WILLIAM DONALD SCHAEFER, Governor                     Ch. 11

stock, and which cash payment together with stock so purchased,
if any, shall constitute full payment and discharge of the
policyholder's equity as an owner of such mutual insurer; and

(8) The plan, when completed, would provide for the
converted insurer paid-in capital stock in an amount not less
than the minimum paid-in capital required of a domestic stock
insurer transacting like kinds of insurance, together with
surplus funds in amount not less than one hundred (100) percent
of such required capital.

DRAFTER'S NOTE: This corrects stylistic errors in internal
references in Article 48A, § 270(b).

The stylistic errors occurred in Ch. 553 of the Acts
of 1963.

The stylistic errors were noted by the Michie Company.

306.

(b)  Any such society or association described in [clauses
(3) or (4)] SUBSECTION (A)(3) OR SUBSECTION (A)(4) OF THIS
SECTION, above, which provides for death or disability benefits
for which benefit certificates are issued, and any society or
association included in paragraph (4) which has more than one
thousand (1,000) members, shall not be exempted from the
provisions of this subtitle but shall comply with all
requirements thereof.

(c)  No society which, by the provisions of this section, is
exempt from the requirements of this subtitle, except any society
described in [paragraph (2), above] SUBSECTION (A)(2) OF THIS
SECTION, shall give or allow, or promise to give or allow to any
person any compensation for procuring new members.

DRAFTER'S NOTE: This corrects stylistic errors in internal
references in Article 48A, § 306(b) and (c).

The stylistic errors occurred in Ch. 553 of the Acts
of 1963.

The stylistic errors were noted by the Michie Company.

344D.

A society doing business in this State may not pay any
commission or other compensation to any person for any services
in obtaining in this State any new contract of life or health
insurance, or any new annuity contract, except to a qualified
insurance agent of such society and except an agent exempted
under [subsection (2) of Section 344B] § 344B(2) OF THIS
SUBTITLE.

- 209 -