HARRY HUGHES, Governor                              1219

Approved May 6, 1980.

CHAPTER 345

(Senate Bill 839)

AN ACT concerning

Health Insurance - Reimbursement

FOR the purpose of providing that services under a contract
issued, delivered, or renewed by a nonprofit health
plan, a health insurance policy, or a group health
insurance policy, paid for or provided by the
Department of Health and Mental Hygiene shall be
reimbursed to the Department by the insurer.

BY repealing

Article 48A - Insurance Code

Section 470N

Annotated Code of Maryland

(1979 Volume and 1979 Supplement)

BY adding to

Article 48A - Insurance Code
Section 354U, 470N, and 477U
Annotated Code of Maryland
(1979 Volume and 1979 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That section(s) of the Annotated Code of Maryland
be repealed, amended, or enacted to read as follows:

Article 48A - Insurance Code

354U.

IF THE DEPARTMENT OF HEALTH AND MENTAL HYGIENE NOTIFIES
A NONPROFIT HEALTH SERVICE PLAN THAT SERVICES TO A PERSON
COVERED UNDER A CONTRACT ISSUED, DELIVERED, OR RENEWED IN
MARYLAND HAS BEEN PAID FOR OR PROVIDED BY THE DEPARTMENT,
THE NONPROFIT HEALTH SERVICE PLAN SHALL REIMBURSE THE
DEPARTMENT FOR THE COST OF THE SERVICES REGARDLESS OF ANY
PROVISION IN THE CONTRACT WHICH WOULD REQUIRE PAYMENT TO THE
SUBSCRIBER OR ANY OTHER PAYEE. BENEFITS PAYABLE TO THE
DEPARTMENT ARE LIMITED TO THOSE BENEFITS AVAILABLE UNDER ALL
TERMS AND CONDITIONS OF THE CONTRACT FOR THE SERVICES PAID
FOR OR PROVIDED. IF, PRIOR TO RECEIVING NOTICE FROM THE
DEPARTMENT, THE NONPROFIT HEALTH SERVICE PLAN, ACTING IN
GOOD FAITH, HAS PAID THE BENEFITS AVAILABLE UNDER THE