SECTION 24.3. Principles

A discount health care program operator shall:

(1) comply with all applicable statutes of the State of Texas and with all applicable department rules, including Chapter 1, Subchapter D of this title (relating to Effect of Criminal Conduct); Chapter 19, Subchapter Q of this title (relating to Discount Health Care Program Registration); §19.802 of this title (relating to Amount of Fees); and Chapter 21, Subchapter B, Division 2 of this title (relating to Discount Health Care Program Advertising);

(2) lawfully conduct its business with integrity and diligence;

(3) organize and control its affairs responsibly and effectively, with adequate risk management systems;

(4) maintain adequate financial resources to enable it to satisfy its obligations as they are incurred or become due;

(5) pay due regard to the interests of its prospective members, members, and providers by treating them fairly;

(6) pay due regard to the information needs of its prospective members, members, and providers by communicating information to them in a way that is clear, fair, and not misleading;

(7) manage conflicts fairly, between, as applicable:

(A) the discount health care program operator and its members;

(B) the discount health care program operator and its providers; and

(C) members and providers; and

(8) interact with the commissioner in an open and cooperative way and promptly disclose to the commissioner any significant information relating to its ability to continue as a going concern or as a registered discount health care program operator and to its continued financial stability.

Source Note: The provisions of this §24.3 adopted to be effective September 8, 2010, 35 TexReg 8121