Share this e-Alert:

Polsinelli - Third Party Administrator (TPA) Licensing and Compliance Services Polsinelli - Third Party Administrator (TPA) Licensing and Compliance Services


August 2017


Connecticut and Nevada TPA Requirements







Third Party Administrator Licensing and Compliance Professionals:


Steven L. Imber

Insurance Group Chair


Email | Bio

Member of the Federation of Regulatory Counsel (FORC)


Justin T. Liby


Email | Bio


Jennifer Osborn Nix


Email | Bio



To learn more about our TPA Licensing and TPA Compliance Services, click here.



To learn more about our Insurance Business and Regulatory Law practice, click here.



To learn more about our Tech Transactions and Data Privacy practice, click here.



View Polsinelli documents on JD Supra  
LinkedIn Twitter Facebook Polsinelli Podcast


LinkedIn Twitter Facebook Inside Law Podcast Connect with us on LinkedIn. Connection with us on Twitter. Connect with us on Facebook. Connect with us on LinkedIn. Connection with us on Twitter. Connect with us on Facebook.



New Connecticut Insurance Department Bulletin on Data Security Requirements

Connecticut Bulletin MC-23. The Connecticut Insurance Department issued Bulletin MC-23 on June 13, 2017. The Bulletin addresses certification and notice requirements for data security requirements applicable to TPAs and PBMs (among other entities) per Conn. Gen. Stat. § 38a-999b.

The Bulletin reminds the recipients about the requirement to implement a comprehensive information security program ("ISP") by October 1, 2017, in order to safeguard the personal information of insureds and enrollees. The Bulletin also reminds TPAs and PBMs that, beginning October 1, 2017, they must begin annually certifying to the Connecticut Insurance Department, under penalty of perjury, that they maintain an ISP in compliance with 38a-999b.

The Bulletin states that the certification shall be in the form as shown in the attachment to the Bulletin and signed by an officer of the certifying TPA or PBM. Note that pursuant to 38a-999b(d), the Connecticut Insurance Commissioner or Connecticut Attorney General may request a copy of such program to determine compliance. If either one determines the ISP is noncompliant, the ISP Entity must amend it to bring it into compliance to the Commissioner's or Attorney General's satisfaction.

Failure to Timely File Written Agreements in Nevada

NAC 683A.125(s) requires TPAs to provide to the Nevada Insurance Commissioner a copy of each written agreement that the administrator enters into with an insurer or other entity within 90 days after the TPA enters into the agreement.

Recently, the Nevada Insurance Division has entered into a number of Administrative Fine and Consent to Fine settlement agreements involving the failure of these TPAs to provide the Division with a copy of each agreement that the TPA entered into with an insurer or other entity within 90 days of entering into the agreement in violation of NAC 683A.125(2).

Pursuant to NRS 683A.0892(1)(e), the Nevada Insurance Commissioner may, in addition to or in lieu of the suspension or revocation of the certificate of registration of the administrator, impose a fine of $2,000 for each act or violation.

TPAs not wishing to enter into a Consent to Fine with the Division for failing to timely submit their written agreements with the Division may submit a written application requesting a hearing to the Division's Legal Department.

For More Information on our TPA Team

Polsinelli’s TPA team provides TPA licensing services, legislative monitoring services, drafting and negotiating of administrative services agreements, and a number of other TPA regulatory and compliance services. Our TPA team includes attorneys who were former in-house counsel for TPAs, as well as attorneys who were formerly insurance regulators.

By leveraging its extensive experience representing TPAs, the Polsinelli team helps clients avoid the learning curve and related cost implications that can be experienced by working with companies or attorneys less familiar with regulatory and compliance needs of TPAs.

For questions regarding this information, please contact one of the authors, a member of Polsinelli’s Third Party Administrators practice, or your Polsinelli attorney.











Atlanta  Boston  Chattanooga  Chicago  Dallas  Denver  Houston  Kansas City  Los Angeles  Nashville  New York
Overland Park  Phoenix  Raleigh  San Francisco  Silicon Valley  St. Joseph  St. Louis  Washington, D.C.  Wilmington








real challenges. real answers.SM  
Polsinelli is an Am Law 100 firm with approximately 800 attorneys in 20 offices, serving corporations, institutions, and entrepreneurs nationally. Ranked #17* for Client Service Excellence among 650 U.S. law firms, Polsinelli has risen more than 50 spots over the past five years in the Am Law 100 annual law firm ranking. Polsinelli attorneys provide practical legal counsel infused with business insight, and focus on health care, financial services, real estate, intellectual property, mid-market corporate, labor and employment, and business litigation. Polsinelli attorneys have depth of experience in 100 service areas and 70 industries. The firm can be found online at Polsinelli PC. In California, Polsinelli LLP.

* 2017 BTI Client Service A-Team Report







Polsinelli provides this material for informational purposes only. The material provided herein is general and is not intended to be legal advice. Polsinelli is very proud of the results we obtain for our clients, but you should know that past results do not guarantee future results; that every case is different and must be judged on its own merits; and that the choice of a lawyer is an important decision and should not be based solely upon advertisements.

Copyright © 2017 Polsinelli PC.





Connect with us on LinkedIn. Connection with us on Twitter. Connect with us on Facebook. Polsinelli Third Party Administrator (TPA) Licensing and Compliance Services Third Party Administrator (TPA) Licensing and Compliance Services