<section article="gtr" article_name="Transportation" number="17-101" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <text>In this subtitle the following words have the meanings indicated.</text> </level> <level label="b"> <text>“Fleet policy” means an insurance policy issued for a fleet of vehicles that provides coverage that is not based on a schedule of individual vehicles at the time the policy is issued.</text> </level> <level label="c"> <text>“Lapse” and “termination” mean a lapse or termination of required security, as defined in regulations adopted by the Administration.</text> </level> <level label="d"> <text>“Required security” means security in the form and providing for the minimum benefits required:</text> <level label="1"> <text>For a vehicle registered in the State, under this subtitle or any other provisions of the Maryland Vehicle Law; or</text> </level> <level label="2"> <text>For a vehicle registered in another jurisdiction, under the laws of that jurisdiction.</text> </level> </level> </section> <section article="gtr" article_name="Transportation" number="17-102" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <text>This subtitle does not apply to the following vehicles and their drivers:</text> <level label="1"> <text>Except for a vehicle registered under § 13-935(d) of this article, farm equipment or special mobile equipment incidentally operated on a highway or on other property open to the public; or</text> </level> <level label="2"> <text>A vehicle operated on a highway only to cross the highway from one property to another.</text> </level> </section> <section article="gtr" article_name="Transportation" number="17-103" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <level label="1"> <text>Except as provided in paragraph (2) or (3) of this subsection, the form of security required under this subtitle is a vehicle liability insurance policy written by an insurer authorized to write these policies in this State.</text> </level> <level label="2"> <text>The Administration may accept another form of security in place of a vehicle liability insurance policy if it finds that the other form of security adequately provides the benefits required by subsection (b) of this section.</text> </level> <level label="3"> <level label="i"> <level label="1"> <text>In this paragraph the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Affiliate” means any company that controls, is controlled by, or is under common control with another company.</text> </level> <level label="3"> <text>“Provide taxicab services”, “transportation network company”, and “transportation network operator” have the meanings stated in § 10–101 of the Public Utilities Article.</text> </level> </level> <level label="ii"> <text>The Administration may accept another form of security from a transportation network company in place of an insurance policy required by § 10–405 of the Public Utilities Article if:</text> <level label="1"> <text>The other form of security adequately provides the benefits required by § 10–405 of the Public Utilities Article; and</text> </level> <level label="2"> <text>The transportation network company is an affiliate of a company that provides taxicab services and has no fewer than 26 nor more than 300 transportation network operators.</text> </level> </level> </level> <level label="4"> <text>The Administration shall, by regulation, assess each self–insurer an annual sum which may not exceed $750, and which shall be used for actuarial studies and audits to determine financial solvency.</text> </level> </level> <level label="b"> <text>The security required under this subtitle shall provide for at least:</text> <level label="1"> <text>The payment of claims for bodily injury or death arising from an accident of up to $30,000 for any one person and up to $60,000 for any two or more persons, in addition to interest and costs;</text> </level> <level label="2"> <text>The payment of claims for property of others damaged or destroyed in an accident of up to $15,000, in addition to interest and costs;</text> </level> <level label="3"> <text>Unless waived under § 19–506 of the Insurance Article or rejected under § 19–506.1 of the Insurance Article, the benefits described under § 19–505 of the Insurance Article as to basic required primary coverage;</text> </level> <level label="4"> <text>The benefits required under § 19–509 or § 19–509.1 of the Insurance Article as to required additional coverage; and</text> </level> <level label="5"> <text>For vehicles subject to the provisions of § 25–111.1 of this article, the security requirements adopted under 49 C.F.R., Part 387.</text> </level> </level> </section> <section article="gtr" article_name="Transportation" number="17-104" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <text>The Administration may not issue or transfer the registration of a motor vehicle unless the owner or prospective owner of the vehicle furnishes evidence satisfactory to the Administration that the required security is in effect.</text> </level> <level label="b"> <text>The owner of a motor vehicle that is required to be registered in this State shall maintain the required security for the vehicle during the registration period.</text> </level> <level label="c"> <text>Each insurer or other provider of required security shall:</text> <level label="1"> <text>Participate in the Administration’s online verification program for vehicle insurance policies for law enforcement and administrative purposes;</text> </level> <level label="2"> <text>For each fleet policy, electronically notify the Administration every 30 days of any additions, deletions, or modifications to the fleet policy, including those policy numbers affected; and</text> </level> <level label="3"> <text>Electronically provide the Administration with all active insurance policies:</text> <level label="i"> <text>In a format required by the Administration; and</text> </level> <level label="ii"> <text>At an interval determined by the Administration.