1684                                          LAWS OF MARYLAND                                     Ch. 129

The fund shall be credited with all reserve fund charges
collected from policyholders and, in any year the Society OR ITS
SUBSIDIARIES sustains an operating loss, be charged with the
loss.

(d) Each policyholder member shall be subject to assessment
as provided in §§ 6-509, 6-510 and 6-511 of the Corporations and
Associations Article, except that:

(1)  The amount of all assessments may not exceed a
full year's premium calculated as of the policy anniversary next
preceding the time of assessment.

(2)  The amount specified in paragraph one shall be
further reduced in the proportion that the percentage of the net
balance of the Stabilization Reserve Fund at the time of
assessment bears to $5,000,000.

(3)  Upon the Commissioner's approval, the assessable
liability of the member policyholders not in excess of 5% of one
year's annual premium may be extinguished.]

(E) NOTWITHSTANDING PROVISIONS OF SUBSECTION (D) OF THIS
SECTION, THE SOCIETY AND ITS SUBSIDIARIES MAY ISSUE NONASSESSABLE
POLICIES SUBJECT TO THE PROVISIONS OF SECTIONS 262 AND 263, AND
ALL OTHER APPLICABLE PROVISIONS OF THIS ARTICLE AND THE
CORPORATIONS AND ASSOCIATIONS ARTICLE WHEN THE SOCIETY AND ITS
SUBSIDIARIES MEET ALL APPLICABLE REQUIREMENTS OF THIS ARTICLE
CONCERNING THE SALE OF NONASSESSABLE POLICIES INCLUDING, BUT NOT
LIMITED TO, SECTIONS 48, 49, AND 50 OF THIS ARTICLE.

4554.

(a)  The terms and conditions of all policies issued by the
Society AND ITS SUBSIDIARIES to EACH CLASS OF physicians AND
OTHER HEALTH CARE PROVIDERS shall be essentially uniform in terms
and coverage.

(b)  Notwithstanding the provisions of subsection (a), the
Society AND ITS SUBSIDIARIES may prescribe reasonable
classifications of physicians AND OTHER HEALTH CARE PROVIDERS' and
insured activities and exposures based on good faith
determination of relative exposures and hazards among
classifications and may vary the limits, coverages, exclusions,
conditions, and loss sharing provisions among classifications.
Additionally, the Society AND ITS SUBSIDIARIES may prescribe, in
the case of an individual physician OR OTHER HEALTH CARE PROVIDER
within a class, reasonable variations in the terms of coverage
including, but not limited to, deductibles and loss sharing
provisions, based upon the insured's prior loss experience and
current professional training and capability.]

[555.