[Code of Federal Regulations]

[Title 42, Volume 2]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 42CFR408.210]



[Page 288-289]

 

                         TITLE 42--PUBLIC HEALTH

 

                    CHAPTER IV--CENTERS FOR MEDICARE

                          & MEDICAID SERVICES,

                        DEPARTMENT OF HEALTH AND

                             HUMAN SERVICES

 

PART 408_PREMIUMS FOR SUPPLEMENTARY MEDICAL INSURANCE--Table of Contents

 

 Subpart H_Supplementary Medical Insurance Premium Surcharge Agreements

 

Sec. 408.210  Termination of SMI premium surcharge agreement.



    (a) Termination by the State or local government agency. The State 

or local government agency may voluntarily terminate its agreement with 

CMS as follows:

    (1) The State or local government agency must notify CMS, in 

writing, at least 30 days before the effective date of the termination.

    (2) The State or local government agency must pay any unpaid premium



[[Page 289]]



surcharge amounts and interest due within 30 days after the effective 

date of the termination.

    (3) Interest will continue to accrue until all amounts due are paid 

in full.

    (b) Termination by CMS. CMS may terminate the agreement with a State 

or local government agency as follows:

    (1) If a State or local government agency's payments are delinquent 

30 days or more, CMS may terminate the agreement with 30 days advance 

notice.

    (2) If the State or local government agency fails to comply with the 

terms of the agreement or procedures promulgated by CMS, CMS may 

terminate the agreement with 30 days advance notice.

    (3) If CMS finds that the State or local government agency is not 

acting in the best interest of the enrollees, or CMS, or for any reason 

other than those in paragraphs (b)(1) and (b)(2) of this section, CMS 

may terminate the agreement at any time.

    (4) The State or local government agency must pay all outstanding 

premium surcharge and any interest amounts due within 30 days after the 

effective date of the termination.

    (5) Interest will continue to accrue until all amounts due are paid 

in full.

    (6) After the agreement is terminated, CMS will resume collection of 

the premium surcharge from the enrollees covered under the terminated 

agreement.

    (7) If an agreement is terminated by CMS, the State or local 

government agency must wait 3 years from the effective date of the 

termination before it can request to enter into another SMI premium 

surcharge agreement.