§ 19-702
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§19–702.
(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.