PARRIS N. GLENDENING, Governor

Ch. 11

(1)      THE TRUSTEES SHALL PAY THE PREMIUM FOR THE POLICY:

(I)       WHOLLY FROM FUNDS CONTRIBUTED BY THE PROFESSIONAL
ASSOCIATION; OR

(II)     PARTLY FROM FUNDS CONTRIBUTED BY THE PROFESSIONAL
ASSOCIATION AND PARTLY FROM FUNDS CONTRIBUTED BY THE INSURED
MEMBERS.

(2)      THE PREMIUMS MAY BE PAID BY THE INSURED MEMBERS
SPECIFICALLY FOR THEIR INSURANCE IF:

(I)       THE POLICY IS ISSUED TO THE TRUSTEES OF A PROFESSIONAL
ASSOCIATION; AND

(II)     THE TOTAL NUMBER OF INDIVIDUALS COVERED AT DATE OF
ISSUE WHO ELECT TO MAKE THE REQUIRED CONTRIBUTION, OTHER THAN THOSE
WHO HAVE EVIDENCE OF INDIVIDUAL INSURABILITY THAT IS UNSATISFACTORY TO
THE INSURER, EXCEEDS THE LESSER OF 600 OR 75% OF THE ELIGIBLE MEMBERS.

(3)      A POLICY ON WHICH NO PART OF THE PREMIUM IS PAID FROM
FUNDS CONTRIBUTED BY THE INSURED MEMBERS SPECIFICALLY FOR THEIR
INSURANCE MUST INSURE:

(I)       ALL ELIGIBLE MEMBERS; OR

(II)     ALL ELIGIBLE MEMBERS OTHER THAN THOSE WHO HAVE
EVIDENCE OF INDIVIDUAL INSURABILITY THAT IS UNSATISFACTORY TO THE
INSURER.

(E)     MINIMUM NUMBER OF MEMBERS COVERED.

THE POLICY MUST COVER AT LEAST 100 MEMBERS AT DATE OF ISSUE.

(F)      PLAN TO PRECLUDE INDIVIDUAL CHOICE.

THE AMOUNTS OF INSURANCE UNDER THE POLICY MUST BE BASED ON A PLAN
THAT PRECLUDES INDIVIDUAL CHOICE BY THE MEMBERS OR BY THE TRUSTEES.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 421.

Throughout subsection (d) of this section, the reference to insured "members"
is substituted for the former reference to insured "persons" for clarity.

In the introductory language of subsection (d)(3) of this section, the word
"paid" is substituted for the former word "derived" for consistency throughout
this section and this subtitle.

In subsection (e) of this section, the reference to "members" is substituted for
the former reference to "persons" for clarity and consistency throughout this
section and this subtitle.

In subsection (f) of this section, the reference to "members" is substituted for

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