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§ 4-117. Notice of settlement payments to third party claimants

West's Annotated Code of MarylandInsuranceEffective: October 1, 2007

West's Annotated Code of Maryland
Insurance (Refs & Annos)
Title 4. General Requirements for Insurers
Subtitle 1. Certificates of Authority (Refs & Annos)
Effective: October 1, 2007
MD Code, Insurance, § 4-117
§ 4-117. Notice of settlement payments to third party claimants
In general
(a) At the time of payment, if the payment has been specifically authorized by the claimant's attorney, an insurer shall provide written notice to a third party claimant of payment of $2,000 or more in settlement of a third party liability claim for bodily injury if:
(1) the claimant is an individual; and
(2) the payment is delivered to the claimant's attorney by check, draft, or other means.
Notice sent by regular mail
(b) The notice required by subsection (a) of this section shall be sent by regular mail no more than 5 working days after payment is delivered under subsection (a)(2) of this section to the claimant at the last known address of the claimant.
Notice to claimants
(c) The insurer may provide notice to the claimant by a copy of the letter of transmittal to the claimant's attorney.
Construction of section
(d) This section may not be construed to create:
(1) a cause of action for any person against an insurer based on the insurer's failure to provide the notice required by this section; or
(2) a defense for any party against a cause of action based on the insurer's failure to provide the notice required by this section.

Credits

Added by Acts 1995, c. 222, § 2, eff. Oct. 1, 1997. Amended by Acts 2007, c. 131, § 1, eff. Oct. 1, 2007.
Formerly Art. 48A, § 61B.
MD Code, Insurance, § 4-117, MD INSURANCE § 4-117
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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