Ch. 587                                          LAWS OF MARYLAND

less than 65 percent for the first 20 visits per calendar year or
benefit period and not less than 50 percent for any visits
thereafter for that calendar year or benefit period, of the
benefits which the policy provides for other types of illness;
AND (3)(I) WITH RESPECT TO BENEFITS FOR RESIDENCY IN A DEPARTMENT
OF HEALTH AND MENTAL HYGIENE APPROVED PSYCHIATRIC HALFWAY HOUSE,
THE PERIOD OF RESIDENCY FOR WHICH BENEFITS ARE PAYABLE SHALL BE
AT LEAST 120 DAYS AND SHALL BE AT A RATE WHICH IS NOT LESS THAN
75 PERCENT OF THE PER DIEM RATE WHICH AMOUNT MAY NOT EXCEED $30
PER DAY. (II) JUSTIFICATION FOR LENGTH OF STAY SHALL BE
DOCUMENTED BY A QUALIFIED PSYCHIATRIST OR PSYCHOLOGIST BASED ON A
MONTHLY EVALUATION OF THE PATIENT WHICH IS AVAILABLE TO THE
INSURANCE COMPANY AT THEIR REQUEST. (III) THE INSURANCE COMPANY,

AS A CONDITION PRECEDENT TO THE ALLOWANCE FOR BENEFITS FOR
RESIDENCY IN A PSYCHIATRIC HALFWAY HOUSE, MAY REQUIRE THE
CERTIFICATION IN WRITING BY A LICENSED PSYCHIATRIST OR
PSYCHOLOGIST THAT RESIDENCY IN A PSYCHIATRIC HALFWAY HOUSE IS
MEDICALLY NECESSARY EITHER IN LIEU OF OR IN COMBINATION WITH
CONFINEMENT AS AN INPATIENT IN A HOSPITAL AND WILL REDUCE THE
LENGTH OF CONFINEMENT AS AN INPATIENT IN A HOSPITAL. (IV) THE

TOTAL BENEFITS PAYABLE FOR TREATMENT AS AN INPATIENT IN A
HOSPITAL OR RESIDENCY IN A PSYCHIATRIC HALFWAY HOUSE OR A
COMBINATION OF BOTH MAY NOT EXCEED THE COST OF BENEFITS
AVAILABLE ANNUALLY FOR TREATMENT AS AN INPATIENT IN A HOSPITAL.

(b) The provisions of this section apply to all policies
issued, renewed, modified, altered, amended, or reissued on or
after July 1, 1973.

477E.

(a) Every hospital or major medical insurance policy or
certificate written on an expense-incurred basis which is
delivered or issued for delivery, within this State must include
benefits for expenses arising from treatment of acute mental
illnesses and emotional disorders which in the professional
judgment of practitioners are subject to significant improvement
through short-term therapy. These benefits must be at least equal
to the following minimum requirements: (1) with respect to
benefits for confinement as an inpatient in a hospital, the
period of confinement for which benefits are payable shall be at
least 30 days in any calendar year or benefit period; (2) with
respect to major medical expense coverage, benefits, after the
applicable deductible, for covered expenses arising from all
those services, other than inpatient, which are rendered to treat
acute mental illness and emotional disorders, shall be at a rate
which is not less than 65 percent for the first 20 visits per
calendar year or benefit period and not less than 50 percent for
any visits thereafter for that calendar year or benefit period,
of the benefits which the policy provides for other types of
illness; AND (3) (I) WITH RESPECT TO BENEFITS FOR RESIDENCY IN A
DEPARTMENT OF HEALTH AND MENTAL HYGIENE APPROVED PSYCHIATRIC
HALFWAY HOUSE, THE PERIOD OF RESIDENCY FOR WHICH BENEFITS ARE

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