HARRY HUGHES, Governor                                     1533

certificate of need process, the State Health Plan, institution
specific studies, and any other issues relating to health care
cost containment raised or addressed in Chapter 102 (HB 1068/SB
494), Chapter 107(HB 1069/SB 492), Chapter 108 (HB 1071/SB
490), Chapter 111 (HB 1072/SB 493), and Chapter 112 (HB 1073/SB
495) of the Laws of 1985. This Section shall terminate and be of
no effect on June 1, 1990.

SECTION 2 3. 5. AND BE IT FURTHER ENACTED, That this Act
shall take effect June 1, 1985.

Approved May 21, 1985.

CHAPTER 110

(House Bill 1070)

AN ACT concerning

Health Care Cost Containment - Health Insurance

FOR the purpose of requiring certain insurers that offer
different benefits to an insured or beneficiary who utilizes
certain low-cost hospitals to base its designation of a
low-cost hospital on certain information; providing for
certain exclusions from this information; prohibiting the
subsidization of certain benefits from certain premiums;
limiting certain health care provider representation on the
Board of Directors of certain nonprofit health service plans
to a certain percentage; providing for a certain exception;
and generally relating to the regulation of health care
costs in health insurance.

BY adding to

Article 48A - Insurance Code

Section 356B, 361G, 438C, and 477CC

Annotated Code of Maryland

(1979 Replacement Volume and 1984 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article 48A - Insurance Code

356B.

(A) ANY NONPROFIT HEALTH SERVICE PLAN PROVIDING HOSPITAL
BENEFITS IN THIS STATE THAT OFFERS BENEFITS TO AN INSURED OR