dentistry;

PARRIS N. GLENDENING, Governor                            S.B. 307

(ii) The policies are issued to:

1. Persons lawfully engaged in the practice of medicine or

2.       Health care providers employed and supervised by persons
lawfully engaged in the practice of medicine or dentistry;

3.       Medical or dental facilities operated under the supervision of
persons lawfully engaged in the practice of medicine or dentistry; or

4.       Hospitals and related institutions; and

(iii) Rates filed or used in each state are based on actual or anticipated
loss experience in that state only.

(3)     All debts, claims, obligations, and liabilities of a subsidiary, whenever
incurred, shall be the debts, claims, obligations, and liabilities of that subsidiary only and
not of the Society or any other subsidiary.

(4)     The activities specified in paragraph (2) of this subsection shall inure to
the benefit of the policyholders of the Society.

(5)     For the purposes of this section, "related property and casualty
insurance policies":

(i) Includes policies which cover:

1.       Commercial general liability insurance;

2.       Commercial all-risk property insurance; or

3.       Umbrella property and casualty insurance; and
(ii) Does not include:

1.       Motor vehicle liability insurance; or

2.       Homeowner's insurance.]

(b)     The Society is a member of the Joint Insurance Association and the Property
and Casualty Insurance Guaranty Corporation.

(c)     (1) The Society [and its subsidiaries are] IS not and may not be deemed a
department, unit, agency, or instrumentality of the State for any purpose.

(2)     All debts, claims, obligations, and liabilities of the Society [or its
subsidiaries], whenever incurred, shall be the debts, claims, obligations, and liabilities of
the Society [or its subsidiaries] only and not of the State, its agencies, instrumentalities,
officers, or employees.

(3)     The [Society and its subsidiaries'] SOCIETY'S moneys may not be
considered part of the General Fund of the State.

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