shall be the two Commissioners then in office whose terms expire on
April 16, 1937 and April 16, 1939, respectively, and the other three
Commissioners shall be appointed by the Governor immediately upon
the taking effect of this Act. One of them shall hold office for a term
of one year beginning April 16, 1936, another shall hold office for a
term of three years beginning April 16, 1935, and another shall hold
office for a term of five years beginning April 16, 1935. Upon the ex-
piration of the term of each Commissioner, his successor shall be ap-
pointed by the Governor for a term of five years. The Governor desig-
nates the Chairman.
(Ch. 800, 1914 - Ch. 264, 1935.)

The State Industrial Accident Commission is charged with the
duty of administering the Workmen's Compensation Law. The law
provides first, for the payment of compensation to employees injured
in certain extra-hazardous employments, and to their dependants in
case of death; second, that all employers in such occupations shall
secure the payment of such compensation by insuring their liability
in a stock or mutual company, or in the State Accident Fund, or by
proving to the satisfaction of the Commission their financial ability
to pay the compensation.

The business of the Commission is to administer the Workmen's
Compensation Act and involves determining what occupations are in-
cluded, receiving reports of accidents, receiving, investigating and
adjudicating claims arising under the Act. Hearings are held in con-
tested cases. In addition to these duties, the Commission administers
the State Accident Fund, which is provided by the Act as one of the
methods by which employers must insure.

The General Assembly of Maryland in its session of 1929 amended
the Workmen's Compensation Law, giving the Commission the power
to formulate reasonable rules and regulations for the establishment
and maintenance of safety, having in mind the prevention of and re-
duction in accidents in occupations governed by the provisions of the
Workmen's Compensation Law. Shortly after the adoption of this
amendment the Commission organized a Safety Department for the
purpose of carrying on this work, which department is administered
by the Commission.

Since the passage of the Workmen's Compensation Law in 1914
there have been numerous amendments passed by the General Assem-
bly. These amendments had in view the purpose of adapting the law
to conditions as they now exist. Some of the more important changes
were made in 1931 on the recommendations of a committee appointed
by the Governor for that purpose, and were concurred in by represen-
tatives of employees, employers and insurance carriers.

The jurisdiction of the State Industrial Accident Commission is
continuing. Many petitions for reopening or rehearing, after final
settlement of claims, are presented, requiring long record of medical
and other testimony, many resulting in appeals. This greatly in-
creases the work and expense of the department from year to year.

When the General Assembly of Maryland in 1914 passed the Work-
men's Compensation Act, they recognized the fact that employers
might be put in the position where they would not be able to comply
with the Act, due to the fact that the private insurance companies
would refuse to carry their risk. Furthermore, they felt that inasmuch
as this form of insurance was compulsory under the State Law, that
they should provide a place where the insurance could be secured at
practically the cost of writing this form of insurance. They, therefore,
created the State Accident Fund to be administered by the State Indus-
trial Accident Commission. This Fund has grown gradually and has
become the largest writer of Compensation Insurance of Maryland