Are payments made to third-party administrators (TPAs) from policyholders considered received?
Yes, whenever an insurer utilizes the services of a TPA under terms of a written agreement as required, the payment to the TPA of any premiums or charges for insurance by or on behalf of the insured is considered to have been received by the insurer, as according to Section 38-51-50.

Third-Party Administrators

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1. Are payments made to third-party administrators (TPAs) from policyholders considered received?
2. How long does a TPA required to preserve its records?
3. What are the requirements for TPAs collecting for more than one insurer or client?
4. Can a TPA pay claims from premiums collected?
5. How are TPAs compensated for services rendered?
6. Do TPAs have additional requirements when they contract with an insurer?