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PARRIS N. GLENDENING, Governor
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Ch. 323
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"Subtitle 10D. Regulation of Administrative Service Provider Contracts
and Downstream Risk Assumption Contracts"
Annotated Code of Maryland
(1997 Volume and 1999 Supplement)
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That Section(s) 19-713.3 and 19-713.4, respectively, of Article - Health
- General of the Annotated Code of Maryland be renumbered to be Section(s)
19-713.4 and 19-713.5, respectively.
SECTION 1. 2. AND BE IT FURTHER ENACTED BY THE GENERAL
ASSEMBLY OF MARYLAND, That the Laws of Maryland read as follows:
Article - Health - General
15-102.3.
(a) The provisions of § 15-112 of the Insurance Article (Provider panels) shall
apply to managed care organizations in the same manner they apply to carriers.
(b) The provisions of § 15-1005 of the Insurance Article shall apply to
managed care organizations in the same manner they apply to health maintenance
organizations.
(c) (1) THE PROVISIONS OF TITLE 15, SUBTITLE 10D OF THE INSURANCE
ARTICLE SHALL §§ 19-712(B), (C), AND (D), 19-713.2, AND 19-713.3 OF THIS ARTICLE
APPLY TO MANAGED CARE ORGANIZATIONS IN THE SAME MANNER THEY APPLY TO
HEALTH MAINTENANCE ORGANIZATIONS.
(2) THE INSURANCE COMMISSIONER SHALL CONSULT WITH THE
SECRETARY BEFORE TAKING ANY ACTION AGAINST A MANAGED CARE
ORGANIZATION UNDER THIS SUBSECTION.
(D) (1) Except as otherwise provided in this subsection, the provisions of §
19-718 of this article (Financial affairs examination) shall apply to managed care
organizations in the same manner they apply to health maintenance organizations.
(2) The Insurance Commissioner or an agent of the Commissioner shall
examine the financial affairs and status of each managed care organization at least
once every 5 years.
19-706.
(y) The provisions of Title 15, Subtitles 10A, [and] 10C, AND 10D of the
Insurance Article shall apply to health maintenance organizations.
19-712.
(b) (1) A person who holds a certificate of authority to operate a health
maintenance organization under this subtitle and who enters into any administrative
service provider contract, as defined in [§ 19-713.1] § 19-713.2 of this subtitle, with
a person or entity for the provision of health care services to subscribers shall be
responsible for all claims or payments for health care services:
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