PARRIS N. GLENDENING, Governor

Ch. 35

(4) CONTAIN ANY OTHER LAWFUL PROVISIONS CONSIDERED
ADVISABLE.

(G) SAME — APPROVAL OF COMMISSIONER REQUIRED.

FOR A DOMESTIC RECIPROCAL INSURER, A POWER OF ATTORNEY OR
AGREEMENT COLLATERAL TO THE POWER OF ATTORNEY IS NOT EFFECTIVE AND
MAY NOT BE USED UNTIL APPROVED BY THE COMMISSIONER.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, §§ 285 and 281(b) and the second sentence of
(a).

In subsection (e)(5) of this section, the reference to "the amount specified in
§ 3-216(b) of this subtitle" is substituted for the former reference to "one (1)
additional annual premium or premium deposit stated in the policy" in light of
§ 3-216 of this subtitle to the same effect.

In subsection (f)(1) of this section, the former reference to revocation of the
"rights thereunder" is deleted as implicit in the reference to revocation of the
"power of attorney".

Defined terms: "Alien insurer" § 1-101
"Commissioner" § 1-101
"Foreign insurer" § 1-101
"Insurance business" § 1-101
"Premium" § 1-101
"Reciprocal insurer" § 1-101
"Subscriber" § 3-201

3-213. SUBSCRIBERS.

(A) IN GENERAL.

AN INDIVIDUAL, PARTNERSHIP, OR CORPORATION OF THE STATE MAY MAKE
APPLICATION, ENTER INTO AGREEMENT FOR, HOLD POLICIES OR CONTRACTS IN OR
WITH, AND BE A SUBSCRIBER OF A DOMESTIC, FOREIGN, OR ALIEN RECIPROCAL
INSURER.

(B) CORPORATIONS.

(1) IN ADDITION TO THE POWERS SPECIFIED IN ITS ARTICLES OF
INCORPORATION, A CORPORATION ORGANIZED UNDER THE LAWS OF THE STATE
HAS FULL POWER AS A SUBSCRIBER TO EXCHANGE INSURANCE CONTRACTS
THROUGH A DOMESTIC, FOREIGN, OR ALIEN RECIPROCAL INSURER.

(2) THE RIGHT TO EXCHANGE INSURANCE CONTRACTS THROUGH A
RECIPROCAL INSURER IS:

(I) INCIDENTAL TO THE PURPOSES FOR WHICH THE
CORPORATION IS ORGANIZED; AND

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