Sec. H-1. 24-A MRSA §2849-A, sub-§4, as enacted by PL 1989, c. 867, §8 and affected by §10, is amended to read:
4. Liability after discontinuance. After discontinuance of a policy, the insurer or health maintenance organization remains liable only to the extent of its accrued liabilities and extensions of benefits. The liability of the insurer or health maintenance organization is the same whether the group policyholder or other entity secures replacement coverage from any insurer, nonprofit hospital or medical service organization or health maintenance organization, self-insures or foregoes the provision of coverage.
Sec. H-2. 24-A MRSA §2849-A, sub-§4-A is enacted to read:
4-A. Coordination of benefits. If replacement coverage is secured by the group policyholder from any insurer, nonprofit hospital or medical service organization or health maintenance organization and a totally disabled person is covered under such replacement coverage, the replacement coverage must pay as primary coverage and the replaced coverage must pay as secondary coverage for the covered expenses directly relating to the condition causing total disability during the extension of benefits required under this section.
Effective June 30, 1998, unless otherwise indicated.
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