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Ch. 396 LAWS OF MARYLAND
(II) 1. BEFORE JANUARY 1, 1985, WAS CHARTERED
OR LICENSED AND AUTHORIZED TO ENGAGE IN THE BUSINESS OF INSURANCE
UNDER THE LAWS OF BERMUDA OR THE CAYMAN ISLANDS AND BEFORE THAT
DATE, HAD CERTIFIED TO THE INSURANCE COMMISSIONER OF AT LEAST 1
STATE THAT IT SATISFIED THE CAPITALIZATION REQUIREMENTS OF SUCH
STATE;
2. ANY SUCH GROUP SHALL BE CONSIDERED A
RISK RETENTION GROUP ONLY IF IT HAS BEEN ENGAGED IN BUSINESS
CONTINUOUSLY SINCE SUCH DATE AND ONLY FOR THE PURPOSE OF
CONTINUING TO PROVIDE INSURANCE TO COVER PRODUCT LIABILITY OR
COMPLETED OPERATIONS LIABILITY, AS SUCH TERMS WERE DEFINED IN THE
PRODUCT LIABILITY RISK RETENTION ACT OF 1981 PRIOR TO THE
ENACTMENT OF THE RISK RETENTION ACT OF 1986;
(4) WHICH DOES NOT EXCLUDE ANY PERSON FROM MEMBERSHIP
IN THE GROUP SOLELY TO PROVIDE FOR MEMBERS OF SUCH GROUP A
COMPETITIVE ADVANTAGE OVER SUCH A PERSON;
(5) WHICH:
(I) HAS AS ITS MEMBERS ONLY PERSONS WHO HAVE AN
OWNERSHIP INTEREST IN THE GROUP AND WHICH HAS AS ITS OWNERS ONLY
PERSONS WHO ARE MEMBERS WHO ARE PROVIDED INSURANCE BY THE GROUP;
OR
(II) HAS AS ITS SOLE MEMBERS MEMBER AND SOLE
OWNER AN ORGANIZATION WHICH IS OWNED BY PERSONS WHO ARE PROVIDED
INSURANCE BY THE GROUP;
(6) WHOSE MEMBERS ARE ENGAGED IN BUSINESSES OR
ACTIVITIES SIMILAR OR RELATED WITH RESPECT TO THE LIABILITY OF
WHICH SUCH MEMBERS ARE EXPOSED BY VIRTUE OF ANY RELATED, SIMILAR
OR COMMON BUSINESS, TRADE, PRODUCT, SERVICE, PREMISES, OR
OPERATION;
(7) WHOSE ACTIVITIES DO NOT INCLUDE THE PROVISION OF
INSURANCE OTHER THAN:
(I) LIABILITY INSURANCE FOR ASSUMING AND
SPREADING ALL OR ANY PORTION OF THE LIABILITY OF ITS GROUP
MEMBERS; AND
(II) REINSURANCE WITH RESPECT TO THE LIABILITY
OF ANY OTHER RISK RETENTION GROUP, OR ANY MEMBERS OF SUCH OTHER
GROUP, WHICH IS ENGAGED IN BUSINESSES OR ACTIVITIES SO THAT SUCH
GROUP OR MEMBER MEETS THE REQUIREMENT OF PARAGRAPH (6) OF THIS
SUBSECTION OF MEMBERSHIP IN THE RISK RETENTION GROUP WHICH
PROVIDES SUCH REINSURANCE; AND
(8) THE NAME OF WHICH INCLUDES THE PHRASE "RISK
RETENTION GROUP".
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