14303.1. (Amended by Stats. 1980, Ch. 1073, Sec. 4.)
The department shall have authority to amend a prepaid health plan contract in accordance with the terms of a merger of a prepaid health plan with another organization or organizations other than the plan’s subsidiary corporation, its parent corporation, or another subsidiary of its parent corporation, provided the surviving organization meets the following conditions:
(a)The surviving organization assures the continued and…#
(a) The surviving organization assures the continued and accessible delivery of health care services to enrollees.
(b)The plans concerned have satisfactorily demonstrated…#
(b) The plans concerned have satisfactorily demonstrated the fiscal and administrative soundness of the newly proposed organization.
(c)The enrollees of the plans concerned are informed of…#
(c) The enrollees of the plans concerned are informed of the impending merger, any resulting changes in the service area or delivery of health care services, and such other information required by subdivision (a) of Section 14406 at least 30 days in advance of the merger.