L.__This subsection may not be construed to:

(1)__Prevent members or employees from negotiating for or receiving greater continued coverage of group insurance than is provided in this subsection;

(2)__Require coverage beyond the time limit set in paragraph I; or

(3)__Permit a member or employee to increase the level of benefits or coverage that the member or employee receives immediately before the termination of the member's or employee's coverage under the employer's group policy.

M.__This subsection does not apply to any group policy subject to the United States Consolidated Omnibus Budget Reconciliation Act, Public Law 99-272, Title X, Private Health Insurance Coverage, Sections 10001 to 10003.

N.__The superintendent may adopt rules as necessary to implement the requirements of this subsection.__Rules adopted pursuant to this subsection are routine technical rules as defined in Title 5, chapter 375, subchapter 2-A.

Sec. 3. 24-A MRSA §4222-B, sub-§18, as enacted by PL 2001, c. 410, Pt. B, §3, is amended to read:

18. The requirement requirements of section 2809-A, subsection 11 11-A to continue group coverage under certain circumstances applies apply to health maintenance organizations.

SUMMARY

This bill gives an employee whose coverage under a group policy is terminated the right to maintain coverage under that group policy at the employee's expense for 18 months or convert to an individual policy without evidence of insurability. The bill applies to group policies covering fewer than 20 employees. The bill clarifies that the continuation or conversion privilege is not available if the employee's employment is terminated for gross misconduct.