An Act To Create a Nonprofit State-run Insurance Plan
Maine Legislature, Session 122, LD 1490
Committee: Insurance and Financial Services
Sponsors: CANAVAN, COWGER, BRAUTIGAM, BURNS, CRAVEN, NORTON, O'BRIEN, PELLETIER-SIMPSON, SAMPSON, WALCOTT
Amends: 24-A MRSA §6910

Legislative Document 
No. 1490 
H.P.1047 
House of Representatives, March 28, 2005 
An Act To Create a Nonprofit State-run Insurance Plan 
Reference to the Committee on Insurance and Financial Services suggested and ordered 
printed. 
Presented by Representative CANAVAN of Waterville. 
Cosponsored by Senator COWGER of Kennebec and 
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/J7.1J?t1C~{ 
MILLICENT M. MacFARLAND 
Clerk 
Representatives: BRAUTIGAM of Falmouth, BURNS of Berwick, CRAVEN of Lewiston, 
NORTON of Bangor, O'BRIEN of Lewiston, PELLETIER-SIMPSON of Auburn, SAMPSON 
of Auburn, WALCOTT of Lewiston. 
Printed on recycled paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 24-A MRSA §6910, sub-§2, as enacted by PL 2003, c. 
469, Pt. A, §8, is amended to read: 
2. 
Legislative approval of nonprofit health care plan or 
expansion of public plan. 
;U--he-aJ.-t-h--i-a-&1:H:oa:B-Ge---€-B-£-£-ie-£-6--do--Het 
app*y-~e-~~~e-£-~~l~~-~~-~~~~-~H&~~a:Heer-tRe The board 
may have Dirigo Health provide access to health insurance by 
proposing the establishment of 
a 
nonprofit health care plan 
organized under Title 13-B and authorized pursuant to Title 24, 
chapter 19 or by proposing the expansion of an existing public 
plan. If the board proposes the establishment of 
a 
nonprofit 
health care plan or the expansion of an existing public plan, the 
board shall submit its proposal, including, but not limited to, a 
funding mechanism to capitalize a nonprofit health care plan and 
any recommended legislation to the joint standing committee of 
the 
Legislature 
having 
jurisdiction 
over 
health 
insurance 
matters. Dirigo Health may not provide access to health insurance 
by establishing 
a 
nonprofit health care plan or 
through 
an 
existing public plan without specific legislative approval. 
Sec. 2. Propose establishment of nonprofit health plan. 
The Board 
of Directors of Dirigo Health, established in the Maine Revised 
Statutes, 
Title 
24-A, 
section 
6904, 
shall 
propose 
the 
establishment of a nonprofit health care plan organized under 
Title l3-B and authorized pursuant to Title 24, chapter 19 that 
would offer consumers moderately priced insurance products under 
Dirigo 
Health 
as 
an 
alternative 
to 
those 
currently offered 
through an existing public plan. 
Notwithstanding Title 24-A, 
section 6910, subsection 2, the board shall submit its proposal, 
including, but not limited to, a funding mechanism to capitalize 
the 
proposed nonprofit °health care plan 
and 
any 
recommended 
legislation to the joint standing committee of the Legislature 
having jurisdiction over health and human services matters. 
SUMMARY 
This bill directs the Board of Directors of Dirigo Health to 
propose the establishment of a nonprofit health care plan that 
would offer consumers moderately priced insurance products under 
Dirigo 
Health 
as 
an 
alternative 
to 
those 
currently offered 
through an existing public plan. 
The bill directs the board to 
submit its proposal, including, but not limited to, 
a 
funding 
mechanism to capitalize the proposed nonprofit health care plan 
and any recommended legislation to the joint standing committee 
of the Legislature having jurisdiction over health and human 
services matters. 
Page l-LR2082(1)