MD| Maryland Insurance Administration Bulletin 26-19 (dated July 13, 2026), issued to all insurers, nonprofit health service plans, and HMOs by Commissioner Marie Grant, reminds carriers that interest is a mandatory element of any restitution payment made under Maryland law. Citing Section 4-113(d)(2) of the Insurance Article—which authorizes the Commissioner to require a certificate holder to make restitution by fulfilling unmet policy obligations or paying unpaid claims—the bulletin clarifies that whenever restitution is paid, interest must be included; where a specific rate is set by statute (such as § 15-1005) that rate applies, but where no rate is specified, interest accrues at six percent per annum (per MD Constitution Art. 3, § 57) from the date of the violation to the date payment is issued.
Attention MD Insurers & HMOs: Don’t Forget the Interest — 6% Applies When No Statutory Rate Is Set
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