North Dakota Administrative Code
Title 45 - Insurance, Commissioner of
Article 45-06 - Accident and Health Insurance
Chapter 45-06-14 - Multiple Employer Welfare Arrangements
Section 45-06-14-07 - Ending self-funding, runoff period, and plan dissolution

1. Termination. A multiple employer welfare arrangement may terminate its self-funded authority and cease to provide coverage effective at the end of a fund year. The multiple employer welfare arrangement must notify the commissioner within ninety days of its decision to terminate. A multiple employer welfare arrangement may not terminate its self-funding authority less than ninety days prior to the end of the fund year in question. The voluntary termination of self-funding authority does not constitute multiple employer welfare arrangement dissolution under subsection 4.

2. Revocation. The commissioner shall, by order, revoke the authority of a multiple employer welfare arrangement to self-fund upon no less than ten days' written notice if any of the following events occur or conditions develop, and if the commissioner determines that the conditions are material:

3. Runoff multiple employer welfare arrangement. A multiple employer welfare arrangement must continue to exist as a runoff multiple employer welfare arrangement after its authority to self-fund has ended, for the purpose of paying claims, preparing reports, and administering transactions associated with the period during which the multiple employer welfare arrangement provided coverage. A runoff multiple employer welfare arrangement must continue to comply with this chapter and with other applicable North Dakota laws and rules.

4. Dissolution. A multiple employer welfare arrangement, including a runoff multiple employer welfare arrangement, must apply to the commissioner for authorization to dissolve. An application must be approved or disapproved within sixty days of receipt. Dissolution without authorization is prohibited and void and does not absolve a multiple employer welfare arrangement or runoff multiple employer welfare arrangement from fulfilling its continuing obligations and does not absolve its members from assessments under subsection 3 of section 45-06-14-14. The multiple employer welfare arrangement's assets at dissolution must be distributed to the members and covered persons as provided in the bylaws. Authorization to dissolve must be granted if either of the following conditions is met: