Section 8-106 - Placement or acceptance of business by reinsurance intermediary. - Maryland Statutes

§ 8-106. Placement or acceptance of business by reinsurance intermediary.
 

(a)  "Reinsurance intermediary" defined.- In this section, "reinsurance intermediary" means a person that acts as an insurance producer in: 

(1) soliciting, negotiating, or procuring a reinsurance contract or binder for a ceding insurer; or 

(2) accepting a reinsurance contract or binder for an assuming insurer. 

(b)  Scope of section.- This section does not apply to a reinsurance intermediary that makes a complete written disclosure to the parties of its relationship with the assuming or ceding insurer before completion of the transaction. 

(c)  Placement of business with assuming insurer prohibited.- A reinsurance intermediary that has control of an assuming insurer may not directly or indirectly place insurance business with the assuming insurer in a transaction in which the reinsurance intermediary acts as an insurance producer for the ceding insurer. 

(d)  Acceptance of business from ceding insurer prohibited.- A reinsurance intermediary that has control of a ceding insurer may not directly or indirectly accept business from the ceding insurer in a transaction in which the reinsurance intermediary acts as an insurance producer for the assuming insurer. 
 

[An. Code 1957, art. 48A, §§ 661, 663; 1995, ch. 36; 1996, ch. 60; 2001, ch. 731, § 1.]