1072 LAWS OF MARYLAND [CH. 519

compensation claims under policies written in the three years
immediately preceding the date as of which the statement is
made, such reserve shall be sixty-five per centum of the
earned compensation premiums of each of such three years,
less all loss and loss expense payments made in connection
with such claims under policies written in the corresponding
years; but in any event, in the case of the first year of any
such three year period such reserve shall not be less than the
present value at four per centum interest of the determined
and the estimated unpaid compensation claims under policies
written during such year.

The term "earned premiums" as used herein shall include
gross premiums charged on all policies written, including all
determined excess and additional premiums, less return prem-
iums, other than premiums returned to policy holders as divi-
dends, and less reinsurance premiums and premiums on poli-
cies cancelled and less unearned premiums on policies in force.
But any participating company which has charged in its
premiums a loading solely for dividends shall not be required
to include such loading in its earned premiums, provided a
statement of the amount of such loading has been filed with
and approved by the Insurance Commissioner.

The term "compensation" as used in this Act shall relate
to all insurances effected by virtue of statutes providing com-
pensation to employees for personal injuries irrespective of
fault of the employer. The term "liability" shall relate to
all insurance, except compensation insurance, against loss or
damage from accident to or injuries suffered by an employee
or other person and for which the insured is liable.

The terms "loss payments" and "loss expense payments"
as used herein shall include all payments to claimants, includ-
ing payments for medical and surgical attendance, legal ex-
penses, salaries and expenses of investigators, adjusters and
field men, rents, stationery, telegraph and telephone charges,
postage, salaries and expenses of office employees, home office
expenses and all other payments made on account of claims,
whether such payments shall be allocated to specific claims
or unallocated.

All unallocated liability loss expense payments made in a
given calendar year subsequent to the first four years in
which an insurer has been issuing liability policies shall be