(1) All group or blanket health insurance policies providing coverage on an expense incurred basis which provide maternity benefits shall offer the master policyholder the option to purchase coverage to pay for routine nursery care for a well newly born child for up to five (5) full days in a hospital nursery.
(2) The coverage for the well newly born child shall pay the hospital charges for each day in the hospital nursery.
(3) The requirements of this section shall apply to all insurance policies, and certificates, in effect on October 1, 1980, and those policies, and certificates, issued thereafter.