BLAIR LEE III, Acting Governor                            1475

Article 48 A - Insurance Code

Section 243N

Annotated Code of Maryland

(1972 Replacement Volume and 1977 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That section(s) of the Annotated Code of Maryland
be repealed, amended, or enacted to read as follows:

Article 48A - Insurance Code

243A.

(c) On or before October 15 of each year, the board

of trustees__shall determine the probable amount of money

that, in its judgment, will be needed for the Fund to carry

put its functions and meet its obligations in the next

ensuing calendar year. If, in the board's judgment, the
expected amount of money that will be available to the Fund
during that next year from premiums and investments will be

insufficient__for those purposes. it shall determine the

amount of estimated insufficiency and certify that amount to

the Insurance Commissioner and the Industry Automobile

Insurance__Association, The association shall assess and

collect from__its member__companies the amount of the

certified__estimated insufficiency, in accordance with 5

243M, and shall [pay the amount of the insufficiency to the

Fund on or before December 31 next following the date of

certification] DEPOSIT__THE__AMOUNT OF THE INSUFFICIENCY

ASSESSMENT__INTO THE RESERVE FUND ESTABLISHED UNDER SECTION

243N ON OR BEFORE DECEMBER 31 NEXT FOLLOWING THE DATE OF
CERTIFICATION.

243N.

(A)    IN THIS SECTION, THE TERM "INSUFFICIENCY
ASSESSMENT" MEANS ALL FUNDS COLLECTED BY THE INDUSTRY
AUTOMOBILE INSURANCE ASSOCIATION UNDER SECTION 243M OF THIS
ARTICLE, AND ANY GROSS SURPLUS RECOUPMENT.

(B)    EACH MEMBER OF THE INDUSTRY AUTOMOBILE INSURANCE
ASSOCIATION SHALL DEPOSIT WITH THE ASSOCIATION, ON OR BEFORE
SEPTEMBER 1, 1978, ANY GROSS SURPLUS RECOUPMENT COLLECTED
FROM POLICYHOLDERS ON ACCOUNT OF THE INSUFFICIENCY
ASSESSMENT MADE FOR THE CALENDAR YEAR 1977, AND SHALL
DEPOSIT WITH THE ASSOCIATION ANY GROSS SURPLUS RECOUPMENT
RECEIVED BY SUCH MEMBER ON ACCOUNT OF ANY FUTURE
INSUFFICIENCY ASSESSMENT NOT LATER THAN MARCH 15 OF THE
CALENDAR YEAR FOLLOWING THE YEAR IN WHICH THE GROSS SURPLUS
RECOUPMENT WAS RECEIVED.

(C)    THE INDUSTRY AUTOMOBILE INSURANCE ASSOCIATION
SHALL HOLD THE INSUFFICIENCY ASSESSMENT FUNDS IN TRUST III A
SEPARATE INTEREST-BEARING ACCOUNT IN A MARYLAND FINANCIAL
INSTITUTION FOR THE USE OF THE MARYLAND AUTOMOBILE INSURANCE
FUND, EXCEPT THAT IN THE ASSOCIATION'S DISCRETION, IT MAY