Increase in Minimum Vehicle Liability Insurance Limits - Guidance

200 St. Paul Place, Suite 2700, Baltimore, Maryland 21202 Direct Dial: 410-468-2301 Fax: 410-468-2306 Email: pjohnson@mdinsurance.state.md.us 1-800-492-6116 TTY: 1-800-735-2258 www.mdinsurance.state.md.us MARTIN O’MALLEY Governor ANTHONY G. BROWN Lt. Governor BETH SAMMIS Acting Commissioner KAREN STAKEM HORNIG Deputy Commissioner P. RANDI JOHNSON Associate Commissioner Property & Casualty BULLETIN 10-35 DATE: October 22, 2010 TO: All Property & Casualty Insurers, Producers and Interested Parties RE: Increase in Minimum Vehicle Liability Insurance Limits - Guidance --------------------------------------------------------------------------------------------------------------------- The Maryland Insurance Administration (“MIA”) offers the following guidance to insurers as they modify new and renewing motor vehicle policies to comply with Chapter 441 of the 2010 Legislative Session. For policies issued on or before December 31, 2010 and renewed on or after January 1, 2011 insurers are not required to: • Obtain a new signed personal injury protection (“PIP”) waiver form if the insurer is automatically increasing the liability coverage for family members to match the limits of coverage for non-family members at no additional charge to the insured; • Obtain a new signed required uninsured motorist coverage (“UM”) waiver form if the insurer is increasing the UM liability limits to the required statutory minimum; or • Send a notice of premium increase in accordance with §27-614 of the Insurance Article and COMAR 31.08.03 if the sole reason for the increase is a result of the increase in minimum liability limits. Insurers offering a vehicle liability policy with a Combined Single Limit of coverage must offer at least $75,000 for policies issued or renewed on or after January 1, 2011 to meet the new minimum requirements (which are the $60,000 per occurrence in bodily injury aggregate plus $15,000 in property damage). Any questions regarding these requirements should be directed to Dave Diehl, Chief Administrator, Property & Casualty Unit at ddiehl@mdinsurance.state.md.us or by calling 410-468-2320. Beth Sammis, Acting Insurance Commissioner By: SIGNATURE ON FILE WITH ORIGINAL P. Randi Johnson, Associate Commissioner Property & Casualty