Ch. 564                                       LAWS OF MARYLAND

(c) Class C assessments shall be made to the extent
necessary to carry out the powers and duties of the Association
under § 527 OF THIS SUBTITLE with regard to an impaired foreign
or alien insurer.

(3)  (a) The amount of any Class A assessment for each
account shall be determined by the board. The amount of any
Class B or Class C assessment shall be divided among the accounts
in the proportion that the premiums received by the impaired
insurer on the policies covered by each account bears to the
premiums received by such insurer on all covered policies.

(b)  Class A and Class C assessments against member
insurers for each account shall be in the proportion that the
premium received on business in this State by each assessed
member insurer on policies covered by each account bears to such
premiums received on business in this State by all assessed
member insurers.

(c)  Class B assessment for each account shall be made
separately for each state in which the impaired domestic insurer
was authorized to transact insurance at any time, in the
proportion that the premiums received on business in such state
by the impaired insurer on policies covered by such account bears
to such premiums received in all such states by the impaired
insurer. The assessments against member insurers shall be in the
proportion that the premiums received on business in each such
state by each assessed member insurer on policies covered by each
account bears to such premiums received on business in each such
state by all assessed member insurers.

(d)  Assessments for funds to meet the requirements of
the Association with respect to an impaired insurer shall not be
made until necessary to implement the purposes of this subtitle.
Classification of assessments under subsection (2) and
computation of assessments under this subsection shall be made
with a reasonable degree of accuracy, recognizing that exact
determination may not always be possible.

(4)  The [Association] CORPORATION may abate or defer, [in
whole or in part] WHOLLY OR PARTLY, the assessment of a member
insurer, if, in the opinion of the board, payment of the
assessment would endanger the ability of the member insurer to
fulfill its contractual obligations. In the event an assessment
against a member insurer is abated or deferred, [in whole or in
part] WHOLLY OR PARTLY, the amount by which such assessment is
abated or deferred shall be assessed against the other member
insurers in a manner consistent with the basis for assessments
set forth in this section.

(5)  The total of all assessments upon a member insurer for
each account shall not in any [one] 1 calendar year exceed 2% of
such insurer's premiums in this State on the policies covered by

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