</text> </level> </level> </level> <level label="d"> <text>The Administration, in consultation with the Maryland Insurance Administration and representatives of the automobile insurance industry, shall adopt regulations that establish procedures to be used by an insurer to provide timely notification to an insured of the penalties that may be imposed in accordance with § 17–106 of this subtitle if the insured fails to renew or replace a policy of motor vehicle liability insurance without surrendering the evidences of registration.</text> </level> <level label="e"> <level label="1"> <text>In this subsection, “replacement vehicle” means a vehicle that is loaned by an auto repair facility or a dealer, or that an individual rents temporarily, to use while a vehicle owned by the individual is not in use because of loss, as “loss” is defined in that individual’s applicable private passenger automobile insurance policy or because of breakdown, repair, service, or damage.</text> </level> <level label="2"> <text>This subsection does not apply to a rental vehicle that is not a replacement vehicle if the coverage maintained by the renter or driver is provided by the Maryland Automobile Insurance Fund.</text> </level> <level label="3"> <text>Subject to paragraph (5) of this subsection, subsection (f) of this section, and § 18–106 of this article, an owner of a rental vehicle or replacement vehicle may satisfy the requirement of subsection (a) of this section by maintaining the required security described in § 17–103 of this subtitle that is secondary to any other valid and collectible coverage and that extends coverage in amounts required under § 17–103(b) of this subtitle to the owner’s vehicle while it is used as a rental vehicle or replacement vehicle.</text> </level> <level label="4"> <text>If an owner of a replacement vehicle provides coverage as provided under paragraph (3) of this subsection, the agreement for the replacement vehicle to be signed by the renter or the individual to whom the vehicle is loaned shall contain a provision on the face of the agreement, in at least 10 point bold type, that informs the individual that the coverage on the vehicle being serviced or repaired is primary coverage for the replacement vehicle and the coverage maintained by the owner on the replacement vehicle is secondary.</text> </level> <level label="5"> <text>If coverage maintained by the renter or individual to whom the vehicle is loaned has lapsed or does not provide the required coverage:</text> <level label="i"> <text>Security maintained by the owner of the rental vehicle or replacement vehicle shall:</text> <level label="1"> <text>Be primary; and</text> </level> <level label="2"> <text>Provide the coverage required beginning with the first dollar of a claim; and</text> </level> </level> <level label="ii"> <text>The owner of the rental vehicle or replacement vehicle shall have the duty to defend the claim.</text> </level> </level> </level> <level label="f"> <text>If an owner of a rental vehicle provides coverage in accordance with subsection (e)(3) of this section, the rental agreement to be signed by the renter shall contain a provision on the face of the agreement, in at least 10 point bold type, that informs the individual that, except for coverage provided by the Maryland Automobile Insurance Fund with respect to a rental vehicle that is not a replacement vehicle, the coverage maintained by the renter of the rental vehicle is primary coverage on the owner’s confirmation with the insurance carrier that provides coverage to the renter that the insurance maintained by the renter provides valid and collectible coverage in the amounts required under § 17–103(b) of this subtitle to the owner’s vehicle while it is used as a rental vehicle.</text> </level> </section> <section article="gtr" article_name="Transportation" number="17-104.1" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <text>The operator of a moped or motor scooter shall carry evidence of the required security when operating the moped or motor scooter. </text> </section> <section article="gtr" article_name="Transportation" number="17-104.2" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <text>In this section, “Fund” means the Uninsured Motorist Education and Enforcement Fund administered by the Uninsured Division of the Maryland Automobile Insurance Fund under § 20–611 of the Insurance Article.</text> </level> <level label="b"> <text>The operator of a motor vehicle that is required to be registered in this State shall:</text> <level label="1"> <text>Be in possession of, or carry in the motor vehicle, evidence of the required security for the motor vehicle, when operating the motor vehicle on a highway in the State; and</text> </level> <level label="2"> <text>Present evidence of the required security on the request of a law enforcement officer.</text> </level> </level> <level label="c"> <level label="1"> <text>An insurance identification card issued by or on behalf of a motor vehicle insurer under § 19–504.1 of the Insurance Article is a form of evidence of the required security for the motor vehicle.</text> </level> <level label="2"> <text>Evidence of the required security may be produced in electronic format, including display of electronic images on a cellular phone or any other type of portable electronic device.</text> </level> </level> <level label="d"> <level label="1"> <text>A person who violates subsection (b) of this section is subject to a fine of $50.</text> </level> <level label="2"> <text>The fine under paragraph (1) of this subsection:</text> <level label="i"> <text>May be waived; and</text> </level> <level label="ii"> <text>Shall be deposited in the Fund.</text> </level> </level> </level> <level label="e"> <text>The Administration may adopt regulations to carry out this section.