<?xml version='1.0' encoding='utf-8'?>
<regulation prefix="Regulation" num=".02" citation="COMAR 31.15.14.02" title_num="31" subtitle_num="15" chapter_num="14" heading="Definitions.">
  <paragraph num="A.">
    <text>In this chapter, the following terms have the meanings indicated.</text>
  </paragraph>
  <paragraph num="B.">
    <text>Terms Defined.</text>
    <paragraph num="(1)">
      <text>“Administrative service” has the meaning stated in Insurance Article, §27-216(g), Annotated Code of Maryland.</text>
    </paragraph>
    <paragraph num="(2)">
      <text>“Administrative service fee” means a fee that is:</text>
      <paragraph num="(a)">
        <text>Charged to an employer by an insurance producer for providing an administrative service to the employer; and</text>
      </paragraph>
      <paragraph num="(b)">
        <text>A reasonable amount for the administrative services provided to the employer after consideration of:</text>
        <paragraph num="(i)">
          <text>The fee customarily charged to a similarly situated employer for the same or similar services in the employer’s location,</text>
        </paragraph>
        <paragraph num="(ii)">
          <text>The time the producer spent providing the service, and</text>
        </paragraph>
        <paragraph num="(iii)">
          <text>The expenses the producer incurred to provide the administrative service to the employer, including the cost of the product or service.</text>
        </paragraph>
      </paragraph>
    </paragraph>
    <paragraph num="(3)">
      <text>“Disclosure form” means the form set forth in Regulation .06 of this chapter that shall be used by an insurance producer when charging a fee for an administrative service.</text>
    </paragraph>
    <paragraph num="(4)">
      <text>“Health benefit plan” has the meaning stated in Insurance Article, §2-112.2, Annotated Code of Maryland.</text>
    </paragraph>
    <paragraph num="(5)">
      <text>“Health insurance” has the meaning stated in Insurance Article, §1-101(p), Annotated Code of Maryland.</text>
    </paragraph>
    <paragraph num="(6)">
      <text>“Insurance producer” has the meaning stated in Insurance Article, §1-101(u), Annotated Code of Maryland.</text>
    </paragraph>
  </paragraph>
</regulation>