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Ch. 409
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2002 LAWS OF MARYLAND
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(ii) a contract between the employer of an insured and a health
maintenance organization certified under Title 19, Subtitle 7 of the Health - General
Article that provides group hospital, medical, or surgical benefits to the employees of
the employer.
(4) "Insured" means an employee who is a resident of the State and
covered under a current or predecessor group contract with the same employer for at
least 3 months before the change in status.
(b) (1) Each group contract in force on the date of the change in status shall
provide continuation coverage in accordance with this section.
(2) Subject to subsection (c) of this section, if continuation coverage is
elected by or on behalf of an insured, the group contract shall provide continuation
coverage to the insured after a change in status.
(c) Continuation coverage that is elected by or on behalf of the insured under
the group contract shall begin on the date of the change in status and end on the
earliest of the following:
(1) 18 months after the date of the change in status;
(2) the date on which the insured fails to make timely payment of an
amount required under subsection (d)(2) of this section;
(3) the date on which the insured becomes eligible for hospital, medical,
or surgical benefits under an insured or self-insured group health benefit program or
plan, other than the group contract, that is written on an expense-incurred basis or is
with a health maintenance organization;
(4) the date on which the insured becomes entitled to benefits under
Title XVIII of the Social Security Act;
(5) the date on which the insured accepts hospital, medical, or surgical
coverage under a nongroup contract or policy that is written on an expense-incurred
basis or is with a health maintenance organization;
(6) the date on which the insured elects to terminate coverage under the
group contract; or
(7) the date on which the employer ceases to provide benefits to its
employees under a group contract.
(d) Continuation coverage under this section shall:
(1) be provided without evidence of insurability or additional waiting
periods;
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(2) require the insured to pay to the employer an amount that does not
exceed:
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- 3130 -
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