Maryland Statutes
Part III - Management, Finances, and Solvency
Section 14-115.1 - Duties of Officers; Sanctions

(a)    In this section, “officer” means any officer that a Maryland corporation is required or permitted to have under § 2-412 of the Corporations and Associations Article.
    (b)    (1)    An officer of a nonprofit health service plan shall act:
            (i)    in good faith;
            (ii)    in a manner that is reasonably believed to be in the best interests of the corporation and its controlled affiliates or subsidiaries that offer health benefit plans;
            (iii)    in a manner that is consistent with the mission of a nonprofit health service plan as required under § 14-102(c) of this subtitle; and
            (iv)    with the care that an ordinarily prudent person in a like position would use under similar circumstances.
        (2)    Except for the receipt of reasonable remuneration in conformity with § 14-139 of this subtitle, an officer of a nonprofit health service plan may not use the position of officer for personal or financial enrichment.
        (3)    A violation of this subsection shall be considered an unsound or unsafe business practice under § 14-116 of this subtitle.

Structure Maryland Statutes