Common use of Corrective Action Plans Clause in Contracts

Corrective Action Plans. ‌ FHKC may require Insurer to propose and implement a Corrective Action Plan (CAP) to address and correct the cause of deficiencies in Insurer’s performance under this Contract, including failure to meet the performance guarantees in Attachment C and findings from the EQRO compliance validation. Insurer shall submit a CAP to FHKC for approval within seven (7) Business Days of such request from FHKC, unless FHKC requests another timeframe. The timeframe to provide the corrective action plan is inclusive of the date of request. If the CAP is not subsequently approved by FHKC, Insurer shall submit a revised CAP within three (3) Business Days from the notification of FHKC’s disapproval. At a minimum, CAPs shall include a description of the problem being corrected, a description of the solution, and an implementation plan detailing the implementation of the solution with anticipated completion dates. Insurer shall be liable for financial consequences of five hundred dollars ($500) per Calendar Day, limited to fifteen thousand dollars ($15,000) per incident for CAP-submission timeliness failures. Financial consequences apply to each Calendar Day beyond the due date until provided to FHKC, inclusive of the day provided to FHKC. Financial consequences apply to the initial due date and to subsequent due dates should the CAP require revisions prior to FHKC approval. Insurer shall submit CAP updates on a routine basis. The schedule for such updates shall be established individually for each CAP. Unless otherwise required by FHKC, Insurer shall recommend an update schedule for the CAP to FHKC for approval. Insurer shall be liable for financial consequences of one thousand dollars ($1,000) per Calendar Day, limited to thirty thousand dollars ($30,000) per incident, for failure to complete implementation of the approved CAP by the date established in the CAP schedule. Financial consequences apply to each Calendar Day beyond the due date until the CAP is implemented, inclusive of the day implementation is complete.

Corrective Action Plans. ‌ FHKC may require Insurer Vendor to propose and implement a Corrective Action Plan (CAP) to address and correct the cause of any deficiencies in InsurerVendor’s performance of any Services under this Contract. If Vendor's performance falls below the minimum level of performance for the same performance standard set forth in this Contract for three or more consecutive months, including failure Vendor shall provide a CAP to meet remediate the performance guarantees and prevent it from occurring in Attachment C and findings from the EQRO compliance validationfuture. Insurer Vendor shall submit a CAP to FHKC for approval within seven (7) Business Days of such request from the timeframe specified by FHKC, unless FHKC requests another timeframe. The timeframe to provide the corrective action plan is inclusive of the date of request. If the CAP is not subsequently approved by FHKC, Insurer Vendor shall submit a revised CAP within three (3) Business Days from the notification of FHKC’s disapproval. At a minimum, CAPs shall include a description of the problem being corrected, a description of the solution, and an implementation plan detailing the implementation of the solution with anticipated completion dates. Insurer Regarding Vendor’s failure to timely submit a CAP, Vendor shall be liable for financial consequences Financial Consequences of five hundred dollars ($500) 500 per Calendar Day, limited to fifteen thousand dollars ($15,000) 15,000 per incident for CAP-submission timeliness failures. Financial consequences Consequences apply to each Calendar Day beyond the due date until provided to FHKC, inclusive of the day provided to FHKC. Financial consequences Consequences apply to the initial due date and to subsequent due dates should the CAP require revisions prior to FHKC approval. Insurer Vendor shall submit CAP updates on a routine basis. The schedule for such updates shall be established individually for each CAP. Unless otherwise required by FHKC, Insurer Vendor shall recommend to FHKC for approval an update schedule for the CAP to FHKC for approvalCAP. Insurer Vendor shall be liable for financial consequences Financial Consequences of one thousand dollars ($1,000) 1,000 per Calendar Day, limited to thirty thousand dollars ($30,000) 30,000 per incidentCAP, for failure to complete implementation of the approved CAP by the date established in the CAP schedule. Financial consequences Consequences apply to each Calendar Day beyond the due date until the CAP is implemented, inclusive of the day implementation is complete. Vendor shall reimburse FHKC via invoice credit for any such Financial Consequences.