Disclosures.

A discount plan organization or marketer must provide disclosures to a prospective member and the prospective member must acknowledge the acceptance of such disclosures before enrolling in a discount plan. A discount plan organization or marketer may make additional disclosures to those described in subsection (1).

(1) A disclosure must include:

(a) That the plan is not insurance.

(b) That the plan provides discounts at certain health care providers for medical services.

(c) That the plan does not make payments directly to the providers of medical services.

(d) That the plan member is obligated to pay for all health care services but will receive a discount from those health care providers who have contracted with the discount plan organization.

(e) The name and address of the licensed discount plan organization.

(2) The first page of any written advertisements, marketing materials, or brochures relating to a discount plan must include the required disclosures in subsection (1). The first page is the page that first includes the information that describes benefits of the discount plan. The disclosures must be printed in not less than 12-point type.

(3) Disclosures provided by electronic means must include disclosures required in subsection (1). The disclosures must be in a font size and color that is readable.

(4) Disclosures made by telephone must include the disclosures in subsection (1) and the prospective or new member must be provided with written disclosures in accordance with subsection (2) in the initial written materials provided.