                                 CODE OF VIRGINIA

ACCIDENT AND SICKNESS (§ 38.2-109)

A. &#8220;Accident and sickness insurance&#8221; means insurance against loss
resulting from sickness, or from bodily injury or death by accident or
accidental means, or from a combination of any or all of these perils. As used
in this title, unless the context requires otherwise, the term &#8220;accident
and sickness insurance&#8221; shall be deemed to include &#8220;credit accident
and sickness insurance.&#8221;

B. The term &#8220;accident and sickness insurance&#8221; shall also include
agreements insuring against losses resulting from health care claims or expenses
of health care in excess of a specific or aggregate dollar amount, when such
agreements are used to provide coverage to (i) an employee welfare benefit plan
or any other plan providing accident and sickness benefits, (ii) a health
maintenance organization, or (iii) a provider associated with a managed care
network, provided:

   1. The agreement clearly discloses the extent and duration of the liability
   assumed by the insurer once the policyholder&#8217;s liability has been
   exceeded; and

   2. The insurer maintains reserves in accordance with &#xA7; 38.2-1314 for the
   liability it assumes under the agreement.
   				Such agreements shall not be subject to the requirements of Chapters 34
   (&#xA7; 38.2-3400 et seq.) and 35 (&#xA7; 38.2-3500 et seq.) of this title.

HISTORY: 1952, c. 317, § 38.1-5; 1986, c. 562; 1997, c. 28.