S.B. 743

VETOES

Dear Mr. President:

In accordance with Article II, Section 17 of the Maryland Constitution, I have today
vetoed Senate Bill 743.

This bill specifies that educational materials, promotional materials, or articles of
merchandise that cost less than $10 (adjusted for inflation), are excepted from the
prohibition against a person offering, promising, or giving any valuable consideration not
specified in a life or health insurance or annuity contract, regardless of whether a policy

is purchased.

House Bill 1083, which was passed by the General Assembly and signed by me on May 8,
1997, accomplishes the same purpose. Therefore, it is not necessary for me to sign Senate
Bill 743.

Sincerely,

Parris N. Glendening

Governor

Senate Bill No. 743

AN ACT concerning

Life and Health Insurance and Annuities - Rebates

FOR the purpose of prohibiting persons from offering, promising, or giving any valuable
consideration not specified in a contract of life or health insurance or an annuity
contract, with certain exceptions, regardless of whether a policy is purchased; and
generally relating to rebates on contracts of life and health insurance and annuity

contracts.

BY repealing and reenacting, with amendments,
Article - Insurance
Section 27-209
Annotated Code of Maryland
(1995 Volume and 1996 Supplement)
(As enacted by Chapter ___ (H.B. 11) of the Acts of the General Assembly of 1997)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Insurance

27-209.

Except as otherwise expressly provided by law, a person may not knowingly:

(1) allow, make, or offer to make a contract of life insurance or health
insurance or an annuity contract or an agreement as to the contract other than as plainly
expressed in the contract;

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