PARRIS N. GLENDENING, Governor

Ch. 11

PROPORTION OF ESSENTIAL PROPERTY INSURANCE POLICIES OR HOMEOWNER'S
INSURANCE POLICIES ISSUED BY OR FOR THE ASSOCIATION.

(2) AFTER CONSULTATION WITH THE GOVERNING COMMITTEE, THE
COMMISSIONER SHALL DETERMINE WHETHER AN AREA HAS A SIGNIFICANT
PROPORTION OF ASSOCIATION POLICIES.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 478C(5) through (11).

In subsection (b) of this section, the former word "coverage" is deleted as
unnecessary in light of the word "insurance".

In subsection (c)(1) of this section, the former phrase "on its own initiative" is
deleted as unnecessary because there is no implied restriction on the
Association's action.

In subsection (c)(2) of this section, the former reference to amendments
"approved by" Association members is deleted as unnecessary in light of
subsection (c)(4) of this section.

In subsection (d)(10) of this section, the former phrase "to the contrary" is
deleted as implicit.

Also in subsection (d)(10) of this section, the former phrase "to be utilized by
the Association" is deleted as implicit.

In subsection (e) of this section, the restriction against "appointing]" agents is
substituted for the former restriction against "hav[ing]" agents for clarity and
consistency.

In subsection (f)(1) of this section, the former definition of "any one location"
is integrated into the description of property to which the maximum limit of
liability applies for clarity and to conform to the long-standing practice of the
Association.

In subsection (i)(l) of this section, the word "habitational", which formerly
modified "dwellings", is deleted as redundant.

Defined terms: "Agent" § 1-101
"Association" § 25-401
"Association member" § 25-401
"Commissioner" § 1-101
"Essential property insurance" § 25-401
"Homeowner's insurance" § 25-401
"Insurance" § 1-101
"Policy" § 1-101
"Premium" § 1-101
"Reinsurance" § 1-101

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