Healthyct Inc

“The co-op had one class of members. Each individual insured life under an individual or group policy of insurance issued by the co-op constituted a member.”

“Members voted for open seats on the board of directors on an annual basis.”

“Management is closely engaged in compiling and analyzing the underlying information required to prepare the form 990. A substantively complete draft of the form 990 is provided to the governing body (the healthyct estate liquidator/special deputy liquidator) and the connecticut insurance department prior to its filing, for review and feedback, and the final version of the submission is distributed to the governing body prior to its filing.”

“In addition to the written conflict of interest policy, given the nature of our business as consumer oriented and operated plan started under section 1322 of the patient protection and affordable care act and a licensed insurance company in the state of connecticut, healthyct recognized the need to maintain a heightened sense of awareness with respect to potential conflicts of interest. As such, healthyct took substantive steps to implement a compliance program that engaged all functional areas and employees of the organization to capture the existence of, monitor, and report the activities associated with such relationships that may have been a conflict of interest to the appropriate governing person or body. Healthyct not only maintained formal processes and procedures to identify and monitor conflicts of interest but also cultivated and maintained a corporate culture that emphasized the importance of compliance. This element of healthyct's corporate culture significantly contributed to its ability appropriately to deal with this issue. Healthyct employees and board members were instructed to avoid situations involving actual or potential conflicts of interest, or even the appearance of a conflict, including any personal or business interests, relationships, or affiliations that may conflict with the best interests of healthyct. Healthyct employees or board members who were engaged in, involved in, or aware of a situation that may violate healthyct inc.'s conflict of interest policy must disclose that situation promptly in writing to the general counsel. The organization's procedures included an annual signed statement by all board members, officers and key employees that they have reviewed and are in compliance with the conflict of interest policy. Disclosure of any potential conflicts or confirmation that there were none will be included in this annually signed statement.”

“Line 15a: in 2012, healthyct, inc. Engaged fitzgerald associates to evaluate the general range of projected compensation and provide the coordination related to its search for ceo candidates. The hct board provided input to the compensation ranges, based on their understanding of the market and needed expertise of the candidates. Once qualified candidates were identified by fitzgerald associates, the board of directors conducted interviews and selected a single candidate. The hct board chairman, with counsel from other board members, negotiated a final compensation arrangement, which was effective through dec. 2015 and was renegotiated in 2016. The hct board of directors had final approval of the position and compensation. Line 15b: the initial staffing phase of other officers and key employee compensation was developed with the expertise of the hct human resource director (and associated search and benchmark resources) as well as market based information obtained through outreach by the hct ceo, verification of candidates' past compensation and validation from fitzgerald associates. Fitzgerald associates was also involved with a number of the officers and key employee hires. Final compensation arrangements were reviewed and approved by the ceo & board chairman. Subsequent to the initial staffing phase, during its annual performance review process, healthyct engaged a third-party human resource vendor (corban onesource) to review and validate any compensation increases against market data based on the job description, geography and other critical variables. In may 2015, healthyct's board of directors formally implemented a compensation committee of the board to review benchmarks and oversee executive and management compensation.”

“The organization's governing documents, conflict of interest policy, financial statements, and 990 are available upon request for the same period of disclosure as set forth in section 6104(d).”

“Number of voting members of the giverning body at year-end: on november 1, 2016, the connecticut superior court, judicial district of hartford, entered an order of rehabilitation placing healthyct into rehabilitation and appointing the commissioner of the department, as rehabilitator of healthyct. The court entered the order of rehabilitation because healthyct's financial condition was such that its further transaction of business would have been hazardous financially to its policyholders, creditors, or the public. Accordingly, healthyct's board of directors and management authority and control of the business passed to the rehabilitator in conjunction with the order of rehabilitation.”

“Dr. Katz, board president of healthyct, was also a member of the credentialing committee. He was compensated accordingly, in his capacity as a committee member, and not for his services on the board of directors.”

“The number of volunteers includes 3 non-voting board directors: alfred herzog, md, matthew c. Katz and david d. Thompson, md”

“In light of the december 9, 2016 order of liquidation entered into by the connecticut superior court, the connecticut insurance department did not require the preparation of 2016 audited financial statements. An agreed upon procedures report, by an independent auditor, was prepared for 2016.”

“CT”

“The organization is licensed to issue qualified health plans in ct. Ct requires the organization to maintain $1,000,000 of reserves. As of december 31, 2016 the organization had ($10,998,205) of reserves on hand. Healthyct's insolvency precipitated the connecticut insurance department's 2016 orders of supervision and rehabilitation, and request for the connecticut superior court to liquidate it.”

“Change in nonadmitted assets -29,827,756.”