(1) Participation in CHIP is voluntary and an enrollee may withdraw from the program at any time.

(a) CHIP benefits may be terminated for good cause if the enrollee, parent, or guardian has violated rules adopted by the Montana Commissioner of Insurance for enrollment with an insurer.

(b) Good cause shall be defined as provided in Montana insurance law and rules and does not include an adverse change in health status.

(2) Disenrollment takes effect, at the earliest, the first day of the month after the department receives the request for disenrollment, but no later than the first day of the second calendar month after the request for disenrollment is received. The enrollee remains enrolled in CHIP and the CHIP program is responsible for benefits covered under the contract until the effective date of disenrollment, which is always the first day of a month.

(3) The department will disenroll an enrollee if the enrollee becomes ineligible.