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§ 23-306. Delinquency and collection charges

West's Annotated Code of MarylandInsurance

West's Annotated Code of Maryland
Insurance (Refs & Annos)
Title 23. Premium Financing
Subtitle 3. Premium Finance Agreements; Charges and Fees (Refs & Annos)
MD Code, Insurance, § 23-306
§ 23-306. Delinquency and collection charges
In general
(a) A premium finance agreement may require the insured to pay a delinquency and collection charge on each installment that is in default for a period of not less than 5 days.
Amount of delinquency and collection charge
(b) A delinquency and collection charge shall be at least $1, up to a maximum of 5% of the installment in default, but may not exceed:
(1) $8, with respect to private passenger automobile or personal fire or liability insurance; and
(2) $100, with respect to commercial automobile, fire, or liability insurance.
One delinquency and collection charge per installment
(c) Only one delinquency and collection charge may be collected on an installment, regardless of the period during which the installment remains in default.

Credits

Added by Acts 1996, c. 11, § 1, eff. Oct. 1, 1997. Amended by Acts 1997, c. 708, § 1, eff. Oct. 1, 1997; Acts 2002, c. 356, § 1, eff. Oct. 1, 2002.
Formerly Art. 48A, § 486F.
MD Code, Insurance, § 23-306, MD INSURANCE § 23-306
Current through all legislation from the 2022 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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