§ 20-612
912 words·~4 min read·
/md/insurance/20-612A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§20–612.
(1)In this section the following words have the meanings indicated.
(2)“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.
(3)“Program” means the Program to Incentivize and Enable Uninsured Vehicle Owners to Be Insured established under subsection (b)(1) of this section.
(4)“Program period” means the period during which vehicle owners may have a portion of delinquent uninsured vehicle penalties waived under the Program.
(5)“Uninsured vehicle penalty” means the fine the Motor Vehicle Administration may assess a vehicle owner under § 17–106 of the Transportation Article for a lapse of the required security on a vehicle during a registration year.
(1)There is a Program to Incentivize and Enable Uninsured Vehicle Owners to Be Insured in the Uninsured Division.
(2)The Program is administered by the Uninsured Division.
(3)The purpose of the Program is to reduce the number of uninsured vehicles in the State by incentivizing and enabling individuals with delinquent uninsured vehicle penalties to become:
(i)eligible to register a vehicle in the State; and
(ii)insured after paying a reduced uninsured vehicle penalty.
(c)The Program period:
(1)may not exceed 180 calendar days; and
(2)shall begin not earlier than July 1, 2018, and end not later than December 31, 2019.
(d)An individual is eligible to participate in the Program if the individual:
(1)is a State resident;
(2)has delinquent uninsured vehicle penalties that became delinquent on or before December 31, 2016;
(3)does not have the required insurance on any vehicle owned by the individual; and
(4)has not been issued a judgment by the Central Collection Unit.
(1)The Motor Vehicle Administration and the Central Collection Unit shall provide the Uninsured Division with contact information and the total amount of delinquent uninsured vehicle penalties of each individual who may be eligible to participate in the Program.
(2)The Uninsured Division shall notify individuals who may be eligible to participate in the Program at the individual’s last known address.
(3)The notification required under paragraph
(2)of this subsection shall include:
(i)the website addresses of the Motor Vehicle Administration, the Fund, and the Administration, where individuals may find contact information for insurers that write motor vehicle liability insurance in the State and other information about motor vehicle insurance; and
(ii)the total amount of delinquent uninsured vehicle penalties that the individual owes and the amount of the penalties that may be waived under the Program.
(1)On notification by the Uninsured Division that an applicant meets the eligibility requirements for the Program, the Motor Vehicle Administration shall waive 80% of an eligible individual’s delinquent uninsured vehicle penalties that became delinquent on or before December 31, 2016.
(i)As a condition of receiving a waiver under paragraph
(1)of this subsection, the eligible individual shall pay the balance of the delinquent uninsured vehicle penalties owed after subtracting the waived amount under paragraph
(1)of this subsection.
(ii)If a claim against an eligible individual has been sent to the Central Collection Unit, in addition to the balance owed under subparagraph
(i)of this paragraph, the eligible individual shall pay a Central Collection Unit fee calculated as a percentage of the amount of the balance owed under subparagraph
(i)of this paragraph.
(iii)1. Except as provided in subsubparagraph 2 of this subparagraph, an eligible individual shall 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.
2. An eligible individual may 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:
A. the first payment to be due on entry into the Program; and
B. the remaining balance owed to be paid within 6 months after entry into the Program.
(i)As a condition of receiving a waiver under paragraph
(1)of this subsection, an eligible individual who owns a vehicle at the time of the waiver, or an eligible individual who does not own a vehicle at the time of the waiver but subsequently registers a vehicle, shall purchase and maintain the required security on the vehicle for the period of time specified in subparagraph
(ii)of this paragraph.
(ii)The eligible individual shall maintain the required security on the vehicle for a period of:
1. at least 6 months; or
2. at least 1 year if the waived amount under paragraph
(1)of this subsection exceeds $3,000.
(1)On behalf of the State, the Uninsured Division may collect the amount of the delinquent uninsured vehicle penalties due together with any Central Collection Unit fee that is due and transmit the money that is owed to the Motor Vehicle Administration and the Central Collection Unit.
(2)On notification from the Uninsured Division that the required amount of the uninsured vehicle penalties and Central Collection Unit fees have been received from an eligible individual, the Motor Vehicle Administration and the Central Collection Unit shall take the necessary steps to allow the eligible individual to register a vehicle.