S.B. 600                                                  VETOES

Annotated Code of Maryland

(1997 Volume and 2002 Supplement)

BY repealing and reenacting, without amendments,
Article - Insurance
Section 5-511(a)(l)
Annotated Code of Maryland
(1997 Volume and 2002 Supplement)

BY adding to

Article - Insurance

Section 5-511(a)(15), (16), and (19), (d)(3), and (o)(6)

Annotated Code of Maryland

(1997 Volume and 2002 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That Section(s) 5-511(a)(17), (18), (19), and (20), respectively, of Article
- Insurance of the Annotated Code of Maryland be renumbered to be Section(s)
5-511(a)(20), (21), (22), and (23), respectively.

SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland
read as follows:

Article - Insurance

5-505.

(a)      [This section does not apply to policy loans or annuity contract loans.

(b)     A life insurer may not make an investment or loan unless the investment
or loan is authorized by:

(1)     the board of directors of the life insurer; or

(2)     a committee authorized by the board of directors of the life insurer to
supervise or make investments and loans.

(c)      The committee described in subsection (b)(2) of this section shall:

(1)     record its minutes; and

(2)     submit regular reports of the committee to the board of directors.]

(1)     IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS
INDICATED.

(2)      "BOARD" MEANS THE BOARD OF DIRECTORS OF A LIFE INSURER

(3)      "COMMITTEE" MEANS A COMMITTEE AUTHORIZED BY THE BOARD OF
DIRECTORS OF A LIFE INSURER

(B) (1) THE BOARD SHALL ADOPT A WRITTEN PLAN FOR:

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