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LAWS OF MARYLAND

Ch. 867

Article 48A - Insurance Code

Section 243D(e)

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be repealed, amended, or enacted to read as follows: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

243D.

(e) (1) If the executive director finds that, after
being insured by the Fund for any ten months during an
18-month period, an insured had [(i) ten or more points
under the point system established under Title 16, Subtitle
4 of the Transportation Article and one or more chargeable
accidents, as defined in the rules and rates schedules of
the Maryland Automobile Insurance Fund filed with the
Commissioner of Insurance, which produce a claim payment of
$300 or more, based upon third-party liability, or (ii) ]
three or more chargeable accidents, as defined in the rules
and rates schedules of the Maryland Automobile Insurance
Fund filed with the Commissioner of Insurance, without
regard to the number of points, AND WHICH PRODUCE A CLAIM
PAYMENT OF $300 OR MORE, BASED UPON THIRD PARTY LIABILITY,
he shall refer the matter to the Motor Vehicle Administrator
for a determination. If, after a hearing, the Administrator
suspends or revokes the insured's driving license, the
executive director shall cancel or nonrenew the policy of
insurance after the notice required by § 240A (c) . If the
policy of insurance covers a spouse or other household
member of the family of the policyholder, the cancellation
of the policy shall not cancel the coverage of the spouse or
family member who has not had his or her driving license
suspended or revoked, and the Fund shall reclassify the rate
of risk of the spouse or family member for premium purposes.

(2)    If the Administrator does not suspend or
revoke the insured's driving license pursuant to paragraph
(1), the executive director may not cancel or refuse to
renew the policy of insurance.

(3)    The executive director may refer any other
matter concerning any insured's driving record to the
Administrator for a determination.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act
shall take effect July 1, 1978.

Approved May 29, 1978.