PARRIS N. GLENDENING, Governor                                   Ch. 36

4-115. HOME OFFICE; LOCATION OF ACCOUNTING RECORDS AND ASSETS.

(A)     HOME OFFICE.

(1)      EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION, A
DOMESTIC INSURER MAY NOT MOVE ITS HOME OR EXECUTIVE OFFICE OUT OF THE
STATE WITHOUT NOTICE TO AND APPROVAL BY THE COMMISSIONER.

(2)      A DOMESTIC RISK RETENTION GROUP, AS DEFINED IN § 22-XXX OF
THIS ARTICLE [ART. 48A § 617(K)], THAT BECAME DOMICILED IN THE STATE ON OR
BEFORE DECEMBER 31, 1993, IS NOT REQUIRED TO HAVE AN OFFICE IN THE STATE.

(B)     LOCATION OF ACCOUNTING RECORDS AND ASSETS.

(1)      A DOMESTIC INSURER, INCLUDING A RECIPROCAL INSURER,
FRATERNAL BENEFIT SOCIETY, OR NONPROFIT HEALTH SERVICE PLAN, WITH ITS
HOME OR EXECUTIVE OFFICE IN THE STATE SHALL KEEP IN THE STATE:

(I)       ITS GENERAL LEDGER ACCOUNTING RECORDS; AND

(II)     SUBJECT TO SUBSECTION (C) OF THIS SECTION, ALL OF ITS
ASSETS EXCEPT:

1.        REAL PROPERTY LAWFULLY OWNED BY THE INSURER
AND LOCATED OUTSIDE OF THE STATE, PERSONAL PROPERTY APPURTENANT TO
THE REAL PROPERTY, OR MORTGAGES ON THE REAL PROPERTY;

2.        PROPERTY OF THE INSURER THAT IS CUSTOMARY AND
NECESSARY TO THE OPERATION OF THE INSURER'S BRANCH OFFICES OUTSIDE OF
THE STATE;

3.        SECURITIES DEPOSITED IN A JURISDICTION OUTSIDE OF
THE STATE AS A CONDITION OF AUTHORITY TO TRANSACT BUSINESS IN THAT
JURISDICTION OR SECURITIES DEPOSITED IN CONNECTION WITH OBTAINING
SURETY BONDS; AND

4.        SECURITIES HELD FOR SAFEKEEPING BY A BANK OR
OTHER INSTITUTION THAT:

A.       IS APPROVED BY THE COMMISSIONER;

B.       IS LOCATED IN THE UNITED STATES OR CANADA, OR IN
ANY JURISDICTION IN WHICH THE INSURER IS LICENSED TO DO BUSINESS; AND

C.       HAS A CUSTODIAL AGREEMENT WITH THE INSURER
APPROVED BY THE COMMISSIONER.

(2)      A RISK RETENTION GROUP, AS DEFINED IN § 22-XXX OF THIS
ARTICLE [ART. 48A § 617(K)], THAT BECAME DOMICILED IN THE STATE ON OR
BEFORE DECEMBER 31, 1993, AND THAT DOES NOT HAVE ITS HOME OR EXECUTIVE
OFFICE IN THE STATE:

(I) SHALL KEEP IN THE STATE ITS ENTIRE ASSETS AS REQUIRED
BY PARAGRAPH (1)(II) OF THIS SUBSECTION; AND

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