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<br />collected from the Plan directly to the appropriate providers as soon as is reasonably <br />possible. The Claims Administrator shall not be responsible for loss of coverage or <br />services resulting from delinquent submission of premiums or fees by the Plan <br />Administrator so long as such delinquency is not due to the negligence of the Claim <br />Administrator. <br /> <br />If such products or services are requested by the Plan Administrator, the Plan <br />Administrator authorizes the Claims Administrator to furnish to such appropriate <br />providers any relevant medical or statistical data pertaining to covered Plan participants <br />for purposes of completing the requested services. <br /> <br />2.5 The Claims Administrator shall design and provide all necessary forms for the <br />implementation, administration, and operation of the Plan. <br /> <br />2.6 The Participants will be notified in a supplement to the City of San Marcos <br />Medical/Dental Benefit Plan of the role of the Claims Administrator in the Plan. <br /> <br />2.7 The Claims Administrator will assist in the administration of the Company's HIPAA <br />(Health Insurance Portability and Accountability Act) obligations, and will perform the <br />following duties: <br /> <br />(a) Produce and mail certificates of prior coverage to all terminated participants <br />on the Plan. <br /> <br />(b) Produce for the Plan Administrator's approval a Plan Document that is in <br />compliance with the HIP AA guidelines. <br /> <br />(c) Provide notice of pre-existing limitations to employer for distribution to new <br />participants in the Plan. <br /> <br />2.8 The Claims Administrator will assist in the administration ofthe Company's COBRA <br />obligations, and will perform the following duties: <br /> <br />(a) Produce payment coupon books and mail to COBRA participants after <br />receiving election notification. <br /> <br />(b) Maintain COBRA payment records. <br /> <br />(c) Deposit COBRA payments immediately upon receipt into the appropriate Plan <br />account. <br /> <br />(d) Report COBRA payment status to the Plan Administrator on a monthly basis. <br />The Claims Administrator will not notify Plan participants of COBRA rights <br />at the time of a qualifying event. <br /> <br />3 <br />