Ch. 36                                     1995 LAWS OF MARYLAND

INSURER IN ACCEPTING INSURANCE CONTRACTS THAT THE PERSON HAS
SOLICITED, NEGOTIATED, OR EFFECTUATED, IF COMMITTED WITH SUFFICIENT
FREQUENCY TO INDICATE A GENERAL BUSINESS PRACTICE; OR

(12) HAS HAD A CERTIFICATE OF AUTHORITY REVOKED OR SUSPENDED
BY THE INSURANCE REGULATORY AUTHORITY OF ANOTHER STATE.

(C)     NOTICE OF REFUSAL TO RENEW, REVOCATION, OR SUSPENSION.

(1)      ON REFUSAL TO RENEW, SUSPENSION, OR. REVOCATION OF AN
INSURER'S CERTIFICATE OF AUTHORITY, THE COMMISSIONER IMMEDIATELY SHALL
NOTIFY:

(I)      THE INSURER; AND

(II)     EACH AGENT OF THE INSURER IN THE STATE OF RECORD IN
THE OFFICE OF THE COMMISSIONER.

(2)     THE REFUSAL TO RENEW, REVOCATION, OR SUSPENSION OF A
CERTIFICATE OF AUTHORITY AUTOMATICALLY SUSPENDS OR REVOKES THE
CERTIFICATE OF QUALIFICATION OF EACH AGENT OF THE INSURER IN THE STATE.

(3)     THE COMMISSIONER SHALL STATE IN THE NOTICE TO EACH AGENT
UNDER PARAGRAPH (1) OF THIS SUBSECTION THAT THE CERTIFICATE OF
QUALIFICATION OF THE AGENT HAS BEEN SUSPENDED OR REVOKED.

(4)     THE COMMISSIONER MAY PUBLISH NOTICE OF THE REVOCATION OF
A CERTIFICATE OF AUTHORITY IN A NEWSPAPER PUBLISHED IN THE STATE.

(D)     PENALTY.

INSTEAD OF OR IN ADDITION TO SUSPENDING OR REVOKING A CERTIFICATE
OF AUTHORITY, THE COMMISSIONER MAY:

(1)      IMPOSE ON THE HOLDER A PENALTY OF NOT LESS THAN $100 BUT
NOT EXCEEDING $50,000 FOR EACH VIOLATION OF THIS ARTICLE; AND

(2)      REQUIRE THE HOLDER TO MAKE RESTITUTION TO ANY PERSON
WHO HAS SUFFERED FINANCIAL INJURY BECAUSE OF THE VIOLATION OF THIS
ARTICLE.

(E)     REGULATIONS ABOUT AGENTS WITHOUT APPOINTMENTS.

THE COMMISSIONER SHALL ADOPT REGULATIONS TO CARRY OUT THE
PROVISIONS OF SUBSECTION (B) (11) OF THIS SECTION.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, §§ 55A, 56, 51(1), and 55(1), (2), and (4).

The Insurance Article Review Committee notes, for consideration by the
General Assembly, that subsection (a) of this section lacks the requirement
that the Commissioner give an applicant or holder an opportunity for a
hearing before the Commissioner denies, refuses to renew, suspends, or

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