PARRIS N. GLENDENING, Governor                                   Ch. 36

4-110. CONTENTS OF CERTIFICATE OF AUTHORITY.

A CERTIFICATE OF AUTHORITY SHALL STATE THE KIND OR COMBINATION OF
KINDS OF INSURANCE BUSINESS THAT THE INSURER IS AUTHORIZED TO TRANSACT
IN THE STATE.

REVISOR'S NOTE: This section is new language derived without substantive
change from the first sentence of former Art. 48A, § 53(2).

The reference to insurance "business" is added to conform to language used
throughout this subtitle.

The former phrase "if issued" is deleted as surplusage.

Defined terms: "Certificate of authority" § 1-101
"Insurance business" § 1-101
"Insurer" § 1-101

4-111. SCOPE OF CERTIFICATE OF AUTHORITY.

(A)     IN GENERAL.

EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, A CERTIFICATE OF
AUTHORITY AUTHORIZES AN INSURER TO ENGAGE IN ONE KIND OR A
COMBINATION OF KINDS OF INSURANCE BUSINESS.

(B)     LIFE INSURERS.

(1)      SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION, AN INSURER
AUTHORIZED TO ENGAGE IN THE BUSINESS OF LIFE INSURANCE MAY ALSO WRITE
ANNUITY CONTRACTS BUT THE INSURER IS NOT AUTHORIZED TO ENGAGE IN ANY
OTHER KIND OF INSURANCE BUSINESS EXCEPT HEALTH INSURANCE.

(2)      THE COMMISSIONER SHALL CONTINUE TO AUTHORIZE AN INSURER
AUTHORIZED TO ENGAGE IN THE BUSINESS OF LIFE INSURANCE TO ENGAGE IN
OTHER KINDS OF INSURANCE BUSINESS, IN ADDITION TO ANNUITIES AND HEALTH
INSURANCE, IF THE INSURER:

(I)      WAS AUTHORIZED TO ENGAGE IN ONE KIND OR A
COMBINATION OF KINDS OF INSURANCE BUSINESS IN ADDITION TO LIFE
INSURANCE, HEALTH INSURANCE, AND ANNUITIES IMMEDIATELY BEFORE
DECEMBER 31, 1963; AND

(II)     IS OTHERWISE QUALIFIED TO ENGAGE IN THAT KIND OR
COMBINATION OF KINDS OF INSURANCE BUSINESS.

(C)     RECIPROCAL INSURERS.

A RECIPROCAL INSURER MAY NOT ENGAGE IN THE BUSINESS OF LIFE
INSURANCE OR HEALTH INSURANCE EXCEPT AS SUPPLEMENTARY COVERAGE IN
POLICIES OF LIABILITY INSURANCE.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 46.

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