</text> </level> </section> <section article="gtr" article_name="Transportation" number="17-104.3" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Adverse event” means an incident that may subject the owner or driver of a rental vehicle to legal liability, including liability for:</text> <level label="i"> <text>Damages;</text> </level> <level label="ii"> <text>Costs of defense;</text> </level> <level label="iii"> <text>Legal costs and fees; and</text> </level> <level label="iv"> <text>Any other claims expenses.</text> </level> </level> <level label="3"> <text>“Motor vehicle rental company” means a person that is in the business of providing motor vehicles to the public under a rental agreement for a period not exceeding 180 days.</text> </level> <level label="4"> <text>“Rental agreement” means a written agreement containing the terms and conditions that govern the use of a rental vehicle provided by a motor vehicle rental company under the provisions of this article.</text> </level> </level> <level label="b"> <text>A person involved in an adverse event that involves a rental vehicle rented by another, or the person’s legal representative, may request information, as provided under subsection (c) of this section, from the motor vehicle company that owns the rental vehicle by submitting a written request to the motor vehicle rental company in accordance with subsection (c) of this section.</text> </level> <level label="c"> <level label="1"> <text>If known to the motor vehicle rental company, a request made to a motor vehicle rental company under this section shall include:</text> <level label="i"> <text>The full name of the person that is believed to have rented the rental vehicle involved in the adverse event;</text> </level> <level label="ii"> <text>The date and approximate time of the adverse event; and</text> </level> <level label="iii"> <text>To the extent known, a description of the rental vehicle, including the vehicle’s:</text> <level label="1"> <text>Make;</text> </level> <level label="2"> <text>Model;</text> </level> <level label="3"> <text>Color; and</text> </level> <level label="4"> <text>Registration number.</text> </level> </level> </level> <level label="2"> <text>A request made under this section shall be submitted to the motor vehicle rental company’s registered agent in the State.</text> </level> </level> <level label="d"> <level label="1"> <text>Except as provided in subsection (e) of this section, as soon as practicable after receiving a request for information, a motor vehicle rental company shall provide the person that made the request with the following information in writing:</text> <level label="i"> <text>The name, mailing address, and date of birth of each person identified in a rental agreement as a renter or authorized driver of the rental vehicle at the time the adverse event is alleged to have occurred; and</text> </level> <level label="ii"> <level label="1"> <text>The name of the insurer responsible for providing primary insurance coverage for the rental vehicle at the time the adverse event is alleged to have occurred; and</text> </level> <level label="2"> <text>If known to the motor vehicle rental company, the policy number associated with the primary insurance coverage for the rental vehicle at the time the adverse event is alleged to have occurred.</text> </level> </level> </level> <level label="2"> <text>If the person driving the rental vehicle at the time of the adverse event is not identified in the rental agreement, the motor vehicle rental company shall make a reasonable effort to obtain and provide the individual’s name, mailing address, and date of birth to the person making the request for information.</text> </level> </level> <level label="e"> <level label="1"> <text>If a request is made under this section more than 3 years after the date on which the adverse event is alleged to have occurred, the motor vehicle rental company may refuse to provide information under subsection (d) of this section.</text> </level> <level label="2"> <text>A motor vehicle rental company may not be compelled to disclose any information regarding persons identified as renters or authorized drivers of a rental vehicle other than the information that is required under subsection (d) of this section.</text> </level> </level> <level label="f"> <text>Unless it is established that the disclosure made by the motor vehicle rental company or an employee or agent of the motor vehicle rental company constituted reckless, wanton, or intentional misconduct, a motor vehicle rental company may not be held civilly or criminally liable for disclosing information in accordance with this section.</text> </level> </section> <section article="gtr" article_name="Transportation" number="17-105" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <text>If a person has been finally rejected for insurance by the Maryland Automobile Insurance Fund under § 20–516 of the Insurance Article, the person shall, within 10 days after the rejection, furnish evidence satisfactory to the Administration that he has obtained and is covered by the required security.</text> </level> <level label="b"> <text>If the person fails to furnish this evidence within the 10-day period, the Administration:</text> <level label="1"> <text>Shall suspend the registration of each motor vehicle owned by the person; and</text> </level> <level label="2"> <text>Shall suspend the license to drive of that person.</text> </level> </level> <level label="c"> <text>The Administration may not reinstate a registration suspended under this subsection until the person furnishes the evidence that he has obtained and is covered by the required security.</text> </level> <level label="d"> <text>A license to drive that is suspended under this section shall be reinstated if the licensee:</text> <level label="1"> <text>Furnishes evidence that he has obtained and is covered by the required security; or</text> </level> <level label="2"> <text>Has delivered to the Administration the registration plates of each motor vehicle owned by him.