MARVIN MANDEL, Governor

3345

CHAPTER 775
(House Bill 1206)

AN ACT concerning

Insurance — Nationwide Intercompany Arbitration Agreement

FOR the purpose of requiring all automobile liability or
physical damage insurers doing business in the State
to become members of the Nationwide Intercompany
Arbitration Agreement sponsored by the Committee on
Insurance Arbitration, and to arbitrate and [[pay]]
settle all claims for automobile physical damage
between the insurers in accordance with the
Agreement.

BY adding to

Article 48A — Insurance Code

Section 547

Annotated Code of Maryland

(1972 Replacement Volume and 1974 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That new Section 547 be and it is hereby added
to Article 48A — Insurance Code, of the Annotated Code of
Maryland (1972 Replacement Volume and 1974 Supplement) to
read as follows:

Article 48A — Insurance Code

547.

EVERY AUTOMOBILE LIABILITY OR PHYSICAL DAMAGE
INSURER DOING BUSINESS IN THIS STATE SHALL BE A MEMBER OF
THE NATIONWIDE INTERCOMPANY ARBITRATION AGREEMENT
SPONSORED BY THE COMMITTEE ON INSURANCE ARBITRATION.
INSURERS SHALL ARBITRATE AND [[PAY]] SETTLE ALL CLAIMS
MADE FOR AUTOMOBILE PHYSICAL DAMAGE BETWEEN THESE
INSURERS IN ACCORDANCE WITH THE TERMS OF THE NATIONWIDE
INTERCOMPANY ARBITRATION AGREEMENT AS ADOPTED BY THE
MEMBERS, AND RULES PROMULGATED PURSUANT TO THE AGREEMENT.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act
shall take effect July 1, 1975.

Approved May 15, 1975.