2052

LAWS OF MARYLAND

Ch. 574

(5) TO RESTRUCTURE THE MARYLAND JOINT INSURANCE

ASSOCIATION TO DETER THE INSURANCE INDUSTRY FROM

GEOGRAPHICALLY REDLINING URBAN AREAS OF THE STATE BY

ASSURING THE DELIVERY AND AVAILABILITY OF ESSENTIAL PROPERTY
INSURANCE TO ALL CITIZENS OF THIS STATE ON A REASONABLE
ACCESS AND MARKETING BASIS.

(5)  TO  ENCOURAGE THE DELIVERY OF CERTAIN HOMEOWNER'S
INSURANCE AT A RATE THAT IS ACTUARIALLY SELF-SUPPORTING, BUT
IN NO EVENT SHALL BE LESS THAN BUREAU OR STANDARD RATES NOR
MORE THAN 30 PERCENT ABOVE THE BUREAU OR STANDARD RATES.

(6)  TO AUTHORIZE THE MARYLAND JOINT INSURANCE
ASSOCIATION TO BIND ELIGIBLE RISKS, TO USE PREMIUM
INSTALLMENT PAYMENT PLANS, AND TO ESTABLISH REASONABLE
SERVICE STANDARDS IN THE PROGRAM OF OPERATION SUBJECT TO THE
APPROVAL AND REVIEW OF THE COMMISSIONER OF INSURANCE.

(7)  TO AUTHORIZE THE MARYLAND JOINT INSURANCE
ASSOCIATION TO OFFER URBAN CERTAIN HOMEOWNERS INSURANCE
COVERAGE FOR ELIGIBLE RISKS.

(8)  TO BROADEN REPRESENTATION ON THE MARYLAND JOINT
INSURANCE ASSOCIATION GOVERNING COMMITTEE BY INCLUDING

CONSUMER PUBLIC REPRESENTATIVES, AND MORE DEFINITIVE

REPRESENTATION OF MARYLAND CONSUMER AT LARGE.

(9)  TO ENCOURAGE THE DELIVERY OF ESSENTIAL PROPERTY
INSURANCE AT THE MOST REASONABLE COST POSSIBLE, PROVIDED THE
PRICING OF ESSENTIAL PROPERTY INSURANCE IN THE MARYLAND
JOINT INSURANCE ASSOCIATION SHALL NOT ACTIVELY COMPETE WITH
THE PRICING OF PROPERTY INSURANCE IN THE VOLUNTARY INSURANCE
MARKET.

(10)  TO UTILIZE FULLY THE VOLUNTARY INSURANCE MARKET
AS A SOURCE OF ESSENTIAL PROPERTY AND HOMEOWNERS INSURANCE.

478B.

As used in this subtitle, unless the context otherwise
requires:

(3) "Inspection bureau" means the [organization]
ORGANIZATIONS designated by the association with the
approval of the Commissioner to make inspections as required
under this subtitle and to perform [such] other duties as
may be authorized by the association.

(6) "Essential property insurance" means insurance
against direct loss to property as defined and limited in
standard fire policies and extended coverage endorsement
[thereon] and against the perils of vandalism and malicious
mischief, [all as approved by the Commissioner, and
insurance for such types, classes and locations of property
against the perils of burglary or theft as the Secretary
APPROPRIATE FEDERAL AUTHORITY by rule shall designate. Such