1. (a) Except as provided in subsection (b) of this section, the Fund shall pay to a fund producer of a policyholder to whom a policy is issued a commission:

   1. (1) for private passenger auto insurance issued by the Fund, at a rate determined by the Fund but not less than 10% and not to exceed 15% of the total premium; and
   2. (2) for any other insurance issued by the Fund, at a rate determined by the Fund but not to exceed 10% of the total premium.

2. (b) The Fund may not pay a commission:

   1. (1) on a fully earned basis;
   2. (2) if a prospective insured fails to qualify under § 20-502 of this subtitle; or
   3. (3) if a prospective insured's initial payment to the Fund, a fund producer, or premium finance company is not honored.
3. (c) If a policy issued by the Fund is canceled, the Fund shall refund any unearned commissions.

Added by Acts 1996, c. 11, § 1, eff. Oct. 1, 1997. Amended by Acts 2001, c. 731, § 1, eff. July 2, 2001; Acts 2012, c. 336, § 1, eff. July 1, 2012.

Formerly Art. 48A, § 243B.