Ch. 361

1997 LAWS OF MARYLAND

17-104.

(a) The Administration may not issue or transfer the registration of a motor
vehicle unless the owner or prospective owner of the vehicle furnishes evidence
satisfactory to the Administration that the required security is in effect.

(b) The owner of a motor vehicle that is required to be registered in this State
shall maintain the required security for the vehicle during the registration period.

(c) (1) [In this subsection, "replacement vehicle" means a vehicle that is loaned
by an auto repair facility or a dealer, or that an individual rents temporarily, to use while
a vehicle owned by the individual is not in use because of loss, as "loss" is defined in that
individual's applicable private passenger automobile insurance policy or because of
breakdown, repair, service, or damage.

(2) Subject to paragraph (3) of this subsection, an owner of a replacement
vehicle may satisfy the requirement of subsection (a) of this section by maintaining on
insurance policy that is excess to any other insurance policy and that extends coverage to
the owner's vehicle while it is used as a replacement vehicle.

(3) If an owner of a replacement vehicle provides coverage as provided
under paragraph (2) of this subsection, the agreement for the replacement vehicle to be
signed by the renter or the individual to whom the vehicle is loaned shall contain a
provision on the face of the agreement, in 12-point bold type, that informs the individual
that the coverage on the vehicle being serviced or repaired is primary coverage for the
replacement vehicle and the coverage maintained by the owner on the replacement
vehicle is excess only.] IN THIS SUBSECTION, "RENTAL VEHICLE" INCLUDES A
VEHICLE THAT IS LOANED TO A PERSON BY AN AUTO REPAIR FACILITY OR A
DEALER.

(2) THE OWNER OF A RENTAL VEHICLE MAY SATISFY THE
REQUIREMENT OF SUBSECTION (B) OF THIS SECTION BY COMPLYING WITH THE
PROVISIONS OF § 18-102 OF THIS ARTICLE.

18-102.

(a) (1) The Administration may not register any motor vehicle, trailer, or
semitrailer to be rented until the owner of the vehicle certifies to the satisfaction of the
Administration that the owner has security for the vehicle in the same form and providing
for the same minimum benefits as the security required by Title 17 of this article for
motor vehicles.

(2) (i) [In this paragraph, "replacement vehicle means a vehicle that is
loaned by an auto repair facility or a dealer, or that an individual rents temporarily, to use
while a vehicle owned by the individual is not in use because of loss, as "loss" is defined
in that individual's applicable private passenger automobile insurance policy, or because
of breakdown, repair, service, or damage.] IN THIS PARAGRAPH, "RENTAL VEHICLE"
INCLUDES A VEHICLE THAT IS LOANED TO AN INDIVIDUAL BY AN AUTO REPAIR
FACILITY OR A DEALER.

(ii) Subject to subparagraph (iii) of this paragraph, an owner of a
[replacement]—RENTAL vehicle may satisfy the requirement of paragraph (1) of this

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