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<br />b. "Contractinl! Hosoital" means any Hospital with which an Agreement has been executed <br /> <br />providing for discounts available to the Contractor, which has an effective date on or after January <br /> <br />1, 1992, and which continues in effect during the term of this Addendum. <br /> <br />c. "Covered Service" means a Contracting Hospital health care service which qualifies for the <br /> <br />application of payment under the terms of the Plan. <br /> <br />d. "Covered Service Amount" means the amount eligible for reimbursement under the Plan for <br /> <br />any Hospital health care service or supply provided to Participants for which benefits are provided <br /> <br />by a Contracting Hospital pursuant to the Plan after application of applicable co-payments and <br /> <br />deductibles, which amount is based on the regular rate charged by the Hospital for such services <br /> <br />: .} <br /> <br />or supplies. "Covered Service Amount" includes only those hospital admissions which commence <br /> <br />after the effective date of this Addendum which are paid by Contractor while this Addendum is <br /> <br />in force and effect. <br /> <br />e. "Discount" shall mean the difference between Covered Service Amount and the amount which <br /> <br />the Hospital requires to be paid for those Services as determined in accordance with its applicable <br /> <br />Discount Agreement. <br /> <br />SECTION 3. APPLICA nON OF DISCOUNT <br /> <br />3.1 The Contractor shall perform claims administration services pursuant to the Administrative <br /> <br />Services Agreement between the parties. Subject to Section 5 hereof, all applicable Discounts <br /> <br />allowed to the Contractor shall be applied to Covered Service Amounts which are incurred in <br /> <br />connection with the admission of a Participant to a Contracting Hospital and which occur while <br /> <br />this Addendum is in force and effect and while a Member Hospital Agreement is in effect with <br /> <br />2 <br /> <br />: ~ ,,: I <br />'Ii <br />