Sec. 1. 24-A MRSA §2809-A, sub-§1-A, ¶B, as repealed and replaced by PL 1995, c. 625, Pt. A, §25, is repealed.

Sec. 2. 24-A MRSA §2809-A, sub-§1-A, ¶B-1 is enacted to read:

B-1.__At the time of notification under paragraph A, notice must be mailed to the certificate holder at the last address provided by the subgroup sponsor or the group policyholder to the insurer. The notice must also include information to the certificate holder about the availability of individual coverage as described in subsection 1-B.

Sec. 3. 24-A MRSA §2809-A, sub-§1-B, as enacted by PL 1997, c. 604, Pt. B, §3, is amended to read:

1-B. Notification of availability of individual coverage. An insurer must provide forms to group policyholders and certificate holders as required in subsection 1-A for the purpose of informing terminating group members of their right to purchase any individual health plan available in this State. An adequate supply of forms must be provided to each group policyholder when the policy is issued and at least annually thereafter. The superintendent may prescribe the content of the form by routine technical rule pursuant to Title 5, chapter 375, subchapter II-A 2-A. The form must include at least the following:

A. A statement that all state residents not eligible for Medicare have a right to purchase any individual health plan available in this State;

B. A statement that in order to avoid a gap in coverage, the individual should apply for individual coverage prior to termination of group coverage;

C. A statement that if more than 90 days pass between the time the group coverage ends and the time individual coverage begins, the individual coverage may exclude preexisting conditions for one year; and

D. A statement that information concerning individual coverage is available from the Bureau of Insurance. The bureau's toll-free telephone number must also be provided.