</text> </level> </level> </section> <section article="gtr" article_name="Transportation" number="17-106" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <text>If the required security for any vehicle lapses at any time, the registration of that vehicle:</text> <level label="1"> <text>Is suspended automatically as of the date of the lapse effective not later than 60 days after notification to the Administration that the lapse has occurred; and</text> </level> <level label="2"> <text>Remains suspended until:</text> <level label="i"> <text>The required security is replaced and the vehicle owner submits evidence of replaced security on a form as prescribed by the Administration and certified by an insurer or insurance producer; and</text> </level> <level label="ii"> <text>Any uninsured motorist penalty fee assessed is paid to the Administration.</text> </level> </level> </level> <level label="b"> <level label="1"> <text>Except as provided in paragraph (2) of this subsection, each insurer or other provider of required security immediately shall notify the Administration electronically of those terminations or other lapses that are final.</text> </level> <level label="2"> <text>Each insurer or other provider of required security for a vehicle registered as a Class B (for hire) vehicle under Title 13 of this article shall notify the Administration within 45 days after a termination or other lapse that is final and occurs anytime after the required security is issued or provided.</text> </level> </level> <level label="c"> <text>On receipt of a notice under subsection (b) of this section, the Administration shall:</text> <level label="1"> <text>Make a reasonable effort to notify the owner of the vehicle that his registration has been suspended; and</text> </level> <level label="2"> <text>Provide electronically the information contained in the notice of the suspension to the Uninsured Division of the Maryland Automobile Insurance Fund.</text> </level> </level> <level label="d"> <level label="1"> <text>Within 48 hours after an owner is notified by the Administration of the suspension of registration, the owner shall surrender all evidences of that registration to the Administration.</text> </level> <level label="2"> <text>If the owner fails to surrender the evidences of registration within the 48–hour period, the Administration:</text> <level label="i"> <text>Shall attempt to recover from the owner the evidences of registration; and</text> </level> <level label="ii"> <text>May suspend his license to drive until he returns to the Motor Vehicle Administration the evidences of registration.</text> </level> </level> <level label="3"> <text>The Administration may enter into contracts with private parties to procure the services of independent agents to assist in the recovery of the evidences of registration as authorized in paragraph (2) of this subsection.</text> </level> </level> <level label="e"> <level label="1"> <level label="i"> <level label="1"> <text>Except as provided in subparagraphs (iv) and (v) of this paragraph, in addition to any other penalty provided for in the Maryland Vehicle Law, if the required security for a vehicle terminates or otherwise lapses during its registration year, the Administration may assess the owner of the vehicle with a penalty of $200 for each vehicle without the required security for a period of 1 to 30 days.</text> </level> <level label="2"> <text>If a fine is assessed, beginning on the 31st day the fine shall increase by a rate of $7 for each day.</text> </level> </level> <level label="ii"> <text>Each period during which the required security for a vehicle terminates or otherwise lapses shall constitute a separate violation.</text> </level> <level label="iii"> <text>The penalty imposed under this subsection may not exceed $3,500 for each violation in a 12–month period.</text> </level> <level label="iv"> <text>The Administration may not assess a penalty under this subsection if:</text> <level label="1"> <text>The registration plates of the vehicle are returned to the Administration within 10 days after the termination or lapse of the required security, as shown by the records of the Administration; and</text> </level> <level label="2"> <level label="A"> <text>The certificate of title for the vehicle has been transferred to a new owner;</text> </level> </level> <level label="B"> <text>The registered owner has moved out–of–state and the registration plates are returned by mail;</text> </level> <level label="C"> <text>A salvage certificate has been issued for the vehicle; or</text> </level> <level label="D"> <text>A licensed dealer has taken possession of the vehicle with an obligation to return the registration plates.</text> </level> </level> <level label="v"> <text>Before the Administration may assess a penalty under this subsection, the Administration shall first verify that the registration plates for the vehicle were not returned to the Administration within 10 days after the termination or lapse of the required security.</text> </level> </level> <level label="2"> <level label="i"> <text>Except as provided under paragraph (3) of this subsection, a penalty assessed under this subsection shall be paid as follows:</text> <level label="1"> <text>70% to be allocated as provided in subparagraph (ii) of this paragraph; and</text> </level> <level label="2"> <text>30% to the Administration, which may be used by the Administration, subject to subsection (f) of this section, to provide funding for contracts with independent agents to assist in the recovery of evidences of registration as authorized in subsection (d)(3) of this section.