PARRIS N. GLENDENING, Governor

Ch. 11

(1)      A PETITION FOR ASSESSMENT; AND

(2)      A REPORT THAT STATES:

(I)       THE REASONABLE VALUE OF THE ASSETS OF THE MUTUAL
INSURER OR RECIPROCAL INSURER;

(II)     THE LIABILITIES OF THE MUTUAL INSURER OR RECIPROCAL
INSURER TO THE EXTENT DETERMINED BY THE COMMISSIONER AT THE TIME OF
THE REPORT;

(III)   AS PROVIDED IN § 3-111 OF THIS ARTICLE, THE AGGREGATE
AMOUNT OF ANY ASSESSMENT THAT THE COMMISSIONER CONSIDERS REASONABLY
NECESSARY TO PAY IN FULL:

1.        ALL CLAIMS;

2.        THE COSTS AND EXPENSES OF THE COLLECTION OF
ASSESSMENTS; AND

3.        THE COSTS AND EXPENSES OF THE DELINQUENCY
PROCEEDING; AND

(IV)    ANY OTHER INFORMATION ABOUT THE AFFAIRS OR THE
PROPERTY OF THE MUTUAL INSURER OR RECIPROCAL INSURER THAT THE
COMMISSIONER CONSIDERS MATERIAL.

(B) ORDER FOR ASSESSMENT.

(1)      ON THE FILING AND READING OF THE REPORT AND PETITION
SPECIFIED IN SUBSECTION (A) OF THIS SECTION, THE COURT EX PARTE MAY ORDER
THE COMMISSIONER TO ASSESS ALL MEMBERS OR SUBSCRIBERS OF THE MUTUAL
INSURER OR RECIPROCAL INSURER WHO MAY BE SUBJECT TO ASSESSMENT, IN AN
AGGREGATE AMOUNT AS THE COURT FINDS REASONABLY NECESSARY TO PAY IN
FULL:

(I)      ALL VALID CLAIMS THAT ARE TIMELY FILED AND PROVED IN
THE DELINQUENCY PROCEEDING;

(II)     THE COSTS AND EXPENSES OF IMPOSING AND COLLECTING
THE ASSESSMENTS; AND

(III)    THE COSTS AND EXPENSES OF THE DELINQUENCY
PROCEEDING.

(2)      THE ORDER SHALL REQUIRE THE COMMISSIONER TO ASSESS EACH
MEMBER OR SUBSCRIBER FOR THE MEMBER'S OR SUBSCRIBER'S PROPORTION OF
THE AGGREGATE ASSESSMENT IN ACCORDANCE WITH A REASONABLE
CLASSIFICATION OF THE MEMBERS OR SUBSCRIBERS AND A FORMULA MADE BY
THE COMMISSIONER AND APPROVED BY THE COURT.

(3)      THE COURT MAY ORDER AN ADDITIONAL ASSESSMENT ON ALL
MEMBERS OR SUBSCRIBERS WHO MAY BE SUBJECT TO ASSESSMENT ON THE FILING

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