Intent of General Assembly (a) In adopting this subtitle, the General Assembly intends to:
(1) Provide alternative methods for the delivery of health care services to residents of this State, with a view toward achieving greater efficiency and economy in providing these services;
(2) Encourage the formation of health maintenance organizations that provide health care services to subscribers or groups of subscribers who contract for these services under a system of prepayments; and
(3) Encourage the formation of health maintenance organizations by such diverse groups as:
(i) Nonprofit health service plans;
(ii) Medical health service plans;
(iii) Medical care foundations;
(iv) Groups of professionals, either in the form of partnerships or professional corporations;
(v) Consumer sponsored organizations; or
(vi) Business or legal entities.
(b) To carry out the intent of subsection (a) of this section, the policy of this State is to:
(1) Provide one overall State law that:
(i) Regulates health maintenance organizations;
(ii) Allows flexibility for the many forms these health maintenance organizations may take; and
(iii) Facilitates public understanding and uniform administration of the rules and regulations that are adopted under this subtitle;
(2) Eliminate legal barriers to the organization, promotion, and expansion of health maintenance organizations;
(3) Provide for regulation of:
(i) The quality of health care, by the Department and by professional standards review organizations where appropriate; and
(ii) All other matters covered under this subtitle, by the Commissioner; and
(4) Exempt health maintenance organizations from the insurance laws of this State, except as set forth in this subtitle.
Credits
Added by Acts 1982, c. 21, § 2, eff. July 1, 1982. Amended by Acts 1999, c. 697, § 1, eff. Oct. 1, 1999.
Current through legislation effective through April 25, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
