N.Y. Insurance Law § 4320: Limitations on administrative services and stop-loss coverage

§ 4320. Limitations on administrative services and stop-loss coverage.

No insurer, subsidiary of an insurer, or controlled person of a holding

company system may act as an administrator or claims paying agent, as

opposed to an insurer, on behalf of a group which denies or limits

benefits for a specific disease or condition or for a procedure or

treatment unique to a specific disease or condition in a manner which

would be inconsistent with this chapter or regulations promulgated by

the superintendent had the group purchased insurance. No insurer,

subsidiary of an insurer, or controlled person of a holding company may

provide stop loss, catastrophic or reinsurance coverage to groups which

deny or limit benefits for a specific disease or condition or for a

procedure or treatment unique to a specific disease or condition in a

manner which would be inconsistent with this chapter or regulations

promulgated by the superintendent had the group purchased insurance. A

limit, maximum, or other mechanism that controls total coverage without

regard to a specific disease or condition shall not be deemed one that

denies or limits benefits for a specific disease or condition, or for a

procedure or treatment unique to a specific disease or condition.

Nothing herein shall be construed to mandate the inclusion of specified

benefits in an employer group plan, if such plan is not subject to the

provisions of this chapter.