WILLIAM DONALD SCHAEFER, Governor                    Ch. 474

(B) ANY REFUND MADE UNDER THIS SECTION SHALL BE PAID
DIRECTLY TO THE APPLICANT BY THE INSURER IN A TIMELY MANNER.

468D.

(a) In this section "loss ratio" means the ratio of losses
incurred to premiums earned on policies issued, delivered, or
renewed in this State.

[(b) The Commissioner shall establish a minimum loss ratio
in accordance with generally accepted actuarial principles with
respect to Medicare supplement policies for the purpose of
administering §§ 375, 375A, and 376 of this article.]

(B)  MEDICARE SUPPLEMENT POLICIES SHALL RETURN AGGREGATE
BENEFITS WHICH ARE REASONABLE IN RELATION TO THE PREMIUM CHARGED.
FOR THE PURPOSE OF ADMINISTERING THIS ACT AND §§ 375, 375A, AND
376 OF THIS ARTICLE, THE COMMISSIONER SHALL ADOPT REASONABLE
REGULATIONS TO ESTABLISH MINIMUM STANDARDS FOR LOSS RATIOS OF
MEDICARE SUPPLEMENT POLICIES ON THE BASIS OF INCURRED CLAIMS
EXPERIENCE AND EARNED PREMIUMS IN ACCORDANCE WITH ACCEPTED
ACTUARIAL PRINCIPLES AND PRACTICES. WHICH SPECIFY A LOSS RATIO
OF:

(1)  AT LEAST 75 PERCENT OF THE AGGREGATE AMOUNT OF
PREMIUMS EARNED IN THE CASE OF GROUP MEDICARE SUPPLEMENT
POLICIES; AND

(2)  AT LEAST 60 PERCENT OF THE AGGREGATE AMOUNT OF
PREMIUMS EARNED IN THE CASE OF INDIVIDUAL MEDICARE SUPPLEMENT
POLICIES OR SUBSCRIBER CONTRACTS.

(C)  EVERY ENTITY PROVIDING MEDICARE SUPPLEMENT POLICIES OR
CERTIFICATES IN THE STATE SHALL FILE ANNUALLY WITH THE
COMMISSIONER ITS RATES, RATING SCHEDULE, AND SUPPORTING
DOCUMENTATION DEMONSTRATING THAT IT IS IN COMPLIANCE WITH THE
APPLICABLE LOSS RATIO STANDARDS OF THE STATE. ALL FILINGS OF
RATES AND RATING SCHEDULES SHALL DEMONSTRATE THAT THE ACTUAL AND
EXPECTED LOSSES IN RELATION TO PREMIUMS COMPLY WITH THE
REQUIREMENTS OF THIS ACT.

468DA.

(A)  THE COMMISSIONER SHALL ADOPT REASONABLE REGULATIONS TO
ESTABLISH SPECIFIC STANDARDS FOR POLICY PROVISIONS OF MEDICARE
SUPPLEMENT POLICIES AND CERTIFICATES. THESE STANDARDS SHALL BE
IN ADDITION TO AND IN ACCORDANCE WITH APPLICABLE LAWS OF THE
STATE, INCLUDING SUBTITLES 20, 25, 26, AND 31 OF THIS ARTICLE.

(B)  THE STANDARDS MAY COVER, BUT NOT BE LIMITED TO:

(1) TERMS OF RENEWABILITY;

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