Ch. 35

1997 LAWS OF MARYLAND

(2) IF THE COMMISSIONER FINDS A VIOLATION OF THIS SUBTITLE TO BE
WILLFUL, THE COMMISSIONER MAY IMPOSE A CIVIL PENALTY NOT EXCEEDING
$1,000 FOR THE VIOLATION.

(3) A PENALTY IMPOSED UNDER THIS SUBSECTION IS IN ADDITION TO
ANY OTHER PENALTY PROVIDED BY LAW.

(B) SUSPENSION OF LICENSE OR CERTIFICATE OF AUTHORITY.

(1) THE COMMISSIONER MAY SUSPEND THE LICENSE OF A RATING
ORGANIZATION OR CERTIFICATE OF AUTHORITY OF AN INSURER THAT FAILS TO
COMPLY WITH AN ORDER OF THE COMMISSIONER WITHIN THE TIME SET BY THE
ORDER OR ANY EXTENSION OF THAT TIME GRANTED BY THE COMMISSIONER.

(2) THE COMMISSIONER MAY NOT SUSPEND THE LICENSE OF A RATING
ORGANIZATION OR CERTIFICATE OF AUTHORITY OF AN INSURER FOR FAILURE TO
COMPLY WITH AN ORDER:

(I) UNTIL THE TIME SET FOR AN APPEAL FROM THE ORDER HAS

EXPIRED; OR

(II) IF AN APPEAL HAS BEEN TAKEN, UNTIL THE ORDER HAS BEEN

AFFIRMED.

(3) THE COMMISSIONER MAY DETERMINE WHEN THE SUSPENSION OF A
LICENSE OR CERTIFICATE OF AUTHORITY BECOMES EFFECTIVE.

(4) THE SUSPENSION SHALL REMAIN IN EFFECT FOR THE PERIOD SET
BY THE COMMISSIONER UNLESS THE COMMISSIONER MODIFIES OR RESCINDS THE
SUSPENSION OR UNTIL THE ORDER ON WHICH THE SUSPENSION IS BASED IS
MODIFIED, RESCINDED, OR REVERSED.

(C) HEARING AND WRITTEN ORDER REQUIRED.

(1) BEFORE THE COMMISSIONER IMPOSES A PENALTY OR SUSPENDS OR
REVOKES A LICENSE OR CERTIFICATE OF AUTHORITY UNDER THIS SUBTITLE, THE
COMMISSIONER SHALL ISSUE A WRITTEN ORDER THAT STATES THE FINDINGS OF
THE COMMISSIONER.

(2) THE COMMISSIONER SHALL HOLD A HEARING BEFORE ISSUING AN
ORDER UNDER PARAGRAPH (1) OF THIS SUBSECTION.

(3) THE COMMISSIONER SHALL GIVE WRITTEN NOTICE OF THE
HEARING AT LEAST 10 DAYS BEFORE THE HEARING.

(4) THE NOTICE SHALL SPECIFY THE ALLEGED VIOLATION.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 242(q).

In subsections (b)(1), (2), and (3) and (c)(1) of this section, the references to
a "certificate of authority" are added to clarify that insurers receive
certificates of authority, not licenses, under this article.

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