PARRIS N. GLENDENING, Governor

Ch. 35

"Medicare" § 15-901

"Medicare supplement policy" § 15-901

"Policy" §§ 1-101 and 15-901

15-917. OUTLINE OF COVERAGE.

(A) IN GENERAL.

IN ORDER TO PROVIDE FOR FULL AND FAIR DISCLOSURE IN THE SALE OF
MEDICARE SUPPLEMENT POLICIES, A MEDICARE SUPPLEMENT POLICY OR
CERTIFICATE MAY NOT BE DELIVERED IN THE STATE UNLESS AN OUTLINE OF
COVERAGE IS PROVIDED TO THE APPLICANT AT THE TIME THE APPLICATION IS
DELIVERED.

(B) FORMAT AND CONTENTS.

(1) IN THIS SUBSECTION, "FORMAT" MEANS STYLE, ARRANGEMENTS,
AND OVERALL APPEARANCE, INCLUDING THE SIZE, COLOR, AND PROMINENCE OF
TYPE AND ARRANGEMENT OF TEXT AND CAPTIONS.

(2) THE COMMISSIONER SHALL PRESCRIBE THE FORMAT AND CONTENT
OF THE OUTLINE OF COVERAGE REQUIRED BY THIS SECTION.

(3) THE OUTLINE OF COVERAGE SHALL INCLUDE:

(I) A DESCRIPTION OF THE PRINCIPAL BENEFITS AND COVERAGE
PROVIDED IN THE MEDICARE SUPPLEMENT POLICY;

(II) A STATEMENT OF THE EXCEPTIONS, REDUCTIONS, AND
LIMITATIONS CONTAINED IN THE MEDICARE SUPPLEMENT POLICY;

(III) A STATEMENT OF THE RENEWAL PROVISIONS, INCLUDING ANY
RESERVATION BY THE CARRIER OF A RIGHT TO CHANGE PREMIUMS;

(IV) DISCLOSURE OF THE EXISTENCE OF ANY AUTOMATIC
RENEWAL PREMIUM INCREASES BASED ON THE POLICYHOLDER'S AGE; AND

(V) A STATEMENT THAT THE OUTLINE OF COVERAGE IS A
SUMMARY OF THE MEDICARE SUPPLEMENT POLICY THAT IS ISSUED OR APPLIED
FOR AND THAT THE MEDICARE SUPPLEMENT POLICY SHOULD BE CONSULTED TO
DETERMINE GOVERNING CONTRACTUAL PROVISIONS.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 468E(d) and (e).

Defined terms: "Applicant" § 15-901
"Carrier" § 15-901
"Certificate" § 15-901
"Commissioner" § 1-101
"Medicare supplement policy" § 15-901
"Premium" § 1-101

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