HARRY HUGHES, Governor

895

together with that of other dividends or distributions made
within the preceding twelve months exceed the greater of:

(1)  (I) [Ten (10)] 10 percent, except for insurance
subsidiaries of the Medical Mutual Liability Insurance Society of
Maryland (Article 48A, Subtitle 36 of the Code) which shall be
[five (5)] 5 percent, of the insurer's surplus as regards
policyholders as of the 31st day of December next preceding[,] IF
THE REMAINING SURPLUS AS REGARDS POLICYHOLDERS AFTER PAYMENT OF
ANY SUCH DIVIDEND WILL BE LESS THAN THE SUM OF $10,000,000 PLUS
10 PERCENT OF THE INSURER'S ADMITTED ASSETS; OR

(II) 25 PERCENT OF THE INSURER'S SURPLUS AS
REGARDS POLICYHOLDERS AS OF THE 31ST DAY OF DECEMBER NEXT
PRECEDING, IF THE REMAINING SURPLUS AS REGARDS POLICYHOLDERS
AFTER PAYMENT OF ANY SUCH DIVIDEND WILL BE EQUAL TO OR GREATER
THAN THE SUM OF $10,000,000 PLUS 10 PERCENT OF THE INSURER'S
ADMITTED ASSETS; or

(2)  (I) [The] FROM JULY 1, 1986 THROUGH DECEMBER 31,

1987, THE net gain from operation of the insurer, if the insurer
is a life insurer, or 100 PERCENT OF the net investment income,
if the insurer is not a life insurer, for the twelve month period
ending the 31st day of December next preceding[, but shall not
include pro rata distributions of any class of the insurer's own
securities.];

(II)  FROM JANUARY 1, 1988 THROUGH DECEMBER 31,

1988,  THE NET GAIN FROM OPERATION OF THE INSURER, IF THE INSURER
IS A LIFE INSURER, OR 50 PERCENT OF THE NET INVESTMENT INCOME, IF
THE INSURER IS NOT A LIFE INSURER, FOR THE 12-MONTH PERIOD ENDING
THE 31ST DAY OF DECEMBER NEXT PRECEDING; AND

(III)  FROM JANUARY 1, 1989 AND THEREAFTER, THE
NET GAIN FROM OPERATION OF THE INSURER, IF THE INSURER IS A LIFE
INSURER, OR THE NET INCOME, IF THE INSURER IS NOT A LIFE INSURER,
FOR THE 12-MONTH PERIOD ENDING THE 31ST DAY OF DECEMBER NEXT
PRECEDING.

(B-l) IN DETERMINING WHETHER A DIVIDEND OR DISTRIBUTION IS
EXTRAORDINARY UNDER SUBSECTION (B)(2) (B)(2)(III) OF THIS
SECTION, AN INSURER MAY INCLUDE POSITIVE NET INCOME FROM THE
PREVIOUS 5 CALENDAR YEARS THAT HAS NOT ALREADY BEEN PAID OUT AS
DIVIDENDS.

499.

All information, documents and copies thereof obtained by or
disclosed to the Commissioner or any other person in the course
of an examination or investigation made pursuant to this subtitle
and all information reported pursuant to this subtitle, shall be
given confidential treatment and shall not be subject to subpoena
and shall not be made public by the Commissioner, THE NATIONAL
ASSOCIATION OF INSURANCE COMMISSIONERS, or any other person
without the prior written consent of the insurer to which it