Bill > LD893

This bill modifies Maine's insurance code to create a specific exemption for statewide nonprofit agricultural membership organizations from being classified as health insurance providers. The bill defines a "nonprofit agricultural membership organization" as a statewide nonprofit entity that has been continuously in existence since December 31, 1951, is tax-exempt under the federal Internal Revenue Code, provides health care benefits coverage to its members and their dependents, and conducts annual independent audits. When offering health care benefits, these organizations must provide written notice to applicants that their coverage is not traditional insurance, is not subject to insurance regulations, is not under the superintendent's jurisdiction, and that members may be personally liable for medical expenses if the plan fails to pay. This exemption means such organizations can provide health benefits without being regulated as insurance companies, potentially offering more flexible health care coverage options for agricultural community members while also protecting consumers by requiring clear disclosures about the nature of the coverage.

Health and Social Services

https://legislature.maine.gov/legis/bills/display_ps.asp?LD=893&snum=132