Ch. 11

1996 LAWS OF MARYLAND

INSURANCE MAY BE PLACED IN FORCE ONLY IF AT LEAST 75% OF THE ELIGIBLE
MEMBERS, OTHER THAN THOSE WHO HAVE EVIDENCE OF INDIVIDUAL
INSURABILITY THAT IS UNSATISFACTORY TO THE INSURER, ELECT TO MAKE THE
REQUIRED CONTRIBUTIONS.

(4) A POLICY ON WHICH NO PART OF THE PREMIUM IS PAID FROM
FUNDS CONTRIBUTED BY THE INSURED MEMBERS SPECIFICALLY FOR THEIR
INSURANCE MUST INSURE:

(I)      ALL ELIGIBLE MEMBERS; OR

(II)    ALL ELIGIBLE MEMBERS OTHER THAN THOSE WHO HAVE
EVIDENCE OF INDIVIDUAL INSURABILITY THAT IS UNSATISFACTORY TO THE
INSURER.

(D) MINIMUM NUMBER OF MEMBERS COVERED.

THE POLICY MUST COVER AT LEAST 15 REGISTERED MEMBERS PER
VOLUNTEER FIRE, RESCUE SQUAD, OR AMBULANCE SERVICE ORGANIZATION AT
DATE OF ISSUE.

(E) PLAN TO PRECLUDE INDIVIDUAL CHOICE.

THE AMOUNTS OF INSURANCE UNDER THE POLICY MUST BE BASED ON A PLAN
THAT PRECLUDES INDIVIDUAL CHOICE BY THE MEMBERS OR BY THE VOLUNTEER
FIRE, RESCUE SQUAD, OR AMBULANCE SERVICE ORGANIZATION.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 425.

In subsection (a)(1) of this section, the reference to the "organization" is
substituted for the former reference to the "policyholder" in light of
subsection (a)(2) of this section. Similarly, in the introductory language of
subsection (c)(1) and in subsection (e) of this section, the reference to the
"volunteer fire, rescue squad, or ambulance service organization" are
substituted for the former reference to the "policyholder".

In subsection (c)(2), (3), and the introductory language of (4) of this section,
the word "paid" is substituted for the former word "derived" for consistency
throughout this section and this subtitle.

In subsection (c)(3) and (4) of this section, the references to eligible
"members" are substituted for the former references to eligible "persons" for
specificity and clarity.

In subsection (c)(3) of this section, the former reference to "then" eligible
persons is deleted as surplusage.

Defined terms: "Insurance" § 1-101
"Insurer" § 1-101
"Person" § 1-101
"Policy" § 1-101
"Premium" § 1-101

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