1060                           laws of Maryland                      [Ch. 553

on November 1st following the date of issue, unless prior thereto the
license is revoked or suspended by the Commissioner or the authority
of an agent or solicitor to act for an insurer or broker is terminated.

(b)   In the absence of a contrary ruling by the Commissioner
license renewals shall be issued from year to year subject to the
payment of the annual fee as required in section 41 of this article
upon request but without further action on the part of insurer,
agent, broker or solicitor; OR BROKER; and upon payment of the
prescribed fees prior to the date of expiration, the current license
shall continue in force until a renewal license is issued by the Com-
missioner or until such time as the Commissioner has refused for
cause to issue such renewal license.

(c)  If a license cancellation is desired, an AN insurer shall upon
the termination of the appointment of any agent, and every broker or
agent shall upon the termination of the appointment of any solicitor
immediately file a written notice of termination with the Commis-
sioner together with a statement of facts relative to the termina-
tion of appointment and the date and cause thereof. Any disclosure
to the Commissioner pursuant to this subsection shall be deemed a
privileged communication and shall not be used in evidence in any
court action or proceeding other than an appeal from action of the
Commissioner.

(d)   No broker's license shall be issued, continued, or renewed
unless the applicant therefor has on file with the Commissioner a
bond to the State of Maryland in the penalty of $5,000.00. Such bond
must be executed by an authorized surety insurer and conditioned
that the broker will account for and pay over to the person entitled
to receive the same all money belonging to such person which may
come into his hands as an insurance broker in accordance with the
contract between the parties. Such bond shall remain in force until
the surety is released from liability by the Commissioner or until the
bond is cancelled by the surety. The aggregate liability of the surety
for any and all claims on any such bond shall in no event exceed the
penalty thereof. Without prejudice to any liability accrued prior to
such cancellation the surety may cancel such bond upon thirty days
written notice filed with the Commissioner.

(e) The Commissioner shall prescribe and furnish such forms in

connection with applications for, issuance, renewal or termination
of licenses and appointments as he deems appropriate.

171. Nonresident Agents and Brokers.

(a)   A person not resident AND NOT HAVING A PLACE OF
BUSINESS in this State may be licensed as an agent or broker upon
compliance with the provisions of this subtitle, other than the provi-
sions of Section 177 (1) relating to education or experience, pro-
vided that the state in which such person resides will accord the
same privilege to a resident of this State.

(b)   An agent or broker duly licensed by any other state, residing
outside of this State, may not enter this State for the purpose of
transacting business without obtaining a license. He may, however,
negotiate any contract of insurance upon subjects of insurance resi-
dent, located, or to be performed in this State to the same extent and
upon the same terms and upon payment of the same fees as are re-