# Insurance (GIN)

## Title 25. Alternative Market Mechanisms

### Subtitle 3. Group Self-Insurance for Workers' Compensation

#### Section 25-303

(a) In this section, "service company" means a person that provides services that are not provided by the administrator, including:

  (1) claims adjustment;

  (2) safety engineering;

  (3) compilation of statistics and the preparation of premium, loss, and tax reports;

  (4) preparation of other required self-insurance reports;

  (5) development of members' assessments and fees; and

  (6) administration of a claim fund.

(b) The Commissioner shall adopt regulations to carry out this subtitle.

(c) The regulations shall include:

  (1) classifications of businesses and industries, based on the type of activity conducted by the business or industry, within which employers may join together in self-insurance groups;

  (2) for each classification:

    (i) a minimum level of contribution of at least $250,000 in premiums collected from or pledged by members of a self-insurance group to a fund from which workers' compensation claims will be paid;

    (ii) a minimum level of excess insurance coverage that must be obtained by each self-insurance group;

    (iii) a requirement that the minimum levels of excess insurance adopted under this subtitle may be satisfied by placing, in a depository that the Commissioner designates, securities in a form and amount that the Commissioner requires; and

    (iv) a surety bond of at least $100,000 that must be obtained by each self-insurance group;

  (3) conditions under which contributions by members of a self-insurance group may be rebated or temporarily suspended;

  (4) for each administrator or service company, a bond that the Commissioner may require in addition to any other required bond; and

  (5) a requirement that the governance of the group be under the control of its members.

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Md. Code Ann., Ins. (as displayed at mgaleg.maryland.gov, October 16, 2026)