Section 1367.23 Of Article 5. Standards From California Health And Safety Code >> Division 2. >> Chapter 2.2. >> Article 5.
1367.23
. (a) On and after January 1, 1994, every group health care
service plan contract, which is issued, amended, or renewed, shall
include a provision requiring the health care service plan to notify
the group contractholders in writing of the cancellation of the plan
contract and shall include in their contract with group
contractholders a provision requiring the group contractholder to
mail promptly to each subscriber a legible, true copy of any notice
of cancellation of the plan contract which may be received from the
plan and to provide promptly to the plan proof of that mailing and
the date thereof.
(b) The notice of cancellation from the group contractholder to
the subscriber required by subdivision (a) shall include information
regarding the conversion rights of persons covered under the plan
contract upon termination of the plan contract. This information
shall be in clear and easily understandable language.