ROBERT L. EHRLICH, JR., Governor

S.B. 4

(2) TO THE EXTENT THAT THE LEGISLATIVELY ENACTED CHARTER OF
AN ENTITY SUBJECT TO THIS SECTION, OR THE LAWS OR ADMINISTRATIVE RULES OR
REGULATIONS OF THE JURISDICTION OF DOMICILE OF AN ENTITY SUBJECT TO THIS
SECTION, PROHIBIT THE ENTITY FROM COMPLYING WITH A REQUIREMENT OF
SUBSECTION (C) OF THIS SECTION, THE LEGISLATIVELY ENACTED CHARTER, LAWS,
AND ADMINISTRATIVE RULES AND REGULATIONS OF THE JURISDICTION OF
DOMICILE SHALL SUPERCEDE AND TAKE PRECEDENCE OVER THE REQUIREMENT OF
SUBSECTION (C) OF THIS SECTION.

14-110.

(a) The Commissioner shall issue a certificate of authority to an applicant if:

(1)     the applicant has paid the applicable fee required by § 2-112 of this
article; and

(2)     the Commissioner is satisfied:

(i) that the applicant has been organized in good faith for the
purpose of establishing, maintaining, and operating a nonprofit health service plan
that:

1. is committed to a nonprofit corporate structure;

2. in accordance with the charter of the nonprofit health
service plan, seeks to provide affordable and accessible health insurance; and

3. IN ACCORDANCE WITH THE CHARTER OF THE NONPROFIT
HEALTH SERVICE PLAN, recognizes a responsibility to contribute to the improvement
of the overall health status of [Maryland residents] THE RESIDENTS OF THE
JURISDICTIONS IN WHICH IT OPERATES;

(ii) that:

1. each contract executed or proposed to be executed by the
applicant and a health care provider to furnish health care services to subscribers to
the nonprofit health service plan, obligates or, when executed, will obligate each
health care provider party to the contract to render the health care services to which
each subscriber is entitled under the terms and conditions of the various contracts
issued or proposed to be issued by the applicant to subscribers to the plan; and

2. each subscriber is entitled to reimbursement for podiatric,
chiropractic, psychological, or optometric services, regardless of whether the service is
performed by a licensed physician, licensed podiatrist, licensed chiropractor, licensed
psychologist, or licensed optometrist;

(iii) that:

1. each contract issued or proposed to be issued to
subscribers to the plan is in a form approved by the Commissioner; and

2. the rates charged or proposed to be charged for each form
of each contract are fair and reasonable;

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