</text> </level> </level> <level label="ii"> <text>For each fiscal year beginning on or after July 1, 2014, the percentage of the penalties specified under subparagraph (i)1 of this paragraph shall be allocated among the Safe Schools Fund, the Vehicle Theft Prevention Fund, the Maryland Automobile Insurance Fund, the Driver Education in Public High Schools Fund, the State–Aided Institutions Field Trip Fund, and the General Fund as follows:</text> <level label="1"> <text>$600,000 to the Safe Schools Fund;</text> </level> <level label="2"> <text>$2,000,000 to the Vehicle Theft Prevention Fund;</text> </level> <level label="3"> <text>The amounts specified under subparagraph (iii) of this paragraph to the Maryland Automobile Insurance Fund;</text> </level> <level label="4"> <text>$2,000,000 to the Driver Education in Public High Schools Fund;</text> </level> <level label="5"> <text>$600,000 to the State–Aided Institutions Field Trip Fund; and</text> </level> <level label="6"> <text>The balance to the General Fund.</text> </level> </level> <level label="iii"> <level label="1"> <text>Except for fiscal year 2024 and except as provided under subsubparagraph 3 of this subparagraph, the amount distributed to the Maryland Automobile Insurance Fund under subparagraph (ii)3 of this paragraph shall equal the amount distributed to the Maryland Automobile Insurance Fund in the prior fiscal year under the provisions of this paragraph adjusted by the change for the calendar year preceding the fiscal year in the Consumer Price Index – All Urban Consumers – Medical Care as published by the United States Bureau of Labor Statistics.</text> </level> <level label="2"> <text>For fiscal year 2024, the amount distributed to the Maryland Automobile Insurance Fund under subparagraph (ii)3 of this paragraph shall equal the amount distributed to the Maryland Automobile Insurance Fund in the prior fiscal year under the provisions of this paragraph adjusted by the change for the calendar year preceding the fiscal year in the Consumer Price Index – All Urban Consumers – Medical Care as published by the United States Bureau of Labor Statistics plus an additional $2,000,000.</text> </level> <level label="3"> <text>For fiscal year 2025, the amount distributed to the Maryland Automobile Insurance Fund under subparagraph (ii)3 of this paragraph shall equal the amount distributed to the Maryland Automobile Insurance Fund calculated in accordance with subsubparagraph 1 of this subparagraph:</text> </level> <level label="A"> <text>Plus an additional $3,000,000 dedicated to the exclusive use of the Uninsured Division, which shall become part of the base amount used to calculate the amount distributed under subsubparagraph 1 of this subparagraph in subsequent fiscal years; but</text> </level> <level label="B"> <text>Excluding the $2,000,000 distributed to the Fund in fiscal year 2024.</text> </level> </level> </level> <level label="3"> <text>Beginning July 1, 2018, any uninsured motorist penalties the Administration receives under the Program to Incentivize and Enable Uninsured Vehicle Owners to Be Insured established under § 20–612 of the Insurance Article shall be paid to the Uninsured Division of the Maryland Automobile Insurance Fund.</text> </level> <level label="4"> <text>If the Administration assesses a vehicle owner, co–owner, or lessee with a penalty under this subsection, the Administration may not take any of the following actions until the penalty is paid:</text> <level label="i"> <text>Reinstate a registration suspended under this subsection;</text> </level> <level label="ii"> <text>Except for a temporary registration as provided under § 13–602(a)(2) of this article, issue a new registration for any vehicle that is owned, co–owned, or leased by that person and is titled after the violation date; or</text> </level> <level label="iii"> <text>Renew a registration for a vehicle that is owned, co–owned, or leased by that person.</text> </level> </level> <level label="5"> <level label="i"> <text>In this paragraph, “family member” means any individual whose relationship to the vehicle owner is one of those listed under § 13–810(c)(1) of this article as being exempt from paying the excise tax imposed on the transfer of a vehicle.</text> </level> <level label="ii"> <text>The monetary penalties provided in this subsection may not be avoided by transferring title to the vehicle.</text> </level> <level label="iii"> <text>Except as provided in paragraph (1)(iv) and (v) of this subsection, regardless of whether money or other valuable consideration is involved in the transfer, if title to a vehicle is transferred by an individual who has violated this subtitle to a family member, any suspension of the vehicle’s registration that occurred before the transfer shall continue as if no transfer had occurred and a new registration may not be issued until the penalty fee is paid.</text> </level> </level> <level label="6"> <text>An amount equal to the monetary penalties paid to the Administration under paragraph (2) of this subsection may be used by the Administration only for the enforcement of this subtitle.</text> </level> </level> <level label="f"> <text>From the amount distributed to the Administration under subsection (e)(2)(i)2 of this section, expenditures to fund contracts entered into under subsection (d)(3) of this section:</text> <level label="1"> <text>May not exceed $1,000,000 in any fiscal year; and</text> </level> <level label="2"> <text>May be made only:</text> <level label="i"> <text>Pursuant to an appropriation approved by the General Assembly in the annual State budget; or</text> </level> <level label="ii"> <text>Through the budget amendment procedure provided for in § 7–209 of the State Finance and Procurement Article, provided that:</text> <level label="1"> <text>The budget amendment and supporting information have been submitted to the budget committees for review and comment; and</text> </level> <level label="2"> <text>At least 45 days have elapsed from the time the budget amendment and supporting information were submitted to the budget committees.</text> </level> </level> </level> </level> </section> <section article="gtr" article_name="Transportation" number="17-106.1" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <text>The Administration may establish and implement a system for each insurer or other provider of the security required by § 17-103 of this subtitle to report to the Administration all policies issued for vehicles registered in the State.