EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXIS TING LAW.
[Brackets] indicate matter deleted from existing law.
*hb0936*
HOUSE BILL 936
J5 5lr1940
By: Delegates Shetty, Forbes, D. Jones, Kaufman, J. Lewis, McCaskill, Smith,
Solomon, and Watson
Introduced and read first time: January 31, 2025
Assigned to: Health and Government Operations
A BILL ENTITLED
AN ACT concerning 1
Health Insurance – Cancellation and Nonrenewal of Coverage – Required Notice 2
FOR the purpose of requiring that a carrier provide the written notice of cancellation or 3
nonrenewal of a small group market health benefit plan by certified mail, return 4
receipt requested, and by electronic means and include information regarding 5
additional health benefit coverage options in the notice; and generally relating to 6
cancellation and nonrenewal of health benefit plans in the State. 7
BY repealing and reenacting, without amendments, 8
Article – Insurance 9
Section 15–1212(h) 10
Annotated Code of Maryland 11
(2017 Replacement Volume and 2024 Supplement) 12
BY repealing and reenacting, with amendments, 13
Article – Insurance 14
Section 15–1212(i) 15
Annotated Code of Maryland 16
(2017 Replacement Volume and 2024 Supplement) 17
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 18
That the Laws of Maryland read as follows: 19
Article – Insurance 20
15–1212. 21
(h) When a carrier elects not to renew a particular product for all small employers 22
in the State, the carrier shall: 23
2 HOUSE BILL 936
(1) provide notice of the nonrenewal at least 90 days before the date of the 1
nonrenewal to: 2
(i) each affected: 3
1. small employer; and 4
2. enrolled employee; and 5
(ii) the Commissioner; 6
(2) offer to each affected small employer the option to purchase all other 7
health benefit plans currently offered by the carrier in the small group market; and 8
(3) act uniformly without regard to the claims experience of any affected 9
small employer, or any health status–related factor of any affected individual. 10
(i) (1) Within 7 days after cancellation or nonrenewal of a health benefit plan, 11
the carrier shall send to each enrolled employee: 12
(I) written notice of its action BY CERTIFIED MAIL , RETURN 13
RECEIPT REQUESTED ; AND 14
(II) NOTICE DELIVERED BY ELECTRO NIC MEANS THAT 15
COMPILES WITH § 27–601.2 OF THIS ARTICLE . 16
(2) THE NOTICE REQUIRED UNDE R PARAGRAPH (1) OF THIS 17
SUBSECTION SHALL INCLUDE INFORMATIO N ON ADDITIONAL HEAL TH BENEFIT 18
COVERAGE OPTIONS, INCLUDING CONTINUATION OF COVE RAGE THROUGH THE 19
CONSOLIDATED OMNIBUS BUDGET RECONCILIATION ACT (COBRA), IF 20
AVAILABLE, AND PLANS AVAILABLE THRO UGH THE MARYLAND HEALTH BENEFIT 21
EXCHANGE. 22
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 23
1, 2025. 24