PARRIS N. GLENDENING, Governor

Ch. 35

(2) A POLICY OF GROUP HEALTH INSURANCE MAY BE ISSUED TO AN
EMPLOYER OR THE TRUSTEES OF A FUND ESTABLISHED BY AN EMPLOYER TO
COVER EMPLOYEES OF THE EMPLOYER FOR THE BENEFIT OF PERSONS OTHER
THAN THE EMPLOYER.

(3) THE EMPLOYER OR TRUSTEES TO WHICH THE POLICY IS ISSUED ARE
DEEMED THE POLICYHOLDER.

(C) ASSOCIATIONS AND LABOR UNIONS.

(1) IN THIS SUBSECTION, "EMPLOYEE" MAY INCLUDE A RETIRED
EMPLOYEE.

(2) A POLICY OF GROUP HEALTH INSURANCE MAY BE ISSUED TO AN
ASSOCIATION, INCLUDING A LABOR UNION, THAT HAS A CONSTITUTION AND
BYLAWS AND THAT IS ORGANIZED AND MAINTAINED IN GOOD FAITH FOR
PURPOSES OTHER THAN THAT OF OBTAINING INSURANCE, TO COVER MEMBERS,
EMPLOYEES, OR EMPLOYEES OF MEMBERS OF THE ASSOCIATION FOR THE BENEFIT
OF PERSONS OTHER THAN THE ASSOCIATION OR ITS OFFICERS OR TRUSTEES.

(D) EMPLOYER, LABOR UNION, OR ASSOCIATION TRUSTEES.

(1) IN THIS SUBSECTION, "EMPLOYEE" MAY INCLUDE:

(I) AN OFFICER OR MANAGER OF THE EMPLOYER;

(II) A SOLE PROPRIETOR IF THE EMPLOYER IS A SOLE
PROPRIETORSHIP;

(III) A PARTNER IF THE EMPLOYER IS A PARTNERSHIP;

(IV) A RETIRED EMPLOYEE; AND

(V) A TRUSTEE OF THE FUND, EMPLOYEE OF THE TRUSTEE, OR
BOTH IF THE DUTIES OF THE TRUSTEE OR EMPLOYEE ARE CONNECTED
PRINCIPALLY WITH THE TRUSTEESHIP.

(2) A POLICY OF GROUP HEALTH INSURANCE MAY BE ISSUED TO THE
TRUSTEES OF A FUND ESTABLISHED BY TWO OR MORE EMPLOYERS IN THE SAME OR
RELATED INDUSTRY, BY ONE OR MORE LABOR UNIONS, BY ONE OR MORE
EMPLOYERS AND ONE OR MORE LABOR UNIONS, OR BY AN ASSOCIATION
DESCRIBED IN SUBSECTION (B) OF THIS SECTION, TO COVER EMPLOYEES OF THE
EMPLOYERS, MEMBERS OF THE UNIONS, MEMBERS OF THE ASSOCIATION, OR
EMPLOYEES OF MEMBERS OF THE ASSOCIATION, FOR THE BENEFIT OF PERSONS
OTHER THAN THE EMPLOYERS, UNIONS, OR ASSOCIATION.

(3) THE TRUSTEES TO WHICH THE POLICY IS ISSUED ARE DEEMED THE
POLICYHOLDER.

(E) PERSONS ELIGIBLE FOR GROUP LIFE INSURANCE.

A POLICY OF GROUP HEALTH INSURANCE MAY BE ISSUED TO A PERSON TO
WHICH A POLICY OF GROUP LIFE INSURANCE MAY BE ISSUED OR DELIVERED IN

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