PARRIS N. GLENDENING, Governor

Ch. 35

REVISOR'S NOTE: This section is hew language derived without substantive
change from former Art. 48A, §§ 360C and 58A(f).

Defined term: "Commissioner" § 1-101
14-120. INVESTMENTS.

(A) "GROUP HEALTH CARE" DEFINED.

IN THIS SECTION, "GROUP HEALTH CARE" MEANS A PRACTICE BY WHICH AN
AFFILIATE OR SUBSIDIARY OF A NONPROFIT HEALTH SERVICE PLAN ENGAGES THE
SERVICES OF HEALTH CARE SPECIALISTS WHO PROVIDE HEALTH CARE AT
PREDETERMINED LOCATIONS IN ACCORDANCE WITH A PREPAID HEALTH PLAN.

(B) IN GENERAL.

(1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION, A
CORPORATION SUBJECT TO THIS SUBTITLE MAY INVEST ITS FUNDS ONLY IN ASSETS
ALLOWED FOR THE INVESTMENT OF THE FUNDS OF LIFE INSURERS UNDER §§ 5-101
AND 5-102 AND TITLE 5, SUBTITLE 5 OF THIS ARTICLE.

(2) IF THE COMMISSIONER DETERMINES THAT A CORPORATION
SUBJECT TO THIS SUBTITLE IS ENGAGED PRINCIPALLY IN THE BUSINESS OF GROUP
HEALTH CARE RATHER THAN THE SALE OF AN INSURANCE PRODUCT OR PLAN
DESCRIBED IN § 14-102 OF THIS SUBTITLE, THE COMMISSIONER MAY ALLOW THE
CORPORATION TO INVEST A SUM NOT TO EXCEED 50% OF ITS ASSETS IN REAL
ESTATE FOR USE AS MEDICAL FACILITIES AND FIXED MEDICAL EQUIPMENT TO BE
USED SOLELY FOR THE PURPOSE OF ENGAGING IN GROUP HEALTH CARE.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 359.

Defined terms: "Commissioner" § 1-101
"Insurance" § 1-101
"Life insurer" § 1-101

14-121. ANNUAL AND INTERIM STATEMENTS; AUDITED FINANCIAL REPORT.
(A) ANNUAL STATEMENT.

(1) ON OR BEFORE MARCH 1 OF EACH YEAR, UNLESS THE
COMMISSIONER EXTENDS THE TIME FOR GOOD CAUSE, EACH NONPROFIT HEALTH
SERVICE PLAN SHALL FILE WITH THE COMMISSIONER A COMPLETE STATEMENT OF
ITS FINANCIAL CONDITION, TRANSACTIONS, AND AFFAIRS FOR THE IMMEDIATELY
PRECEDING CALENDAR YEAR.

(2) THE ANNUAL STATEMENT SHALL CONTAIN THE INFORMATION
REQUIRED BY THE COMMISSIONER AND BE CERTIFIED BY AN INDEPENDENT
CERTIFIED PUBLIC ACCOUNTANT.

(3) THE APPLICABLE FEE REQUIRED BY § 2-112 OF THIS ARTICLE SHALL
BE SUBMITTED AT THE SAME TIME AS THE STATEMENT.

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