Section 15-304 - Group health insurance - Direct payment of hospital or medical services. [Subject to amendment effective July 1, 2011; amended version follows this section].
§ 15-304. Group health insurance - Direct payment of hospital or medical services. [Subject to amendment effective July 1, 2011; amended version follows this section].
(a) In general.- Subject to subsection (b) of this section, on request of the policyholder, a policy of group health insurance may contain a provision that all or part of the benefits provided by the policy for hospital, nursing, medical, or surgical services, at the insurer's option, may be paid directly to the hospital or person that provides the services.
(b) Limitation.- A policy of group health insurance may not require that hospital, nursing, medical, or surgical services be provided by a particular hospital or person.
(c) Discharge of insurer's obligation.- A direct payment made under subsection (a) of this section discharges the insurer's obligation with respect to the amount paid.
[An. Code 1957, art. 48A, § 473; 1997, ch. 35, § 2; 2010, ch. 537.]