Section 3-326 - Delivery of false binder or cover note prohibited. - Maryland Statutes

§ 3-326. Delivery of false binder or cover note prohibited.
 

(a)  In general.- A surplus lines broker may not: 

(1) knowingly or negligently deliver a false binder or cover note; or 

(2) fail to notify the insured promptly of any material change with respect to surplus lines insurance by delivery to the insured of a substitute binder or cover note as provided in § 3-321 of this subtitle. 

(b)  Violation of article.- A violation of subsection (a) of this section is a violation of this article. 

(c)  Penalty.- A person that violates subsection (a) of this section is guilty of a misdemeanor and on conviction is subject to the penalty provided by § 1-301 of this article or to any greater applicable penalty provided by law. 
 

[An. Code 1957, art. 48A, § 191; 1995, ch. 36; 1997, ch. 70, § 1.]