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Session Laws, 1986
Volume 768, Page 3705   View pdf image
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HARRY HUGHES, Governor

3705

(B)  (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION, ANY
REHABILITATION OR LIQUIDATION OF A HEALTH MAINTENANCE
ORGANIZATION SHALL BE DEEMED TO BE THE REHABILITATION OR
LIQUIDATION OF AN INSURER AND SHALL BE CONDUCTED UNDER THE
SUPERVISION OF THE COMMISSIONER UNDER THE LAW GOVERNING THE
REHABILITATION OR LIQUIDATION OF INSURERS.

(2) THE PROVISIONS OF ARTICLE 48A, §§ 162, 162A, 163,
AND 164 OF THE CODE DO NOT APPLY TO THE REHABILITATION OR
LIQUIDATION OF A HEALTH MAINTENANCE ORGANIZATION.

(C)  THE COMMISSIONER MAY APPLY FOR AN ORDER DIRECTING THE
COMMISSIONER TO REHABILITATE OR LIQUIDATE A HEALTH MAINTENANCE
ORGANIZATION:

(1)  UPON ANY ONE OR MORE GROUNDS SET OUT IN ARTICLE
48A, SUBTITLE 10 OF THE CODE; OR

(2)  WHEN IN THE COMMISSIONER'S OPINION THE CONTINUED
OPERATION OF THE HEALTH MAINTENANCE ORGANIZATION WOULD BE
HAZARDOUS EITHER TO ITS MEMBERS OR TO THE PEOPLE OF THIS STATE.

(D)  IN THE EVENT OF THE LIQUIDATION OR REHABILITATION OF A
HEALTH MAINTENANCE ORGANIZATION UNDER THIS SECTION, MEMBERS OF
THE HEALTH MAINTENANCE ORGANIZATION SHALL HAVE THE SAME PRIORITY
OF CLAIMS AS PROVIDED IN ARTICLE 48A, § 158A OF THE CODE.

(E)  (1) A HEALTH CARE PROVIDER MAY NOT ASSERT A CLAIM OF
SUBROGATION AGAINST:

(I)  A MEMBER OF AN INSOLVENT HEALTH MAINTENANCE
ORGANIZATION; OR

(II)  AGAINST ANY INDIVIDUAL, ORGANIZATION, OR
GOVERNMENT AGENCY WHICH HAS MADE PAYMENTS TO THE HEALTH
MAINTENANCE ORGANIZATION ON BEHALF OF A MEMBER.

(2) NOTWITHSTANDING PARAGRAPH (1) OF THIS SUBSECTION,
A HEALTH CARE PROVIDER MAY ASSERT ANY CLAIM IT MAY HAVE AGAINST
THE RECEIVER OF THE INSOLVENT HEALTH MAINTENANCE ORGANIZATION.

19-709.

(b) In addition to the fee required under subsection (a) of
this section, each health maintenance organization shall pay a
reasonable sum, not exceeding [$2,500] $7,500, that the
Commissioner finds to be the cost of the investigations made by
the Commissioner and the Department as required under this
subtitle.

19-718.

(a) The Commissioner or an agent of the Commissioner shall
examine the financial affairs and status of each health
maintenance organization at least once every 3 years.

 

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Session Laws, 1986
Volume 768, Page 3705   View pdf image
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