PARRIS N. GLENDENING, Governor

Ch. 300

Section 15-1212(a)

Annotated Code of Maryland

(1995 Volume and 1996 Supplement)

(As enacted by Chapter_ (H.B. 11) of the Acts of the General Assembly of

1997)

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

Article — Insurance

15-121.

(A) IN THIS SECTION, "CARRIER" MEANS:

(1) AN INSURER;

(2) A NONPROFIT HEALTH SERVICE PLAN;

(3) A HEALTH MAINTENANCE ORGANIZATION;

(4) A DENTAL PLAN ORGANIZATION; OR

(5) ANY OTHER PERSON THAT PROVIDES HEALTH BENEFIT PLANS
SUBJECT TO REGULATION BY THE STATE.

(B) BEFORE RENEWING A HEALTH BENEFIT PLAN, A CARRIER SHALL MAIL A
NOTICE OF RENEWAL TO THE INSURED OR POLICYHOLDER GROUP CONTRACT
HOLDER AT LEAST 30 DAYS BEFORE THE EXPIRATION OF THE HEALTH BENEFIT
PLAN.

(C) THE NOTICE OF RENEWAL SHALL INCLUDE THE DATES OF THE RENEWAL
PERIOD, THE HEALTH BENEFIT PLAN RATES, AND THE TERMS OF COVERAGE UNDER
THE HEALTH BENEFIT PLAN.

15-1212.

(a) (1) Except as provided in subsections (b) and (c) of this section, a carrier
shall renew a health benefit plan at the option of the small employer.

(2) On renewal, a carrier may not exclude eligible employees or dependents
from a health benefit plan.

(3) (I) A CARRIER SHALL MAIL A NOTICE OF RENEWAL TO THE
SMALL EMPLOYER AT LEAST 30 DAYS BEFORE THE EXPIRATION OF A HEALTH
BENEFIT PLAN.

(II) THE NOTICE OF RENEWAL SHALL INCLUDE THE DATES OF THE
RENEWAL PERIOD, THE HEALTH BENEFIT PLAN RATES, AND THE TERMS OF
COVERAGE UNDER THE HEALTH BENEFIT PLAN.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect
October 1, 1997.

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