Ch. 11

1996 LAWS OF MARYLAND

(B) NOTICE REQUIRED.

EACH POLICY OF LIFE INSURANCE OR ANNUITY CONTRACT SUBJECT TO THIS
TITLE SHALL HAVE ATTACHED TO OR PROMINENTLY PRINTED ON ITS FACE THE
INFORMATION:

(1)     A NOTICE TO THE POLICYHOLDER THAT:

(I). FOR 10 DAYS AFTER THE DATE THE POLICY OR ANNUITY
CONTRACT IS DELIVERED TO THE POLICYHOLDER, THE POLICYHOLDER MAY
SURRENDER THE POLICY OR ANNUITY CONTRACT TO THE INSURER FOR
CANCELLATION BY GIVING THE INSURER WRITTEN NOTICE OF CANCELLATION;
AND

(II) THE INSURER SHALL RETURN TO THE POLICYHOLDER A PRO
RATA PREMIUM FOR THE UNEXPIRED TERM OF THE POLICY OR ANNUITY
CONTRACT; OR

(2)     A SIMILAR NOTICE TO THE POLICYHOLDER THAT IN THE OPINION
OF THE COMMISSIONER IS NOT LESS FAVORABLE TO THE POLICYHOLDER.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 387C.

In the introductory language of subsection (b) of this section, the term "title"
is substituted for the former term "subtitle" to reflect that former Art. 48A,
Subtitle 23 and a few provisions of similar scope are reorganized as this title.

Defined terms: "Annuity" § 1-101
"Annuity contract" § 1-101
"Commissioner" § 1-101
"Insurer" § 1-101
"Life insurance " § 1-101
"Policy" § 1-101                  

"Premium" § 1-101

16-106. EXCHANGE, ALTERATION, OR CONVERSION OF POLICIES AND CONTRACTS.

(A) IN GENERAL.

ON REQUEST OF A POLICYHOLDER, A LIFE INSURER MAY EXCHANGE, ALTER,
OR CONVERT A POLICY OF LIFE INSURANCE OR ENDOWMENT INSURANCE OR AN
ANNUITY CONTRACT ISSUED BY THE LIFE INSURER OR ANY OTHER BENEFITS
ADDITIONAL TO THE POLICY OR ANNUITY CONTRACT, FOR OR INTO A POLICY
THAT:

(1)     CONFORMS WITH THE LAWS IN FORCE ON THE DATE OF THE
ORIGINAL POLICY OR ANNUITY CONTRACT, IF THE REWRITTEN POLICY IS, BY ITS
TERMS, MADE EFFECTIVE AS OF THAT DATE; OR

(2)      CONFORMS WITH THE LAWS IN FORCE ON A SUBSEQUENT DATE AS
OF WHICH THE REWRITTEN POLICY IS, BY ITS TERMS, MADE EFFECTIVE.

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