This bill proposes to amend current statutes regarding the ownership interests of dental insurers and holding companies in business organizations that provide regulated professional services. Under the current law, there are no specific prohibitions against such ownership interests. The bill introduces a new provision that explicitly states, "A dental insurer or a holding company may not have any ownership interest in a business organization that offers to the public professional services regulated by the board." This addition aims to prevent potential conflicts of interest and ensure that dental practices remain independent from insurance influences.

Additionally, the bill defines key terms related to the new provisions. It clarifies that "dental insurer" retains the definition provided in section 20-126, while "holding company" is defined as any business entity that holds a significant ownership interest (ten percent or more) in a dental insurer or has voting rights over a dental insurer's outstanding shares. These definitions and the prohibition on ownership interests will be inserted into the existing statute, thereby updating the legal framework governing dental practice and insurance relationships in Arizona.

Statutes affected:
Introduced Version: 32-1213