Ch. 35

1997 LAWS OF MARYLAND

(I) ON REQUEST OF THE INSURER, SHALL SPECIFY INTERIM
RATES FOR THE INSURER THAT ARE HIGH ENOUGH TO PROTECT THE INTERESTS OF
ALL PARTIES; AND

(II) MAY ORDER THAT A SPECIFIED PART OF THE PREMIUMS BE
PLACED IN A SPECIAL RESERVE ESTABLISHED BY THE INSURER.

(2) (I) EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS
PARAGRAPH, WHEN NEW RATES BECOME LEGALLY EFFECTIVE, THE COMMISSIONER
SHALL ORDER THE SPECIALLY RESERVED FUNDS OR ANY OVERCHARGE IN THE
INTERIM RATES TO BE DISTRIBUTED APPROPRIATELY.

(II) THE COMMISSIONER MAY NOT REQUIRE REFUNDS TO
POLICYHOLDERS IF THE REFUNDS ARE MINIMAL.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 244-I.

In subsection (b)(1)(i) of this section, the reference to a "rate" that is in
violation is substituted for the former reference to an "insurer" in violation
because rates violate § 11-306 of this subtitle, not insurers.

Defined terms: "Commissioner" § 1-101
"Insurer" § 1-101
"Market" § 11-301
"Policy" § 1-101
"Premium" § 1-101
"Rate" § 11-101
"Working day" § 11-101

11-309. WAITING PERIOD FOR RATES OF PARTICULAR INSURER.

(A) IN GENERAL.

IF, AFTER A HEARING, THE COMMISSIONER FINDS THAT THE PROTECTION OF
THE INTERESTS OF THE INSUREDS OF A PARTICULAR INSURER AND THE PUBLIC IN
THE STATE REQUIRES CLOSER SUPERVISION OF THE INSURER'S RATES BECAUSE OF
THE INSURER'S FINANCIAL CONDITION OR REPETITIVE FILING OF RATES THAT ARE
NOT IN COMPLIANCE WITH § 11-306 OF THIS SUBTITLE, THE COMMISSIONER MAY
ISSUE AN ORDER THAT REQUIRES THE INSURER TO FILE ANY OR ALL OF THE
INSURER'S RATES AND SUPPLEMENTARY RATE INFORMATION 30 DAYS BEFORE
THEY BECOME EFFECTIVE.

(B) EXTENSION.

BY WRITTEN NOTICE TO THE INSURER DURING THE INITIAL 30-DAY WAITING
PERIOD, THE COMMISSIONER MAY EXTEND THE WAITING PERIOD FOR AN
ADDITIONAL PERIOD NOT EXCEEDING 30 DAYS.

(C) APPROVAL OR DISAPPROVAL OF FILING.

(1) THE COMMISSIONER SHALL APPROVE OR DISAPPROVE THE FILING
DURING THE WAITING PERIOD OR ANY EXTENSION OF THE WAITING PERIOD.

- 836 -