MARVIN MANDEL, Governor

701

(A)      A LICENSE, REGISTRATION OR NONRESIDENTS
OPERATING PRIVILEGE OF ANY PERSON MAY NOT BE SUSPENDED
UNDER THE PROVISIONS OF THIS SUBTITLE IF THE
ADMINISTRATION FINDS THAT AN INSURER WAS OBLIGATED TO PAY
THE JUDGMENT UPON WHICH SUSPENSION IS BASED, AT LEAST TO
THE EXTENT AND FOR THE AMOUNTS REQUIRED IN THIS ARTICLE,
BUT HAS NOT PAID THE JUDGMENT FOR ANY REASON. A FINDING
BY THE ADMINISTRATION THAT AN INSURER IS OBLIGATED TO PAY
A JUDGMENT IS NOT BINDING UPON THE INSURER AND HAS NO
LEGAL EFFECT WHATEVER EXCEPT FOR THE PURPOSE OF
ADMINISTERING THIS SECTION, IF IN A JUDICIAL PROCEEDING
IT IS DETERMINED BY A FINAL JUDGMENT, DECREE OR ORDER
THAT AN INSURER IS NOT OBLIGATED TO PAY THE JUDGMENT, THE
ADMINISTRATION, NOTWITHSTANDING ANY CONTRARY FINDING
PREVIOUSLY MADE BY IT, SHALL SUSPEND THE LICENSE AND
REGISTRATION AND ANY NONRESIDENT'S OPERATING PRIVILEGE OF
ANY PERSON AGAINST WHOM THE JUDGMENT WAS RENDERED, EXCEPT
AS PROVIDED UNDER THIS SUBTITLE.

(B)    THE ADMINISTRATION MAY NOT SUSPEND A LICENSE,
REGISTRATION OR NONRESIDENT'S OPERATING PRIVILEGE OF A
PERSON UNDER THIS SUBTITLE IF (I) THE PERSON OR THE
VEHICLE WAS INSURED BY AN INSURER WHICH WAS AUTHORIZED TO
DO BUSINESS IN THIS STATE, (II) SUBSEQUENT TO THE
ACCIDENT INVOLVING THE OWNER OR DRIVER AND PRIOR TO
SETTLEMENT OF THE CLAIM, THE INSURER WENT INTO
LIQUIDATION, AND (III) AS A RESULT NO BENEFIT ACCRUED TO
THE OWNER OR DRIVER BY REASON OF THE INSURANCE.

7-207.

THE LICENSE, REGISTRATION OR NONRESIDENT'S OPERATING
PRIVILEGE SHALL REMAIN SUSPENDED AND NAT NOT BE RENEWED
OR REISSUED, AND NO NEW OR ORIGINAL LICENSE OR
REGISTRATION SHALL BE ISSUED TO THE PERSON UNTIL EVERT
SUCH JUDGMENT IS STATED, SATISFIED IN FULL OR IS SUBJECT
TO THE EXCEPTIONS STATED IN SECTIONS 7-206 AND 7-209.

7-208.

(A)        FOR THE PURPOSE OF THIS ARTICLE ONLY:

(1)         A JUDGMENT IS SATISFIED IF IT HAS BEEN
FULLY PAID.

(2)         A JUDGMENT IS SATISFIED IF IT HAS BEEN
RELEASED.

(3)         A JUDGMENT RENDERED IN EXCESS OF $20,000
BECAUSE OF BODILY INJURY TO OR DEATH OF ONE PERSON, AS
THE RESULT OF ANY ONE ACCIDENT IS SATISFIED IF $20,000
HAS BEEN PAID ON THE JUDGMENT IN REDUCTION OF THE TOTAL
JUDGMENT.