(a)  Regulations.- The Department shall adopt regulations for the payment of health insurance premiums to insurance carriers or employers under the Program. 

(b)  Continuation of benefits.- The Program shall comply with the applicable provisions of all federal and State laws that relate to the continuation of health benefits. 

(c)  Medicare beneficiary.- If a recipient is a Medicare beneficiary, the Program may pay premiums only for supplemental Medicare coverage unless the Department finds that it is more cost effective for the Program to pay premiums for other health insurance coverage available to the recipient. 

[1990, ch. 188; 1991, ch. 447; 1992, ch. 44; 1994, ch. 147; 1998, ch. 75.]