</text> </level> <level label="b"> <level label="1"> <text>The Administration shall operate the reporting system developed under subsection (a) of this section and may not contract with an outside entity for the operation of the system.</text> </level> <level label="2"> <text>Paragraph (1) of this subsection may not be construed to prohibit the Administration from contracting with an outside entity for the design or development of the reporting system authorized under subsection (a) of this section.</text> </level> </level> <level label="c"> <text>The Administration may not disclose or allow the bulk purchase of any insurance information submitted by insurers or other providers under a reporting system established under subsection (a) of this section.</text> </level> </section> <section article="gtr" article_name="Transportation" number="17-107" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <text>A person who knows or has reason to know that a motor vehicle is not covered by the required security may not:</text> <level label="1"> <text>Drive the vehicle; or</text> </level> <level label="2"> <text>If the person is an owner of the vehicle, knowingly permit another person to drive it.</text> </level> </level> <level label="b"> <level label="1"> <text>In any prosecution under subsection (a) of this section for a vehicle that is registered in the State, the introduction of the official records of the Motor Vehicle Administration showing the absence of a record that the vehicle is covered by the security required under § 17–104 of this subtitle shall be prima facie evidence that a person knows or has reason to know that a motor vehicle is not covered by the required security.</text> </level> <level label="2"> <text>The introduction of evidence of the records of the Administration may not limit the introduction of other evidence bearing upon whether the vehicle was covered by the required security.</text> </level> </level> <level label="c"> <text>An owner or lessee of any motor vehicle registered under Title 13 of this article may not raise the defense of sovereign or governmental immunity as described under § 5–524 of the Courts and Judicial Proceedings Article.</text> </level> <level label="d"> <text>A person convicted of a violation of this section is subject to:</text> <level label="1"> <text>For a first offense, imprisonment not exceeding 1 year or a fine not exceeding $1,000 or both; and</text> </level> <level label="2"> <text>For a second or subsequent offense, imprisonment not exceeding 2 years or a fine not exceeding $1,000 or both.</text> </level> </level> </section> <section article="gtr" article_name="Transportation" number="17-109" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <text>A person who receives a warning letter under Title 16, Subtitle 4 of this article as a result of point accumulation shall submit evidence that any vehicle registered in the person’s name, individually or jointly, has been continuously covered, since the notice date of the point accumulation warning letter, by the security required under this subtitle.</text> </level> <level label="b"> <text>The evidence of security shall be submitted to the Administration within 30 days of the request on a form prescribed by the Administration and certified by an insurer or insurance producer.</text> </level> </section> <section article="gtr" article_name="Transportation" number="17-110" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <text>Whenever evidence of security is required under this subtitle, a person may not willfully and knowingly create, certify, file, or provide false evidence of required security.</text> </level> <level label="b"> <text>A person convicted of a violation of this section is subject to:</text> <level label="1"> <text>For a first offense, imprisonment not exceeding 1 year or a fine not exceeding $1,000 or both; and</text> </level> <level label="2"> <text>For a second or subsequent offense, imprisonment not exceeding 2 years or a fine not exceeding $1,000 or both.</text> </level> </level> </section> <section article="gtr" article_name="Transportation" number="17-111" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="1" subtitle_name="General Security Provisions"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Central Collection Unit fee” means the fee the Central Collection Unit in the Department of Budget and Management is authorized under § 3–304 of the State Finance and Procurement Article to assess on debts or claims collected.</text> </level> <level label="3"> <text>“Program” means the Program to Incentivize and Enable Uninsured Vehicle Owners to Be Insured.</text> </level> <level label="4"> <text>“Program period” means the period during which vehicle owners may have a portion of delinquent uninsured vehicle penalties waived under the Program.</text> </level> <level label="5"> <text>“Uninsured vehicle penalty” means the fine the Administration may assess a vehicle owner under § 17–106 of this subtitle for a lapse of the required security on a vehicle during a registration year.</text> </level> </level> <level label="b"> <level label="1"> <text>There is a Program to Incentivize and Enable Uninsured Vehicle Owners to Be Insured in the Administration.</text> </level> <level label="2"> <text>The purpose of the Program is to reduce the number of uninsured vehicles in the State by incentivizing and enabling uninsured vehicle owners with delinquent uninsured vehicle penalties to be insured.</text> </level> </level> <level label="c"> <level label="1"> <text>Under the Program, the Administration shall:</text> <level label="i"> <text>Waive a portion of delinquent uninsured vehicle penalties on vehicle owners; and</text> </level> <level label="ii"> <text>As a condition of waiving a portion of delinquent uninsured vehicle penalties on vehicle owners, require vehicle owners to purchase and maintain the required security on their vehicles.