1. (a) In this section, “product” means a discrete package of health benefits that are offered using a particular product network type within a geographic service area.

2. (b) A carrier that elects not to renew all of a particular product in the State shall:

   1. (1) provide notice of the nonrenewal at least 90 days before the date of the nonrenewal to each affected:

      1. (i) policyholder;
      2. (ii) plan sponsor;
      3. (iii) participant; and
      4. (iv) beneficiary;
   2. (2) offer to each affected plan sponsor the option to purchase any other health insurance coverage currently being offered by the carrier; and
   3. (3) act uniformly without regard to the claims experience of any affected plan sponsor, or any health status-related factor of any affected individual.
3. (c) A carrier may elect not to renew all group health benefit plans in the State.

4. (d) When a carrier elects not to renew all group health benefit plans in the State, the carrier:

   1. (1) shall give notice of its decision to the affected individuals at least 180 days before the effective date of nonrenewal;
   2. (2) at least 30 working days before that notice, shall give notice to the Commissioner; and
   3. (3) may not write new business for groups in the State for a 5-year period beginning on the date of notice to the Commissioner.
5. (e) A health maintenance organization need not offer coverage to an individual who does not live, reside, or work within the health maintenance organization's approved service areas.
6. (f) A carrier may make a uniform modification of coverage for a product only at the time of renewal of a health benefit plan.
7. (g) A carrier will not be considered to have elected not to renew all group health benefit plans in the State if the carrier complies with 45 C.F.R. § 147.106(d)(3).

Added by Acts 1997, c. 294, § 3, eff. Oct. 1, 1997. Amended by Acts 2015, c. 363, § 1, eff. May 12, 2015; Acts 2017, c. 720, § 1, eff. June 1, 2017.