Ch. 610

LAWS OF MARYLAND

priority over all other expenses; specifying that enrollees
or subscribers of health maintenance organizations be held
harmless for certain financial obligations of health
maintenance organizations; requiring health maintenance
organizations to have certain insolvency plans by a certain
date; and generally relating to the rehabilitation and
insolvency of health maintenance organizations.

BY repealing and reenacting, with amendments,

Article - Health - General

Section 19-706.1 and 19-710(h)

Annotated Code of Maryland

(1987 Replacement Volume and 1988 Supplement)

BY repealing and reenacting, without amendments,

Article - Health - General

Section 19-710(h)

Annotated Code of Maryland

(1987 Replacement Volume and 1988 Supplement)

BY adding to

Article - Health - General

Section 19-710(o) and (p)

Annotated Code of Maryland

(1987 Replacement Volume and 1988 Supplement)

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

Article - Health - General

19-706.1.

(a)  Subject to this section, the provisions of Article 48A,
Subtitle 10 of the Code regarding the rehabilitation and
liquidation of insurers is applicable to health maintenance
organizations.

(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.

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