Ch. 285                                        1994 LAWS OF MARYLAND

Article - Labor and Employment

10-101.

(b) "Board" means the Board for the Injured Workers' Insurance Fund.
10-130.

(a)      The Board shall adopt, by regulation, a schedule of premium rates, as
provided in this section.

(b)      (1) The Board shall determine the schedule by:

(i) classifying all of the policyholders on the basis of the respective
level of hazard of their enterprises; and

(ii) setting a premium rate for each class on the basis of:

1.        its level of hazard; and

2.        incentives to prevent injuries to employees.

(2) To determine the schedule, the Board shall use the rating system that, in
the opinion of the Board:

(i) most accurately measures the level of hazard for each policyholder
on the basis of the number of injuries that occur in the enterprises of the policyholder;

(ii) encourages the prevention of injuries; and

(iii) ensures the solvency of the Fund from year to year.

(3) The Board may set minimum premium rates.

(c)      (1) The Board shall state premium rates as a percentage of the gross annual
wages of employees to whom Title 9 of this article applies.

(2) For employees who work partly in and partly outside the State, the
premium shall be based on wages for employment in the State.

(d)     (1) Except as provided in paragraph (2) of this subsection, the schedule of
premium rates in effect at the beginning of a calendar year remains in effect for the year.

(2) The Board shall adjust classes and rates as often as the Board
determines to be just and advantageous to meet the criteria under subsection (b)(2) of
this section and to reflect changes in levels of hazards.

(E) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION, THE
BOARD MAY NOT INCREASE THE PREMIUM POLICY RATE OF AN EMPLOYER ON
RENEWAL OF A POLICY BY MORE THAN 20% UNLESS THE BOARD NOTIFIES THE
EMPLOYER IN WRITING AT LEAST 6 MONTHS 45 DAYS BEFORE THE EFFECTIVE DATE
OF THE POLICY RATE INCREASE.

(2) THIS SUBSECTION DOES NOT APPLY TO AN INCREASE BASED ON THE
EXPERIENCE OF THE EMPLOYER.

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