Maryland § 24-306

§ 24-306.

    (a)    The Company:

        (1)    shall be an authorized insurer; and

        (2)    on and after October 1, 2013, as a condition of being an authorized insurer, shall be the workers’ compensation insurer of last resort for employers covered under Title 9 of the Labor and Employment Article.

    (b)    Before October 1, 2013, the Fund shall serve as the workers’ compensation insurer of last resort for workers’ compensation insurance and as a competitive workers’ compensation insurer under the same terms and conditions as the Fund served before October 1, 2012.

    (c)    The Company may not cancel or refuse to renew or issue a policy except for:

        (1)    nonpayment of a premium for current or prior policies issued by the Fund or the Company;

        (2)    failure to provide payroll information to the Fund or the Company;

        (3)    failure to cooperate in any payroll audit conducted by the Fund or the Company; or

        (4)    failure to reimburse the Company under a policy with deductibles as required under § 19–404 of this article.

    (d)    The Company may engage only in the business of workers’ compensation insurance in accordance with State law.

    (e)    Subject to the requirements of Title 7 of this article, the Company may establish, own, or acquire a subsidiary for any lawful purpose if the subsidiary:

        (1)    is, or after acquisition will be, wholly owned by the Company;

        (2)    engages in a business activity that is ancillary to the workers’ compensation insurance business; and

        (3)    is operated for the purpose of benefiting the Company.