2023 Maryland Statutes › Insurance › Title 14 - Entities That Act as Health Insurers › Subtitle 1 - Nonprofit Health Service Plans › Part IV - Regulatory Authority of Commissioner › Section 14-124 - Hearings and Investigations; Regulations; Delinquency Proceedings

(a)    (1)    The Commissioner may conduct any investigation or hearing that the Commissioner considers necessary to enforce this subtitle.
(2)    In conducting a hearing or investigation under this section, the Commissioner has the same powers with respect to nonprofit health service plans as are granted to the Commissioner under Titles 2 and 4 of this article with respect to any other activity regulated under this article.
(3)    If another state enacts a law or takes a regulatory action that requires a nonprofit health service plan operating in this State to provide a program or benefits for the residents of the other state or to distribute or reduce its surplus on the grounds that the surplus is excessive in whole or in part, the Commissioner may hold a quasi–legislative hearing or a hearing under Title 2 of this article or conduct an examination to review and evaluate the impact of the law or regulatory action on the nonprofit health service plan, including the impact on:
(i)    surplus;
(ii)    premium rates for policies issued or delivered in this State; and
(iii)    solvency.
(4)    Based on the review and evaluation under paragraph (3) of this subsection, the Commissioner shall determine whether the impact on the nonprofit health service plan is harmful to the interests of subscribers covered by policies issued or delivered in this State.
(5)    (i)    If the Commissioner determines the program or benefits for the residents of another state or the surplus distribution or reduction have an impact on the nonprofit health service plan that is harmful to the interests of subscribers covered by policies issued or delivered in this State, the Commissioner shall issue an appropriate order to protect the subscribers.
(ii)    The order issued under subparagraph (i) of this paragraph may include:
1.    a prohibition on the nonprofit health service plan subsidizing the program or benefits for the residents of another state through:
A.    premiums charged to subscribers under policies issued or delivered in this State; or
B.    use of any surplus earned through policies issued or delivered in this State;
2.    a prohibition on the nonprofit health service plan distributing or reducing its surplus for the benefit of residents of another state; or
3.    any other action the Commissioner considers necessary to protect the interests of the subscribers covered by policies issued or delivered in this State.
(6)    A nonprofit health service plan may not distribute or reduce its surplus under a law or regulatory action the impact of which is subject to a hearing or an examination under paragraph (3) of this subsection, except with the approval of the Commissioner.
(b)    The Commissioner may adopt regulations to carry out this subtitle.
(c)    The Commissioner may commence a delinquency proceeding against a corporation operating under this subtitle for any of the reasons set forth in § 9–211(a) and (b) of this article.