PARRIS N. GLENDENING, Governor                               Ch. 11

(2)     ASSESS EACH SELF-INSURANCE GROUP AN ANNUAL AMOUNT OF
NOT MORE THAN $500 TO BE USED FOR THE ACTUARIAL STUDIES AND AUDITS; AND

(3)     REQUIRE AN ANNUAL REPORT THAT MAY INCLUDE PAYROLL
AUDIT REPORTS, SUMMARY LOSS REPORTS, AND QUARTERLY FINANCIAL
STATEMENTS.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 609(f).

Defined terms: "Commissioner" § 1-101
"Self-insurance group" § 25-301

25-308. PENALTIES FOR VIOLATIONS.

(A)     MONETARY PENALTIES.

(1)     AFTER NOTICE AND OPPORTUNITY FOR A HEARING, THE
COMMISSIONER MAY IMPOSE A MONETARY PENALTY ON A PERSON OR
SELF-INSURANCE GROUP THAT THE COMMISSIONER FINDS TO BE IN VIOLATION OF
THIS SUBTITLE OR A REGULATION ADOPTED UNDER THIS SUBTITLE.

(2)     A MONETARY PENALTY IMPOSED UNDER THIS SUBSECTION MAY
NOT EXCEED $1,000 FOR EACH VIOLATION OR $10,000 IN THE AGGREGATE.

(3)     A PERSON OR SELF-INSURANCE GROUP THAT IS ASSESSED A
MONETARY PENALTY UNDER THIS SUBSECTION SHALL PAY THE PENALTY TO THE
COMMISSIONER FOR THE USE OF THE STATE.

(B)     CEASE AND DESIST ORDERS.

(1)     AFTER WRITTEN NOTICE AND OPPORTUNITY FOR A HEARING, THE
COMMISSIONER MAY ISSUE AN ORDER THAT REQUIRES A PERSON OR
SELF-INSURANCE GROUP TO CEASE AND DESIST FROM ENGAGING IN AN ACT OR
PRACTICE THAT THE COMMISSIONER FINDS TO BE IN VIOLATION OF THIS SUBTITLE
OR A REGULATION ADOPTED UNDER THIS SUBTITLE.

(2)     IF THE COMMISSIONER FINDS, AFTER NOTICE AND OPPORTUNITY
FOR A HEARING, THAT A PERSON OR SELF-INSURANCE GROUP HAS VIOLATED AN
ORDER ISSUED UNDER THIS SUBSECTION, THE COMMISSIONER MAY:

(I)      IMPOSE A MONETARY PENALTY OF NOT MORE THAN $10,000
FOR EACH VIOLATION OF THE ORDER OR $100,000 IN THE AGGREGATE; AND

(II)     SUSPEND OR REVOKE THE AUTHORITY OF THE
SELF-INSURANCE GROUP TO OPERATE.

(C)     SUSPENSION OR REVOCATION OF AUTHORITY.

(1) NOTWITHSTANDING ANY OTHER PROVISION OF THIS SUBTITLE,
AFTER NOTICE AND OPPORTUNITY FOR A HEARING, THE COMMISSIONER MAY
SUSPEND OR REVOKE THE AUTHORITY OF A SELF-INSURANCE GROUP TO OPERATE
IF THE COMMISSIONER DETERMINES THAT THE SELF-INSURANCE GROUP:

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