MARVIN MANDEL, Governor                                    187

PROPERTY,    IN ADDITION TO THE RIGHTS AND POWERS PROVIDED

IN THIS      SUBTITLE, ALL THE RIGHTS AND POWERS WHICH A

GUARDIAN      HAS WITH RESPECT TO PROPERTY NOT HELD AS

CUSTODIAL   PROPERTY.

(J) LIFE INSURANCE POLICY OR ANNUITY CONTRACT.

IF THE SUBJECT OF THE GIFT IS A LIFE INSURANCE
POLICY OR ANNUITY CONTRACT, THE CUSTODIAN:

(1)   HAS, IN HIS CAPACITY AS CUSTODIAN, ALL
THE INCIDENTS OF OWNERSHIP IN THE POLICY OR CONTRACT TO
THE EXTENT AS IF HE WERE THE OWNER, EXCEPT THAT THE
DESIGNATED BENEFICIARY OF ANY POLICY OR CONTRACT ON THE
LIFE OF THE MINOR SHALL BE THE MINOR'S ESTATE AND THE
DESIGNATED BENEFICIARY OF ANY POLICY OR CONTRACT ON THE
LIFE OF A PERSON OTHER THAN THE MINOR SHALL BE THE
CUSTODIAN AS CUSTODIAN FOR THE MINOR FOR WHOM HE IS
ACTING; AND

(2)    MAY PAY PREMIUMS ON THE POLICY OR
CONTRACT OUT OF THE CUSTODIAL PROPERTY.

13-305. CUSTODIAN'S EXPENSES, COMPENSATION, BOND, AND
LIABILITIES.

(A) REIMBURSEMENT FOR EXPENSES.

A CUSTODIAN IS ENTITLED TO REIMBURSEMENT FROM THE
CUSTODIAL PROPERTY FOR HIS REASONABLE EXPENSES INCURRED
IN THE PERFORMANCE OF HIS DUTIES.

(E) MAY ACT WITHOUT COMPENSATION.

A CUSTODIAN MAY ACT WITHOUT COMPENSATION FOR HIS
SERVICES.

(C) RIGHT TO RECEIVE COMPENSATION.

UNLESS HE IS A DONOR, A CUSTODIAN MAY RECEIVE FROM
THE CUSTODIAL PROPERTY AS REASONABLE COMPENSATION FOR HIS
SERVICES THE FEES THAT ARE CUSTOMARILY ALLOWED IN THIS
STATE TO TRUSTEES, UNLESS THE DONOR DIRECTS OTHERWISE
WHEN THE GIFT IS MADE.

(D)   BOND.

EXCEPT AS OTHERWISE PROVIDED IN THIS SUBTITLE, A
CUSTODIAN SHALL NOT BE REQUIRED TO GIVE A BOND FOR THE
PERFORMANCE OF HIS DUTIES.

(E)   LIABILITY FOR LOSSES.

A CUSTODIAN NOT COMPENSATED FOR HIS SERVICES IS NOT