Ch. 11                                    LAWS OF MARYLAND

(2) The insurance must be eligible as surplus line in
accordance with the provisions of this paragraph:

(i) A diligent search and effort must be made
among the insurers who are authorized to transact and are
actually writing the particular kind and class of insurance in
this State, and. except for insurance described in [paragraph
(a)(2)] SUBSECTION (A)(2) of this section the amount of insurance
eligible for an unauthorized insurer is only the excess over the
amount procurable from authorized insurers.

(ii) Except for subsection (c) OF THIS SECTION,
the insurance may not be procured for the sole purpose of
securing advantages either as to:

1.  A lower premium rate than would be
accepted by an authorized insurer, or

2.  Terms of the insurance contract.

(c) This subtitle may not prohibit a more favorable premium
rate or more favorable terms of the insurance contract in an
unauthorized insurer if the risk is eligible as surplus line as
provided in [subparagraph (b)(2)(i)] SUBSECTION (B)(2)(I) OF THIS
SECTION.

DRAFTER'S NOTE: This corrects stylistic errors in internal
references in Article 48A, § 184(b)(2) and (c).

The stylistic errors occurred in Ch. 790 of the Acts
of 1980.

The stylistic errors were noted by the Michie Company
and by the professional staff of the Legislative
Division of the Department of Legislative Reference.

190.

(a) No surplus line broker shall place surplus line
insurance with an unauthorized insurer which has not been
approved by the Commissioner as a surplus line insurer, or which
has, been determined to be unsafe financially, or insolvent, by
the Commissioner pursuant to subsection (c) [hereof] OF THIS
SECTION.

DRAFTER'S NOTE: This corrects a stylistic error in an
internal reference in Article 48A, § 190(a).

The stylistic error occurred in Ch. 86 of the Acts of
1974.                                                 

The stylistic error was noted by the Michie Company.

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