Ch. 193

2003 LAWS OF MARYLAND

CHAPTER 193
(House Bill 1037)

AN ACT concerning

Life Insurers - Board of Directors - Investments Practices

FOR the purpose of repealing a certain provision of law related to investment and
loan practices of certain life insurers; requiring the board of directors of a life
insurer to adopt a certain plan for acquiring and holding investments and
engaging in investment practices; requiring the plan to specify certain
guidelines related to certain investment and financial needs of a life insurer;
requiring the board to take certain action before adopting the plan; requiring
the board to supervise and direct certain investments; requiring the board to
determine certain information about certain investments and to make a certain
resolution; requiring the board to determine whether certain investment
activity is consistent with the plan by reviewing certain documentation and
revising the plan as needed; requiring the board in the discharge of its duties to
require that certain information be made available to the board; requiring each
director of the board or a committee authorized by the board to act in a certain
manner; providing that, for purposes of this Act, the governing body of a life
insurer that does not have a board of directors shall be deemed to be a board of
directors; repealing a certain provision of law related to reserve requirements;
providing that a life insurer may not acquire certain investments if the
investments would exceed certain admitted assets of a life insurer under certain
circumstances; requiring that any replicated asset be subject to certain
provisions and limitations; defining certain terms; and generally relating to
investment practices by life insurers and the boards of directors of life insurers.

BY renumbering

Article — Insurance

Section 5-511(a)(17), (18), (19), and (20), respectively

to be Section 5-511(a)(20), (21), (22), and (23), respectively

Annotated Code of Maryland

(1997 Volume and 2002 Supplement)

BY repealing and reenacting, with amendments,
Article - Insurance

Section 5-505 and 5-511(a)(15) and (16), (d)(1)(vi), and (o)(1)
Annotated Code of Maryland
(1997 Volume and 2002 Supplement)

BY repealing and reenacting, without amendments,
Article - Insurance
Section 5-511(a)(1)
Annotated Code of Maryland

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