Ch. 11

1996 LAWS OF MARYLAND

the former reference to "insured persons" for clarity and consistency
throughout this subtitle. Similarly, the reference to the "trustees" is
substituted for the former reference to the "policyholder" in light of
subsection (b)(2) of this section and for consistency throughout this subtitle.

The Insurance Article Review Committee notes, for consideration by the
General Assembly, that the language of the first clause of former Art. 48A, §
421, which described an association authorized to acquire a group policy as an
"association of persons licensed by the State of Maryland or authorized by law
to engage in a recognized profession", is unclear and subject to varying
interpretations. This provision is retained as subsection (a) of this section. The
General Assembly may wish to clarify its intended effect.

Defined terms: "Insurance" § 1-101
"Insurer" § 1-101
"Person" § 1-101
"Policy" § 1-101                 

"Premium" § 1-101

17-205. PUBLIC EMPLOYERS OR PUBLIC EMPLOYEES ASSOCIATION.

(A) DEFINITIONS.

(1)      IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS
INDICATED.

(2)      "PUBLIC EMPLOYER" MEANS A COUNTY, MUNICIPAL CORPORATION,
ASSOCIATION OF COUNTIES OR MUNICIPAL CORPORATIONS, STATE COLLEGE OR
UNIVERSITY, OR UNIT OF STATE, COUNTY, OR MUNICIPAL CORPORATION
GOVERNMENT.

(3)      "PUBLIC EMPLOYEES ASSOCIATION" MEANS AN ASSOCIATION OF
FEDERAL, STATE, COUNTY, OR MUNICIPAL CORPORATION EMPLOYEES.

.(B) IN GENERAL.

(1)      SUBJECT TO THE REQUIREMENTS OF THIS SECTION, THE LIVES OF A
GROUP OF INDIVIDUALS MAY BE INSURED UNDER A POLICY ISSUED TO A PUBLIC
EMPLOYER OR PUBLIC EMPLOYEES ASSOCIATION TO COVER EMPLOYEES OF THE
PUBLIC EMPLOYER OR MEMBERS OF THE PUBLIC EMPLOYEES ASSOCIATION FOR
THE BENEFIT OF PERSONS OTHER THAN THE PUBLIC EMPLOYER OR PUBLIC
EMPLOYEES ASSOCIATION.

(2)     THE PUBLIC EMPLOYER OR PUBLIC EMPLOYEES ASSOCIATION TO
WHICH THE POLICY IS ISSUED IS DEEMED THE POLICYHOLDER.

(C) EMPLOYEES OR MEMBERS ELIGIBLE FOR INSURANCE.

(1) ALL EMPLOYEES OF THE PUBLIC EMPLOYER, ALL MEMBERS OF THE
PUBLIC EMPLOYEES ASSOCIATION, OR ALL OF ANY CLASS OR CLASSES OF
EMPLOYEES OR MEMBERS DETERMINED BY CONDITIONS PERTAINING TO THEIR

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