EXPLANATION: CAPITALS INDICATE MATTER ADDE D TO EXISTING LAW .
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
*hb0536*
HOUSE BILL 536
J5, P1 EMERGENCY BILL 2lr1297
By: Delegate Pendergrass
Introduced and read first time: January 21, 2022
Assigned to: Health and Government Operations
Committee Report: Favorable with amendments
House action: Adopted
Read second time: February 26, 2022
CHAPTER ______
AN ACT concerning 1
Maryland Insurance Commissioner – Authority – Federal Health Emergency 2
FOR the purpose of requiring the Maryland Insurance Commissioner to adopt regulations 3
that may be applied when a certain national or public health emergency, that within 4
the Commissioner’s discretion affects the State, is issued by the President of the 5
United States or the Secretary of Health and Human Services; requiring that, for a 6
certain period of time after the termination of a national or public health emergency 7
due to the COVID–19 pandemic, a carrier that issues Medicare supplement policies 8
establish a special enrollment period for individuals enrolled in Medicare Part B and 9
the Maryland Medical Assistance Program who remain in the Program due to a 10
suspension of terminations by the Program during the state of emergency and are 11
not disenrolled until a certain period of time following the effective date of enrollment 12
in Medicare Part B; and generally relating to the authority of the Maryland 13
Insurance Commissioner during a federal health emergency. 14
BY repealing and reenacting, with amendments, 15
Article – Insurance 16
Section 2–115 17
Annotated Code of Maryland 18
(2017 Replacement Volume and 2021 Supplement) 19
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 20
That the Laws of Maryland read as follows: 21
Article – Insurance 22 2 HOUSE BILL 536
2–115. 1
(a) The Commissioner shall adopt regulations that may be applied when: 2
(1) the Governor has declared a state of emergency for the State or an area 3
within the State under § 14–107 of the Public Safety Article; [or] 4
(2) the President of the United States has issued a major disaster or 5
emergency declaration for the State or an area within the State under the federal Stafford 6
Act; OR 7
(3) A NATIONAL OR PUBLIC HEALTH EMERGENCY , THAT WITHIN THE 8
COMMISSIONER ’S DISCRETION AFFECTS THE STATE,: 9
(I) IS ISSUED: 10
(I) 1. BY THE PRESIDENT OF THE UNITED STATES UNDER § 11
201, § 202(D), OR § 301 OF THE FEDERAL NATIONAL EMERGENCIES ACT; OR 12
(II) 2. BY THE SECRETARY OF HEALTH AND HUMAN 13
SERVICES UNDER THE FE DERAL PUBLIC HEALTH SERVICE ACT; AND 14
(II) IS BASED ON A SERIO US THREAT TO HEALTH RESULTING 15
FROM THE EXISTENCE O F A DEADLY AGENT AS DEFINED IN § 14–3A–01 OF THE 16
PUBLIC SAFETY ARTICLE. 17
(b) The regulations may: 18
(1) apply to any person regulated by the Commissioner under this article 19
or Title 19, Subtitle 7 of the Health – General Article; and 20
(2) address: 21
(i) submission of claims or proof of loss; 22
(ii) grace periods for payment of premiums and performance of other 23
duties by insureds; 24
(iii) temporary postponement of cancellations, nonrenewals, 25
premium increases, or policy modifications; 26
(iv) procedures for obtaining nonelective health care services; 27
(v) time restrictions for filling or refilling prescription drugs; 28
HOUSE BILL 536 3
(vi) time frames applicable to an action by the Commissioner under 1
this article; and 2
(vii) any other activity necessary to protect the residents of the State. 3
(c) (1) To activate a regulation adopted under this section, the Commissioner 4
shall issue a bulletin specifying: 5
(i) that the regulation is activated; 6
(ii) the line or lines of business to which the regulation applies; 7
(iii) the geographic areas to which the regulation applies; and 8
(iv) the period of time for which the regulation applies. 9
(2) (I) [A] EXCEPT AS PROVIDED UN DER SUBPARAGRAPH (II) OF 10
THIS PARAGRAPH , A regulation activated under paragraph (1) of this subsection may not 11
apply beyond the duration of, or the geographical area included within, the Governor’s or 12
President’s declaration of a state of emergency or disaster. 13
(II) A REGULATIO N ACTIVATED UNDER PA RAGRAPH (1) OF THIS 14
SUBSECTION IN RESPON SE TO A NATIONAL OR PUBLIC HEALTH EMERGE NCY 15
DESCRIBED IN SUBSECT ION (A)(3) OF THIS SECTION MAY NOT APPLY BEYOND THE 16
DURATION OF THE PRESIDENT’S OR SECRETARY OF HEALTH AND HUMAN 17
SERVICES’ DECLARATI ON OF A NATIONAL OR PUBLIC HEALTH EMERGE NCY. 18
(3) The Commissioner: 19
(i) shall provide a copy of the bulletin to the emergency contact 20
designated by the person subject to the bulletin; and 21
(ii) may post a copy of the bulletin on the Administration’s Web site. 22
SECTION 2. AND BE IT FURTHER ENACTED, That: 23
(a) This section: 24
(1) prevails over any inconsistent provisions of COMAR 31.10.06.09–1; and 25
(2) shall apply to any individual Medicare supplement policy and to any 26
group Medicare supplement policy issued to a group of which an individual has privileges 27
associated with group membership. 28
(b) The definitions in § 15–901 of the Insurance Article shall apply to this section. 29
4 HOUSE BILL 536
(c) A carrier that issues Medicare supplement policies in the State shall issue any 1
Medicare supplement policy the carrier sells in the State to an individual eligible for 2
Medicare if the individual: 3
(1) is enrolled in Medicare Part B while enrolled in the Maryland Medical 4
Assistance Program; 5
(2) remained in the Maryland Medical Assistance Program due to a 6
suspension of terminations by the Maryland Medical Assistance Program during a state of 7
emergency and was not disenrolled or terminated until at least 6 months following the 8
effective date of enrollment in Medicare Part B; 9
(3) applies for the Medicare supplement policy during the 63–day period 10
following the later of notice of termination or disenrollment or the date of termination from 11
the Maryland Medical Assistance Program; and 12
(4) submits evidence of the date of termination or disenrollment from the 13
Maryland Medical Assistance Program with the application for a Medicare supplement 14
policy. 15
(d) With respect to an individual described in this section, a carrier may not: 16
(1) deny or place a condition on the issuance or effectiveness of a Medicare 17
supplement policy that is offered and is available for issuance to new enrollees by the 18
carrier; 19
(2) discriminate in the pricing of a Medicare supplement policy because of 20
health status, claims experience, receipt of health care, or medical condition; or 21
(3) impose an exclusion of benefits based on a preexisting condition under 22
a Medicare supplement policy. 23
SECTION 3. AND BE IT FURTHER ENACTED, That this Act is an emergency 24
measure, is necessary for the immediate preservation of the public health or safety, has 25
been passed by a yea and nay vote supported by three–fifths of all the members elected to 26
each of the two Houses of the General Assembly, and shall take effect from the date it is 27
enacted. Section 2 of this Act shall remain effective until 1 year after the termination of the 28
national emergency declared by the President of the United States under § 201, § 202(d), 29
or § 301 of the federal National Emergencies Act or the termination of the public health 30
emergency declared by the federal Department of Health and Human Services under the 31
federal Public Health Service Act due to the COVID–19 pandemic, whichever is later, and, 32
at that time, Section 2 of this Act, with no further action required by the General Assembly, 33
shall be abrogated and of no further force and effect. 34