An Act To ClarifY and Update the Laws Related to Health Insurance
Maine Legislature, Session 123, LD 1503
Committee Amendment CA_A_H234 (House)
Amends: 24-A MRSA §2850-B

COMMITTEE AMENDMENT "A" to H.P. 1053, L.D. 1503, Bill, "An Act To 
ClarifY and Update the Laws Related to Health Insurance" 
Amend the bill by inserting after the title and before the enacting clause the 
following: 
'Emergency preamble. Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and 
Whereas, this legislation extends the provision permitting health insurance carriers 
to offer financial incentives to enrollees to use designated health care providers under a 
health plan; and 
Whereas, if this Legislature does not act that provision will be repealed July 1, 
2007; and 
Whereas, in the judgment of the Legislature, these facts create an emergency within 
the meaning of the Constitution of Maine and require the following legislation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore, ' 
Amend the bill in Part B in section 5 in subsection 1 in the last blocked paragraph 
(page 5, line 20 in L.D.) by striking out the following "2007" and inserting the following: 
';w0.:7 2009' 
Amend the bill in Part C by striking out all of section 1 (page 10, line 40 and page 11, 
lines 1 and 2 in L.D.) and inserting the following: 
'Sec. C-l. 24-A MRSA §2850-B, sub-§3, ~, as enacted by PL 1997, c. 445, 
§30 and affected by §32, is amended to read: 
D. 
In the large or small group market, for noncompliance with the carrier's 
minimum participation requirements that, which may not exceed -B% the 
participation requirement when the policy was issued; 
Page l-123LR0517(02)-1 
COMMITTEE AMENDMENT 
""c;, 
COMMITTEE AMENDMENT A " 
to H.P. 1053, L.D. 1503 
Sec. C-2. 24-A MRSA §2850-B, sub-§3, ~-1 is enacted to read: 
F-l. 
When the carrier ceases offering individual health plans in compliance with 
section 2736-C, subsection 4 and does not renew any existing policies in that 
market;' 
Amend the bill in Part F in section I in subsection I-B in the 2nd line (page 13, line 5 
in L.D.) by inserting after the following: "policyholders" the following: ',.' and in the 3rd 
line (page 13, line 6 in L.D.) by inserting after the following: 
"subsection I-A" the 
following: ',.' 
Amend the bill by adding before the summary the following: 
'Emergency clause. 
In view of the emergency cited In the preamble, this 
legislation takes effect when approved.' 
SUMMARY 
This amendment clarifies the law relating to participation requirements at renewal of 
a policy to make it consistent with the law relating to participation requirements at the 
time a policy is issued. The amendment extends for 2 years the provision allowing 
financial incentives under Bureau of Insurance Rule Chapter 850. The amendment also 
corrects grammatical and punctuation errors. 
FISCAL :\on: HE0l mED 
~See attached) 
COMMITTEE AMENDMENT 
Approved: 05/02/07 frac 
LD 1503 
LR 517(02) 
An Act To Clarify and Update the Laws Related to Health Insurance 
Fiscal Note for Bill as Amended by Committee Amendment "A" 
Committee: Insurance and Financial Services 
Fiscal Note Required: Yes 
Fiscal Note 
Minor cost increase - Other Special Revenue Funds 
Fiscal Detail and Notes 
Any additional costs to the Bureau ofInsurance in the Department of Professional and Financial Regulation in 
implementing this bill can be absorbed by the bureau utilizing existing budget resources. 
LR0517(02) - Fiscal Note - Page 1 of 1