HARRY HUGHES, Governor

25

(ii) The written statement shall be given
before the agent or insurer accepts an application.

(2)  If the proposed policy excludes or limits
benefits for preexisting conditions, a statement shall be
given that describes in plain language these limitations or
exclusions.

(3)  If the proposed policy provides coverage for
care in a skilled nursing facility that is approved by
Medicare, but the policy does not provide coverage for care
in other nursing homes or for custodial or rest home care,
a statement shall be given that describes clearly those
expenses that the policy does not cover.

(4)  If the proposed policy does not comply with
the requirements of § 468C of this subtitle for a Medicare
supplement policy, a statement printed in 12-point type
shall be given that:

"This policy is not a Medicare supplement
policy. It is not designed to fill the
'gaps' of Medicare[.]".

(5)  If the proposed policy pays benefits only
for accident, a statement printed in 12-point type shall be
given that contains the language required by subsection
(c)(4) of this section as well as the following language:

"This is an accident only policy. It does
not pay benefits for loss due to sickness[.]".

(6)  If the proposed policy does not include the
coverage that must be offered by an insurer under §
468C(b)(2) of this subtitle, a statement shall be given that
the insured is entitled to purchase but has rejected the
coverage available under Article 48A, § 468C(b)(2) of the
Annotated Code for:

(i) 90 percent of all Medicare Part A
eligible expenses for hospitalization for a period of 365
days not covered by Medicare; and

(ii) The initial annual deductible and 20
percent of the amount of Medicare eligible expenses under
Medicare Part B.

478E.

(1) There is hereby created a fund to be known as the
"Maryland Insurance Development Fund" for the purpose of
providing financial backup to enable insurers to qualify for
riot and civil disorder reinsurance under the Urban Property
Protection and Reinsurance Act of 1968 or any other act of
the Congress of the United States which will similarly
provide reinsurance or financial backup to accomplish the
purposes of this subtitle. The fund shall be used to make