequately protecting enrollees and
securing the solvency of such organizations.
(b) Whenever the claim and claim expense experience of any such organization
shows the liabilities calculated in accordance with such regulations to be
inadequate, the Director may require such organization to maintain additional liabilities.
(Source: P.A. 86-600.)
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