Ch. 242                                     1993 LAWS OF MARYLAND

(2)     A statement of the principal exclusions; reductions, and limitations
contained in the policy;

(3)     A statement of the renewal provisions; including any reservation in the
policy or contract of a right to change the schedule of premiums;

(4)     A statement that the outline of coverage is a summary of the policy or
contract issued or applied for, and that the policy or contract should be consulted to
determine the governing contractual provisions; AND

(5) A GRAPHIC COMPARISON, OVER AT LEAST A 20-YEAR PERIOD, OF
THE BENEFIT LEVELS OF A POLICY THAT INCREASES BENEFITS OVER THE POLICY
OR CERTIFICATE PERIOD COMPARED WITH A POLICY THAT DOES NOT INCREASE
BENEFITS; AND

(6) (5) ANY EXPECTED PREMIUM INCREASES OR ADDITIONAL.
PREMIUMS TO PAY FOR AUTOMATIC OR OPTIONAL BENEFIT INCREASES INCLUDING
A REASONABLE HYPOTHETICAL OR GRAPHIC DEMONSTRATION OF THE
MAGNITUDE OF THE POTENTIAL PREMIUMS THE APPLICANT WILL NEED TO PAY AT
AGE 75 FOR BENEFIT INCREASES.

(c) A certificate issued pursuant to group long-term care insurance shall include:

(1)     A description of the principal benefits and coverage provided in the
policy or contract;

(2)     A statement of the principal exclusions, reductions, and limitations of
coverage contained in the policy or contract; and

(3)     A statement that the group master policy or contract determines
governing contractual provisions.

(D)     THE BUYER'S GUIDE SHALL INCLUDE INFORMATION REGARDING THE
PURCHASE OF A LONG-TERM CARE INSURANCE POLICY, INCLUDING A REFERENCE
TO THE RIGHT OF THE PURCHASER TO CANCEL A POLICY DURING THE FIRST 30
DAYS AFTER THE POLICY IS DELIVERED.

(E)     AN INSURER SHALL PROVIDE AN APPLICANT FOR LONG-TERM CARE
INSURANCE WITH A GRAPHIC COMPARISON, OVER AT LEAST A 20-YEAR PERIOD, OF
THE BENEFIT LEVELS OF A POLICY THAT INCREASES BENEFITS OVER THE POLICY
OR CERTIFICATE PERIOD COMPARED WITH A POLICY THAT DOES NOT INCREASE
BENEFITS.

(E) (F) IN THE CASE OF A LONG-TERM CARE INSURANCE POLICY ISSUED AS
PART OF OR A RIDER ON A LIFE INSURANCE POLICY, AT THE TIME OF POLICY
DELIVERY THE INSURER SHALL PROVIDE A POLICY SUMMARY THAT INCLUDES:

(1) AN EXPLANATION OF HOW THE LONG-TERM CARE BENEFITS
INTERACT WITH OTHER COMPONENTS OF THE POLICY, INCLUDING DEDUCTIONS
FROM DEATH BENEFITS;

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