SB0134 expands Maryland’s rules for Medicare supplement, or Medigap, policies by requiring carriers that sell these policies in the state to offer coverage to certain Medicare-eligible individuals during specified special enrollment windows. The bill creates a guaranteed-issue requirement for people who were enrolled in Medicare Part B while in the Maryland Medical Assistance Program, for certain individuals who qualify for a federal special enrollment period, and for people who become eligible for Medicare before January 1, 2020 and apply within 63 days of the qualifying event. It also preserves and clarifies existing protections for people age 65 and older and for individuals under 65 who qualify for Medicare due to disability.
The bill also continues Maryland’s birthday rule for Medigap policies: during the 30 days after an enrollee’s birthday, carriers must make available alternative Medigap policies with equal or lesser benefits, subject to regulatory standards adopted by the Insurance Commissioner. Carriers must give advance notice of this right before the birthday window opens. The act takes effect July 1, 2026, and amends Section 15-909(b) of the Insurance Article governing Medicare supplement policy issuance, pricing, and coverage rules.
Impact
SB0134 changes Maryland insurance law by adding new mandatory issuance obligations for Medicare supplement carriers and by expanding access to Medigap coverage for certain Medicaid-to-Medicare transitions and other individuals with federal guaranteed-issue rights. It affects insurers, Medicare beneficiaries, and the Maryland Insurance Commissioner, who must adopt regulations defining which replacement policies have equal or lesser benefits. The bill does not broadly rewrite Medigap law, but it strengthens guaranteed-issue protections and preserves community-rating-style limits on health-based underwriting for the affected enrollment periods.
Sentiment
The bill appears to have had strong bipartisan support and little visible opposition. It passed the Senate 44-0 and the House 126-2, indicating broad agreement that the measure improves access to supplemental Medicare coverage. The absence of committee transcript debate suggests the proposal was relatively noncontroversial and likely viewed as a consumer-protection and coverage-access measure.
Contention
The main policy issue in the bill is the scope of guaranteed issue: carriers are required to issue policies to certain applicants even outside the standard initial enrollment period, which can limit insurer discretion in underwriting and plan selection. Another potential point of concern is the birthday-rule provision, which obligates carriers to offer alternative plans with equal or lesser benefits and requires regulatory implementation by the Insurance Commissioner. However, the recorded votes suggest any objections were minimal, with only two no votes in the House and none in the Senate.