PARRIS N. GLENDENING, Governor

Ch. 36

(B)     NAME OF INSURER.

AN INSURER MAY NOT BE AUTHORIZED TO ENGAGE IN THE INSURANCE
BUSINESS IN THE STATE IF THE INSURER HAS OR USES A NAME THAT IS SO SIMILAR
TO THE NAME OF AN INSURER ALREADY SO AUTHORIZED AS TO TEND TO CAUSE
UNCERTAINTY OR CONFUSION OR THAT TENDS TO DECEIVE OR MISLEAD ABOUT
THE TYPE OF ORGANIZATION OF THE INSURER.

(C)     FOREIGN INSURERS.

(1)      A FOREIGN INSURER MAY NOT BE AUTHORIZED TO ENGAGE IN THE
INSURANCE BUSINESS IN THE STATE IF:

(I)       THE VOTING CONTROL OR OWNERSHIP OF THE FOREIGN
INSURER IS HELD IN WHOLE OR SUBSTANTIAL PART BY A GOVERNMENT OR
GOVERNMENTAL UNIT; OR

(II)     THE FOREIGN INSURER IS OPERATED FOR OR BY A
GOVERNMENT OR GOVERNMENTAL UNIT.

(2)      FOR PURPOSES OF THIS SUBSECTION, MEMBERSHIP IN A MUTUAL
INSURER, SUBSCRIBERSHIP IN A RECIPROCAL INSURER, OWNERSHIP OF STOCK OF
AN INSURER BY THE ALIEN PROPERTY CUSTODIAN OR SIMILAR OFFICIAL OF THE
UNITED STATES, OR SUPERVISION OF AN INSURER BY A PUBLIC INSURANCE
SUPERVISORY AUTHORITY ARE NOT CONSIDERED TO BE OWNERSHIP, CONTROL, OR
OPERATION OF THE INSURER.

(D)     LLOYDS UNDERWRITERS.

(1)      IN THIS SUBSECTION, "LLOYDS UNDERWRITERS" MEANS AN
AGGREGATION OF INDIVIDUALS WHO, UNDER A COMMON NAME, ENGAGE IN THE
INSURANCE BUSINESS FOR PROFIT THROUGH AN ATTORNEY IN FACT WHO HAS
AUTHORITY, WITHIN THE LIMITS SPECIFIED IN THE POWER OF ATTORNEY, TO
OBLIGATE THE UNDERWRITERS SEVERALLY ON INSURANCE CONTRACTS MADE OR
ISSUED BY THE ATTORNEY IN FACT, IN THE NAME OF THE AGGREGATION OF
INDIVIDUALS, TO AND WITH ANY PERSON INSURED.

(2)      A LLOYDS UNDERWRITER MAY NOT BE ORGANIZED IN THE STATE
AND A FOREIGN OR ALIEN LLOYDS UNDERWRITER MAY NOT BE AUTHORIZED TO
ENGAGE IN THE INSURANCE BUSINESS IN THE STATE.

(3)      THIS SUBSECTION DOES NOT RESTRICT THE RIGHT OF INSURERS TO
PLACE SURPLUS LINES COVERAGES IN AND TO CEDE REINSURANCE TO FOREIGN OR
ALIEN LLOYDS UNDERWRITERS, IF THE SURPLUS LINES AND REINSURANCE
TRANSACTIONS ARE OTHERWISE ALLOWED UNDER THIS ARTICLE.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, §§ 44 and 45.

In subsection (c)(1)(i) and (ii) of this section, the references to a
"governmental unit" are substituted for the former references to a
"governmental agency" and an "agency" for clarity and consistency.

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