Ch. 584

LAWS OF MARYLAND

(b) If an employer defaults in any payment required to be
made by him to the State Accident Fund the amount due by him may
be collected by civil action in the name of the State [of
Maryland] ACCIDENT FUND and the commissioners, or superintendent
or assistant superintendent of the State Accident Fund whenever
they or he may deem it necessary, [shall] MAY refer to the
Attorney General of the State the names, residences or places of
business of any employer known to the commissioners or
superintendent or assistant superintendent to be in default of
such payment or payments, and the amount due from such employer
and it shall then be the duty of the Attorney General forthwith
to bring or cause to be brought against the employer a civil
action in the proper court for the collection of the amount so
due, and the same when collected, shall be paid into the State
Accident Fund, and the policy or contract of insurance which the
State Accident Fund has issued to such employer shall cease to be
in effect from the date the thirty day notice expires as provided
in subsection (a) OF THIS SECTION, and said policy or contract of
insurance shall not again be in effect until all premiums due by
such employer shall be paid into the State Accident Fund.

(c) Any account which has been cancelled and referred [to
the Attorney General] for collection may be settled or
compromised when it shall appear to the [Attorney General, the
Comptroller, and chairman or vice-chairman] SUPERINTENDENT of the
State Accident Fund that such settlement and compromise is to the
best interests of the State Accident Fund, and any account may be
changed from the books of the State Accident Fund when it shall
appear to [the Attorney General, the Comptroller of the State,
and the chairman on vice-chairman of] the commissioners of the
State Accident Fund that such account is uncollectible.

[78.

(A) THE COMMISSIONERS OF THE STATE ACCIDENT FUND SHALL
MAINTAIN A CATASTROPHE SURPLUS IN AN AMOUNT SUFFICIENT TO COVER
THE CATASTROPHIC HAZARDS ARISING FROM THE INSURANCE POLICIES
ISSUED BY THE FUND.------

(B) THE COMMISSIONERS SHALL MAINTAIN RESERVES IN AN AMOUNT

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78.

Ten per centum of the premiums collected from employers
insured in the State Accident Fund shall be set aside by the
commissioners of the State Accident Fund for the creation of a
surplus until such surplus shall amount to the turn of fifty
thousand dollars, and thereafter five per centum of such premiums
until such time as in the judgment of said commissioners such
surplus shall be sufficiently large to cover the catastrophe
hazard. The commissioners shall also set up and maintain a
reserve adequate to meet anticipated losses and carry all claims
and policies to maturity.]