§ 4-104. Capital stock requirements
West's Annotated Code of MarylandInsurance
MD Code, Insurance, § 4-104
§ 4-104. Capital stock requirements
Schedule for insurers engaging in one kind of insurance business in State on or before June 30, 1965
(a) Except as otherwise provided in this article, to qualify for a certificate of authority to engage in one kind of insurance business, an insurer that started business in the State on or before June 30, 1965, must have and maintain paid-in capital stock with a fixed nominal or par value in an amount not less than that applicable under the following schedule:
Kind of | Minimum Capital |
|---|
Insurance Business | Stock Required |
|---|
(1) life insurance, including annuities and health insurance | $200,000 |
(2) health insurance | $100,000 |
(3) property insurance and marine insurance other than wet marine and transportation insurance | $250,000 |
(4) title insurance | $250,000 |
(5) wet marine and transportation insurance | $250,000 |
(6) casualty insurance, not including vehicle liability insurance or workers' compensation insurance | $250,000 |
(7) vehicle liability insurance | $250,000 |
(8) workers' compensation insurance | $250,000 |
(9) surety insurance | $250,000 |
Schedule for insurers engaging in two or more kinds of insurance business in State on or before June 30, 1965
(b) To qualify for a certificate of authority to engage in two or more kinds of insurance business, an insurer that started business in the State on or before June 30, 1965, must have paid-in capital stock with a fixed nominal or par value in an amount not less than the lesser of:
Schedule for insurers engaging in one kind of insurance business in State from July 1, 1965, to June 30, 1991
(c) Except as otherwise provided in this article, to qualify for a certificate of authority to engage in one kind of insurance business, an insurer that started business in the State during the period from July 1, 1965, to June 30, 1991, both inclusive, must have and maintain paid-in capital stock with a fixed nominal or par value in an amount not less than that applicable under the following schedule:
Kind of | Minimum Capital |
|---|
Insurance Business | Stock Required |
|---|
(1) life insurance, including annuities and health insurance | $500,000 |
(2) health insurance | $250,000 |
(3) property insurance and marine insurance other than wet marine and transportation insurance | $250,000 |
(4) title insurance | $250,000 |
(5) wet marine and transportation insurance | $250,000 |
(6) casualty insurance, not including vehicle liability insurance or workers' compensation insurance | $250,000 |
(7) vehicle liability insurance | $250,000 |
(8) workers' compensation insurance | $250,000 |
(9) surety insurance | $250,000 |
Schedule for insurers engaging in two or more kinds of insurance business in State from July 1, 1965, to June 30, 1991
(d) To qualify for a certificate of authority to engage in two or more kinds of insurance business, an insurer that started business in the State during the period from July 1, 1965, to June 30, 1991, both inclusive, must have paid-in capital stock with a fixed nominal or par value in an amount not less than $500,000.
(e) Except as otherwise provided in this article, to qualify for a certificate of authority to engage in one kind of insurance business, an insurer that started business in the State on or after July 1, 1991, must have and maintain paid-in capital stock with a fixed nominal or par value in an amount not less than that applicable under the following schedule:
Kind of | Minimum Capital |
|---|
Insurance Business | Stock Required |
|---|
(1) life insurance, including annuities | $1,500,000 |
(2) health insurance | $ 750,000 |
(3) property insurance and marine insurance other than wet marine and transportation insurance | $ 750,000 |
(4) title insurance | $ 750,000 |
(5) wet marine and transportation insurance | $ 750,000 |
(6) casualty insurance, not including vehicle liability insurance or workers' compensation insurance | $ 750,000 |
(7) vehicle liability insurance | $ 750,000 |
(8) workers' compensation insurance | $ 750,000 |
(9) surety insurance | $ 750,000 |
Schedule for insurers engaging in two or more kinds of insurance business in State on or after July 1, 1991
(f) To qualify for a certificate of authority to engage in two or more kinds of insurance business, an insurer that started business in the State on or after July 1, 1991, must have paid-in capital stock with a fixed nominal or par value in an amount not less than $1,500,000.
Deadline for insurers engaging in insurance business on or before June 30, 1991 to meet requirements
(g) On or after July 1, 2001, an insurer that qualified for a certificate of authority to engage in any kind of insurance business on or before June 30, 1991, must have and maintain paid-in capital stock with a fixed nominal or par value in an amount not less than 150% of that required of an insurer authorized to start insurance business in the State on June 30, 1991.
Credits
Added by Acts 1995, c. 36, § 1, eff. Oct. 1, 1997.
Formerly Art. 48A, § 48.
MD Code, Insurance, § 4-104, MD INSURANCE § 4-104
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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