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(a) The provisions of this act shall apply to all companies, associations, and exchanges transacting any class of insurance business, to rating organizations and to all insurance agents and insurance brokers. The provisions of this act, excepting sections two hundred and nineteen (219), 1 three hundred and five (305), 2 five hundred and one (501), 3 five hundred and two (502), 4 five hundred and four (504), 5 five hundred and five (505), 6 five hundred and six (506), 7 five hundred and seven (507), 8 five hundred and eight (508), 9 five hundred and nine (509), [FN10] five hundred and ten (510) [FN11] and six hundred and seven (607) [FN12] hereof, shall not apply to fraternal benefit societies, orders, or associations conducted not for profit, and having a lodge system with ritualistic form of work and representative form of government, or to beneficial or relief associations conducted not for profit formed by churches, societies, classes, firms, or corporations, with or without ritualistic form of work, the privilege of membership in which are confined to the members of such churches, societies, or classes, and to members and employes of such firms or corporations. The provisions of this act, excepting sections two hundred and thirteen (213), [FN13] two hundred and fourteen (214), [FN14] two hundred and sixteen (216), [FN15] two hundred and nineteen (219), five hundred and one (501), five hundred and two (502), five hundred and three (503), [FN16] five hundred and four (504), five hundred and five (505), five hundred and six (506), five hundred and seven (507), five hundred and eight (508), five hundred and nine (509), and five hundred and ten (510) hereof, shall not apply to domestic mutual fire insurance companies of this Commonwealth, incorporated under special acts of Assembly or under the act of May first, one thousand eight hundred and seventy-six, [FN17] with unlimited or limited liability to assessment for payment of expenses and of losses and loss adjustments, set forth in the policy contract or in the promissory notes attached to said policy.
(b) Nothing in this act shall apply to a religious publication, or its subscribers, that meet all of the following criteria:
(1) Is a nonprofit religious organization.
(2) Is limited to individuals who separately subscribe and who are members of the same denomination or religion, who have the approval of their pastor.
(3) Acts as an organizational clearinghouse for information between subscribers who have financial, physical or medical needs and subscribers who choose to assist with those needs, matching subscribers with a willingness to pay with subscribers with a present financial or medical need.
(4) Arranges for the payment of subscribers' financial or medical needs by payments directly from subscriber to subscriber.
(5) Suggests amounts to give that are voluntary among the subscribers, with no assumption of risk or promise to pay either among the subscribers or between the subscribers and the publication.
(6) Does not use any compensated agents, representatives or other persons to solicit or enroll subscribers.
(7) Does not make any direct or indirect representation that it is operating in a financially sound manner or that it has had a successful history of meeting subscribers' financial or medical needs.
(8) Provides a written monthly statement to all subscribers, listing the total dollar amount of qualified needs submitted for publication, as well as the amount actually published and assigned for payment.
(9) Does not use funds paid by subscribers for medical needs to cover administrative costs.
(10) Provides the following verbatim written disclaimer as a separate cover sheet for any and all documents distributed by or on behalf of the exempt entity, including applications, guidelines, promotional or informational materials and all periodic publications:NOTICE
This publication is not an insurance company nor is it offered through an insurance company. This publication does not guarantee or promise that your medical bills will be published or assigned to others for payment. Whether anyone chooses to pay your medical bills will be totally voluntary. As such, this publication should never be considered a substitute for insurance. Whether you receive any payments for medical expenses and whether or not this publication continues to operate, you are always liable for any unpaid bills.
Cite this article: FindLaw.com - Pennsylvania Statutes Title 40 P.S. Insurance § 23. Application of act - last updated January 01, 2019 | https://codes.findlaw.com/pa/title-40-ps-insurance/pa-st-sect-40-23.html
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
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