Ch. 36                                      1995 LAWS OF MARYLAND

(C) AUDITED FINANCIAL REPORT.

(1)      ON OR BEFORE JUNE 1 OF EACH YEAR, AN AUTHORIZED INSURER
SHALL FILE WITH THE COMMISSIONER AN AUDITED FINANCIAL REPORT FOR THE
IMMEDIATELY PRECEDING CALENDAR YEAR.

(2)     THE AUTHORIZED INSURER SHALL HAVE THE REPORT PREPARED
BY AN INDEPENDENT CERTIFIED PUBLIC ACCOUNTANT.

(3)     THE COMMISSIONER MAY:

(I) SET REQUIREMENTS FOR THE FORM AND CONTENT OF THE

REPORT; AND
REPORT.

(II) FOR GOOD CAUSE, EXTEND THE TIME FOR FILING THE

(4) UNLESS THE COMMISSIONER EXTENDS THE TIME FOR FILING, AN
AUTHORIZED INSURER THAT FAILS TO FILE AN AUDITED FINANCIAL REPORT ON
OR BEFORE JUNE 10 SHALL PAY A PENALTY OF:

(I)      $100 FOR EACH DAY FROM JUNE 1 TO JUNE 10, BOTH
INCLUSIVE; AND                                                                                                         

(II)     $150 FOR EACH DAY FROM JUNE 11 TO THE DAY BEFORE THE
COMMISSIONER RECEIVES THE REPORT, BOTH INCLUSIVE.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 58.                                               

In subsections (a)(1) and (c)(1) of this section, the references to the
"immediately preceding calendar year" are substituted for the former phrases
"as of the December 31 preceding" and "for the year ending December 31
immediately preceding" for brevity and consistency.

In subsection (a)(1) of this section, the reference to a "complete" statement is
substituted for the former reference to a "true" statement for clarity.

In subsection (a)(2)(i) of this section, the former reference to the form
"adopted" by the National Association of Insurance Commissioners and the
former phrase "for use as to the type of insurer and kinds of insurance to be
reported upon" are deleted as implicit in the requirement that the annual
statement "be in the form and have the content approved for current use by
the National Association of Insurance Commissioners".

In subsection (b) of this section, the former phrase "during the period
between the filing of annual statements" is deleted as surplusage since it does
not impose a limitation on when the Commissioner may require an interim
statement. The period between the filing of annual statements runs from the
filing of an annual statement on or before March 1 of one year to the filing of
an annual statement on or before March 1 of the next year (i.e., the entire
year) and therefore the Commissioner may require an interim statement at
any time.

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