WILLIAM DONALD SCHAEFER, Governor Ch. 77

which has not been reversed or modified by the special board in such a way as to require
issuance of a policy, and upon cancellation of a policy or termination of coverage as to
any insured, immediately notify the Motor Vehicle Administrator of such action.

(e) (1) If the executive director finds that, after being insured by the Fund for
any ten months during an 18-month period, an insured had three or more chargeable
accidents, as defined in the rules and rates schedules of the Maryland Automobile
Insurance Fund filed with the Commissioner of Insurance, without regard to the
number of points, and which produce a claim payment of $300 or more, based upon
third-party liability, he shall refer the matter to the Motor Vehicle Administrator for a
determination. If, after a hearing, the Administrator suspends or revokes the insured's
driving license, the executive director shall cancel or nonrenew the policy of insurance
after the notice required by § 240A(c). If the policy of insurance covers a spouse or
other household member of the family of the policyholder, the cancellation of the policy
shall not cancel the coverage of the spouse or family member who has not had his or her
driving license suspended or revoked, and the Fund shall reclassify the rate of risk of
the spouse or family member for premium purposes.

(2) If the Administrator does not suspend or revoke the insured's driving
license pursuant to paragraph (1), the executive director may not cancel or refuse to
renew the policy of insurance.

(3) The executive director may refer any other matter concerning any
insured's driving record to the Administrator for a determination.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take
effect July 1, 1990.

Approved April 24, 1990.

CHAPTER 77
(Senate Bill 87)

AN ACT concerning

Maryland Automobile Insurance Fund - Uninsured Division - Subrogation Against

Negligent Uninsured Motorists

FOR the purpose of authorizing the Maryland Automobile Insurance Fund (MAIF) to
collect against negligent uninsured motorists the costs of collection; providing that
judgments obtained against negligent uninsured motorists shall be deemed in their
entirety as taken for the use of the State; authorizing MAIF to make certain
assignments to injured parties after MAIF has been reimbursed for its payment in
a case; and generally relating to uninsured motorists.

BY repealing and reenacting, with amendments,
Article 48A - Insurance Code

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