</text> </level> </level> <level label="2"> <text>The Program period shall:</text> <level label="i"> <text>Be up to 90 calendar days; and</text> </level> <level label="ii"> <text>Begin no earlier than January 1, 2017, and end no later than December 31, 2017.</text> </level> </level> </level> <level label="d"> <text>A vehicle owner is eligible to participate in the Program if the vehicle owner:</text> <level label="1"> <text>Is a resident of the State;</text> </level> <level label="2"> <text>Does not have the required security on a vehicle;</text> </level> <level label="3"> <text>Has delinquent uninsured vehicle penalties that became delinquent before January 1, 2014; and</text> </level> <level label="4"> <text>Has not been issued a judgment by the Central Collection Unit.</text> </level> </level> <level label="e"> <level label="1"> <text>The Administration shall notify vehicle owners who may be eligible to participate in the Program at their last known address.</text> </level> <level label="2"> <text>The notification to a vehicle owner shall include:</text> <level label="i"> <text>The Administration’s Web site address and the Maryland Insurance Administration’s Web site address, where the owner may find contact information for insurers that write motor vehicle liability insurance in the State and other information about motor vehicle insurance; and</text> </level> <level label="ii"> <text>The total delinquent uninsured vehicle penalties that the owner owes and the amount of the penalties that may be waived under the Program.</text> </level> </level> </level> <level label="f"> <level label="1"> <text>In accordance with paragraphs (2) and (3) of this subsection, the Administration shall waive 80% of a vehicle owner’s delinquent uninsured vehicle penalties that became delinquent before January 1, 2014.</text> </level> <level label="2"> <level label="i"> <text>As a condition of waiving a portion of a vehicle owner’s delinquent uninsured vehicle penalties under paragraph (1) of this subsection, the Administration shall require the vehicle owner to pay the balance of the delinquent uninsured vehicle penalties owed after subtracting the waived amount under paragraph (1) of this subsection.</text> </level> <level label="ii"> <text>If a claim against a vehicle owner has been sent to the Central Collection Unit, in addition to the balance owed under subparagraph (i) of this paragraph, the vehicle owner shall pay a Central Collection Unit fee calculated as a percentage of the amount of the balance owed under subparagraph (i) of this paragraph.</text> </level> <level label="iii"> <level label="1"> <text>Except as provided in subsubparagraph 2 of this subparagraph, the Administration shall require a vehicle owner to pay the balance owed under subparagraph (i) of this paragraph and any Central Collection Unit fee owed under subparagraph (ii) of this paragraph before the end of the Program period.</text> </level> <level label="2"> <text>The Administration may allow an owner to pay the balance owed under subparagraph (i) of this paragraph and any Central Collection Unit fee owed under subparagraph (ii) of this paragraph using a monthly installment payment plan that extends payments beyond the end of the Program period if the terms of the monthly installment payment plan require:</text> </level> <level label="A"> <text>The first payment to be due on entry into the Program; and</text> </level> <level label="B"> <text>The remaining balance owed to be paid within 6 months after entry into the Program.</text> </level> </level> </level> <level label="3"> <level label="i"> <text>As a condition of waiving a portion of delinquent uninsured vehicle penalties on a vehicle owner under paragraph (1) of this subsection, the Administration shall require the vehicle owner to purchase and maintain the required security on the vehicle for the period of time specified in subparagraph (ii) of this paragraph.</text> </level> <level label="ii"> <level label="1"> <text>Except as provided in subsubparagraph 2 of this subparagraph, the Administration shall require the required security on the vehicle to be maintained for a period of at least 6 months.</text> </level> <level label="2"> <text>The Administration may require that the required security on the vehicle be maintained for a period of at least 1 year if the waiver amount under paragraph (1) of this subsection exceeds $3,000.</text> </level> </level> </level> </level> <level label="g"> <text>The Administration may adopt regulations to carry out the provisions of this section.</text> </level> <level label="h"> <level label="1"> <text>Beginning July 1, 2018, there is a Program to Incentivize and Enable Uninsured Vehicle Owners to Be Insured, administered by the Uninsured Division of the Maryland Automobile Insurance Fund under § 20–612 of the Insurance Article.</text> </level> <level label="2"> <text>The Administration:</text> <level label="i"> <text>Shall waive delinquent uninsured vehicle penalties as provided in § 20–612 of the Insurance Article; and</text> </level> <level label="ii"> <text>If conditions specified under § 20–612 of the Insurance Article are not met, may reinstate the waived delinquent uninsured motorist penalties.</text> </level> </level> </level> </section> <section article="gtr" article_name="Transportation" number="17-201" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="2" subtitle_name="Nonpayment of Judgments"> <text>In this subtitle, “judgment” means any final judgment resulting from:</text> <level label="1"> <text>A cause of action for damages arising out of the ownership, maintenance, or use on any highway or other property open to the public of any vehicle of a type required to be registered in this State; or</text> </level> <level label="2"> <text>A cause of action on an agreement of settlement for damages arising out of the ownership, maintenance, or use on any highway or other property open to the public of any vehicle of a type required to be registered in this State.