Bill Positions

Bill Number: SB 515

Bill Title: Healthy Maryland Program

Bill Sponsor(s): Sen. Middleton

Subject: Health

Committee: FIN

Bill Summary: This bill would have reconstituted MHIP as the Healthy Maryland Program and allowed any MD resident to enroll for health insurance coverage who lacks an employer sponsored plan. Policies would have been rated on guaranteed issue, community rating, and no pre-existing condition exclusion or health underwriting. There would have been an individual mandate to purchase health insurance above certain income levels. Small group carriers would have been required to offer this plan and employers with more than 9 employees would be required to pay an assessment to the Commissioner of Labor and Industry if they fail to make a "fair and reasonable contribution" to their employees' health insurance costs.

History: The bill died without a vote in the Finance Committee.

Chamber Position: Oppose

Position Summary: This bill violated federal ERISA law, which prohibits states from enacting laws that relate to employee benefit plans. The decision by the 4th Circuit Court of Appeals in RILA v. Fielder made it clear that states may not enact coercive pay or play statutes that would attempt to mandate employers to provide health insurance through indirect means.

Position Statement: Click here (pdf)

Chamber Staff: Ronald Wineholt

General Assembly: Click here to view the bill on the Maryland General Assembly's website.