# Health - General (GHG)

## Title 19. Health Care Facilities

### Subtitle 7. Health Maintenance Organizations

#### Section 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.

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Md. Code Ann., Health-Gen. (as displayed at mgaleg.maryland.gov, October 16, 2026)