HARRY HUGHES, Governor

2123

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be repealed, amended, or enacted to read as follows: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

541.

(c) (1) IN THIS SUBSECTION "UNINSURED MOTOR VEHICLE"
MEANS A MOTOR VEHICLE WHOSE OWNERSHIP, MAINTENANCE, OR USE
HAS RESULTED IN THE BODILY INJURY OR DEATH OF AN INSURED,
AND FOR WHICH THE SUM OF THE LIMITS OF LIABILITY UNDER ALL
VALID AND COLLECTIBLE LIABILITY INSURANCE POLICIES, BONDS,
AND SECURITIES APPLICABLE TO THE BODILY INJURY OR DEATH IS
LESS THAN THE AMOUNT OF COVERAGE PROVIDED TO THE INSURED
UNDER THIS SUBSECTION.

(2) In addition to any other coverage required
by this subtitle, every policy of motor vehicle liability
insurance issued, sold, or delivered in this State after
July 1, 1975 shall contain coverage, in at least the amounts
required under Title 17 of the Transportation Article, for
damages which the insured is entitled to recover from the
owner or operator of an uninsured motor vehicle because of
bodily injuries sustained in an accident arising out of the
ownership, maintenance, or use of such uninsured motor

vehicle. HOWEVER THE INSURED SHALL BE BE OFFERED THE

OPPORTUNITY TO CONTRACT FOR FAMILY MEMBERS AND OTHER

OCCUPANTS OF THE MOTOR VEHICLE, AT AN ADDITIONAL PREMIUM,
FOR LIMITS HIGHER THAN THOSE PROVIDED UNDER TITLE 17 OF THE
TRANSPORTATION ARTICLE, AS LONG AS SUCH LIMITS DO NOT EXCEED
THE LIMITS OF THE AUTOMOBILE THERE SHALL BE AVAILABLE TO THE
INSURED THE OPPORTUNITY TO CONTRACT FOR HIGHER AMOUNTS THAN
THOSE PROVIDED UNDER TITLE 17 OF THE TRANSPORTATION ARTICLE
IF THESE AMOUNTS DO NOT EXCEED THE AMOUNTS OF THE MOTOR
VEHICLE LIABILITY COVERAGE PROVIDED BY THE POLICY. The
coverage required under this subsection (c) shall be in such
form and subject to such conditions as may be approved by
the Commissioner of Insurance. Any provision in any policy
of motor vehicle liability insurance issued after July 1,
1975, with respect to the coverage provided for damages
sustained by the insured as a result of the operation of an
uninsured motor vehicle, which commands or requires the
submission of any dispute between the insured and the
insurer to binding arbitration, is prohibited and shall be
of no legal force or effect. In no case shall the uninsured
motorist coverage be less than the coverage afforded a
qualified person under Article 48A §§ 243H and 243-I. The
coverage required under this subsection shall be primary to
any right to recover from the Maryland Automobile Insurance
Fund pursuant to § 243H of this article.

(3) THE LIMIT OF LIABILITY FOR AN INSURER
PROVIDING UNINSURED MOTORIST COVERAGE UNDER THIS SUBSECTION

IS THE AMOUNT OF THAT COVERAGE LESS THE SUM OF THE LIMITS