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1382 LAWS OF MARYLAND Ch. 73
Approved March 31, 1977.
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CHAPTER 74
(House Bill 267)
AN ACT concerning
Health Insurance — Coverage of Spouse
FOR the purpose of requiring certain health insurance
policies contracts, which provide coverage to
employees and their dependent spouses and provide
for an extension of coverage following termination
of employment or membership of the employees or
members, to provide conversion rights without
physical examination or statement of health to a
covered spouse who has ceased to be dependent upon
the employee by reason of termination of marriage or
death of the employee or member.
BY adding to
Article 48A — Insurance Code
Section 354J and 477L
Annotated Code of Maryland
(1972 Replacement Volume and 1976 Supplement)
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SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That new Sections 354J and 477L be and they are
hereby added to Article 48A — Insurance Code, of the
Annotated Code of Maryland (1972 Replacement Volume and
1976 Supplement) to read as follows:
Article 48A — Insurance Code
354J.
EVERY GROUP HEALTH INSURANCE POLICY CONTRACT
DELIVERED OR ISSUED FOR DELIVERY IN THIS STATE BY A
NONPROFIT HEALTH SERVICE PLAN, WHICH PROVIDES HOSPITAL,
MEDICAL, OR SURGICAL EXPENSE BENEFITS FOR EMPLOYEES OR
MEMBERS AND THEIR DEPENDENTS AND WHICH CONTAINS
PROVISIONS GRANTING THE EMPLOYEE OR MEMBER THE RIGHT TO
CONVERT THE INSURANCE COVERAGE IN THE EVENT OF
TERMINATION OF EMPLOYMENT OR MEMBERSHIP, SHALL INCLUDE IN
THE CONVERSION PROVISIONS THE SAME CONVERSION RIGHTS AND
CONDITIONS TO A COVERED DEPENDENT SPOUSE OF THE EMPLOYEE
OR MEMBER IN THE EVENT THE COVERED DEPENDENT SPOUSE
CEASES TO BE A QUALIFIED FAMILY MEMBER BY REASON OF
TERMINATION OF MARRIAGE OR DEATH OF THE EMPLOYEE OF
MEMBER. THE CONVERSION RIGHTS MAY NOT REQUIRE A PHYSICAL
EXAMINATION OR A STATEMENT OF HEALTH.
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