</text> </level> </section> <section article="gtr" article_name="Transportation" number="17-202" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="2" subtitle_name="Nonpayment of Judgments"> <text>If a person fails to satisfy a judgment within 30 days, the judgment creditor or his representative may send to the Administration a certified copy of the judgment and, on a form provided by the Administration, a certificate of facts relating to the judgment. The certificate of facts is prima facie evidence of the facts stated in it.</text> </section> <section article="gtr" article_name="Transportation" number="17-203" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="2" subtitle_name="Nonpayment of Judgments"> <text>If the judgment debtor named in a certified copy of a judgment or in a certificate of facts is a nonresident, the Administration shall send a certified copy of the judgment or certificate of facts to the Motor Vehicle Administrator of the state where the judgment debtor is a resident and of any other state where the vehicle of the judgment debtor is registered.</text> </section> <section article="gtr" article_name="Transportation" number="17-208" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="2" subtitle_name="Nonpayment of Judgments"> <level label="a"> <text>For purposes of this subtitle, a judgment is considered satisfied if:</text> <level label="1"> <text>It is paid to the judgment creditor or into the court that rendered the judgment, either in full or up to the minimum required security amounts required under the Maryland Vehicle Law; or</text> </level> <level label="2"> <text>An order of satisfaction is filed with the court that rendered the judgment.</text> </level> </level> <level label="b"> <text>A payment made in settlement of any claim because of bodily injury, death, or property damage arising from the accident shall be credited in reduction of the payment required by subsection (a) (1) of this section.</text> </level> </section> <section article="gtr" article_name="Transportation" number="17-209" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="2" subtitle_name="Nonpayment of Judgments"> <level label="a"> <level label="1"> <text>On due notice to the judgment creditor, a judgment debtor may apply to the court that rendered the judgment for the privilege of paying the judgment in installments.</text> </level> <level label="2"> <text>In its discretion, the court may order payment of the judgment in installments and may set and modify from time to time the amounts and times of the installment payments.</text> </level> <level label="3"> <text>A judgment debtor may continue to make payments under an installment plan as long as the installment payments are not in default.</text> </level> </level> <level label="b"> <level label="1"> <text>Except as provided for in subsection (c) of this section, after default and on due notice to the judgment creditor, if past–due installments have been paid, the judgment debtor again may apply to the court that allowed the installment payments for the resumption of the privilege of installment payments.</text> </level> <level label="2"> <text>In its discretion, the court may order resumption of the installment payments as provided in subsection (a) of this section.</text> </level> </level> <level label="c"> <text>A judgment debtor under Title 20, Subtitle 6 of the Insurance Article who has been in default at least 3 times under subsection (a)(3) of this section may not resume the privilege of installment payments unless:</text> <level label="1"> <text>The Fund receives payment in an amount satisfactory to the Fund; and</text> </level> <level label="2"> <text>The Fund consents to the resumption of installment payments.</text> </level> </level> <level label="d"> <text>The actions of a court under this section are without prejudice to any other legal remedy of the judgment creditor.</text> </level> </section> <section article="gtr" article_name="Transportation" number="17-301" title_number="17" title_name="Vehicle Laws -- Required Security" subtitle_number="3" subtitle_name="Miscellaneous Provisions"> <level label="a"> <text>If a person made a security deposit of money under the financial responsibility law as it existed before January 1, 1973, the person or his personal representative may apply to the Maryland Automobile Insurance Fund for and is entitled to a refund of the deposit, without interest, if:</text> <level label="1"> <text>An action for damages arising out of the accident for which the deposit was made is not pending against the person on whose behalf the deposit was made;</text> </level> <level label="2"> <text>An unpaid judgment does not exist in favor of any person as a result of an action arising from the accident for which the deposit was made;</text> </level> <level label="3"> <text>A claim is not pending against the Unsatisfied Claim and Judgment Fund Board or its successor for damages arising out of the accident for which the deposit was made; and</text> </level> <level label="4"> <text>The executive director of the Maryland Automobile Insurance Fund, on the advice of the Attorney General, is satisfied by a reasonable preponderance of the evidence that the person is legally entitled to the deposit.</text> </level> </level> <level label="b"> <text>If there is a claim pending against the Unsatisfied Claim and Judgment Fund Board or its successor, that claim is a lien against the amount deposited in favor of the Unsatisfied Claim and Judgment Fund Board or its successor.</text> </level> <level label="c"> <text>Neither subsection (a) of this section nor any other provision of law may be construed to prevent the use of the deposit:</text> <level label="1"> <text>To satisfy any final judgment rendered against the depositor that has been docketed within 3 years from the date of the accident and not assigned to the Unsatisfied Claim and Judgment Fund or its successor; or</text> </level> <level label="2"> <text>In the payment of any claim on the instruction of the depositor.</text> </level> </level> </section>