| Be it enacted by the People of the State of Maine as follows: |
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| | Sec. A-1. 24-A MRSA §2850-B, sub-§3, ¶¶G and H, as enacted by PL 1997, | c. 445, §30 and affected by §32, are amended to read: |
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| G. When the carrier ceases offering a product and meets the | following requirements: |
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| (1) In the large group market: |
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| (a) The carrier must provide notice to the | policyholder and to the insureds at least 90 days | before termination; |
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| (b) The carrier must offer to each policyholder | the option to purchase any other product currently | being offered in the large group market; and |
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| (c) In exercising the option to discontinue the | product and in offering the option of coverage | under division (b), the carrier must act uniformly | without regard to the claims experience of the | policyholders or the health status of the insureds | or prospective insureds; |
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| (2) In the small group market: |
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| (a) The carrier shall replace the product with a | product that complies with the requirements of | this section, including renewability, and with | section 2808-B; |
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| (b) The superintendent shall find that the | replacement is in the best interests of the | policyholders; and |
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| (c) The carrier shall provide notice to the | policyholder and to the insureds at least 90 days | before replacement; or |
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| (3) In the individual market: |
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| (a) The carrier shall replace the product with a | product that complies with the requirements of | this section, including renewability, and with | section 2736-C; |
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