<?xml version='1.0' encoding='utf-8'?>
<regulation prefix="Regulation" num=".05" citation="COMAR 31.10.17.05" title_num="31" subtitle_num="10" chapter_num="17" heading="Disclosure of Distribution of Premium Dollars.">
  <paragraph num="A.">
    <text>The disclosure required under this regulation shall:</text>
    <paragraph num="(1)">
      <text>Be in the form of a pie chart or bar graph; and</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Identify, in layman's terms, the proportion of every $100 in premium dollars that the carrier uses to pay:</text>
      <paragraph num="(a)">
        <text>Providers for the provision of health care services to enrollees, including what proportion is for direct medical care expenses, and</text>
      </paragraph>
      <paragraph num="(b)">
        <text>For plan administration.</text>
      </paragraph>
    </paragraph>
  </paragraph>
  <paragraph num="B.">
    <text>The computation used in the pie chart or bar graph shall be in accordance with the National Association of Insurance Commissioners' instructions and formulas used in deriving the 5-year historical data page of the carrier's annual statement.</text>
  </paragraph>
  <paragraph num="C.">
    <text>The pie chart or bar graph to be included in enrollment sales material shall be based on the annual statement of the:</text>
    <paragraph num="(1)">
      <text>Immediate prior year for enrollment sales material used on or after July 1 of each year; and</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Year before the immediate prior year for enrollment sales material used before July 1 of each year.</text>
    </paragraph>
  </paragraph>
  <paragraph num="D.">
    <text>The computation used under §B of this regulation shall be limited to benefits under policies which make health care services available through contracts with providers.</text>
  </paragraph>
</regulation>