417.164 Effect of revocation of qualification on inclusion in employee's health benefit plans.§ 417.164 Effect of revocation of qualification on inclusion in employee's health benefit plans.
When an HMO's qualification is revoked under § 417.163(d), the following rules apply:
(a) The HMO may not seek inclusion in employees health benefits plans under subpart E of this part.
(b) Inclusion of the HMO in an employer's health benefits plan -
(1) Is disregarded in determining whether the employer is subject to the requirements of subpart E of this part; and
(2) Does not constitute compliance with subpart E of this part by the employer.[59 FR 49842, Sept. 30, 1994, as amended at 61 FR 27288, May 31, 1996]