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§ 20-512. Commission payments to fund producers

West's Annotated Code of MarylandInsuranceEffective: July 1, 2012

West's Annotated Code of Maryland
Insurance (Refs & Annos)
Title 20. Maryland Automobile Insurance Fund (Refs & Annos)
Subtitle 5. Policies for Covered Vehicles (Refs & Annos)
Effective: July 1, 2012
MD Code, Insurance, § 20-512
§ 20-512. Commission payments to fund producers
Commission rate
(a) Except as provided in subsection (b) of this section, the Fund shall pay to a fund producer of a policyholder to whom a policy is issued a commission:
(1) for private passenger auto insurance issued by the Fund, at a rate determined by the Fund but not less than 10% and not to exceed 15% of the total premium; and
(2) for any other insurance issued by the Fund, at a rate determined by the Fund but not to exceed 10% of the total premium.
Commission not paid
(b) The Fund may not pay a commission:
(1) on a fully earned basis;
(2) if a prospective insured fails to qualify under § 20-502 of this subtitle; or
(3) if a prospective insured's initial payment to the Fund, a fund producer, or premium finance company is not honored.
Cancellation of policy
(c) If a policy issued by the Fund is canceled, the Fund shall refund any unearned commissions.

Credits

Added by Acts 1996, c. 11, § 1, eff. Oct. 1, 1997. Amended by Acts 2001, c. 731, § 1, eff. July 2, 2001; Acts 2012, c. 336, § 1, eff. July 1, 2012.
Formerly Art. 48A, § 243B.
MD Code, Insurance, § 20-512, MD INSURANCE § 20-512
Current with all legislation from the 2023 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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