Section 10-602 - Limited lines license to sell rental vehicle insurance - In general.
§ 10-602. Limited lines license to sell rental vehicle insurance - In general.
(a) Required.- A motor vehicle rental company shall hold a limited lines license to sell insurance in connection with, and incidental to, the rental of a motor vehicle before the company or its employees may sell or offer any policies of insurance in this State to a renter in connection with, and incidental to, a rental agreement.
(b) Authorization to act on behalf of company.- A limited lines license to sell insurance in connection with, and incidental to, the rental of a motor vehicle issued under this subtitle shall also authorize any salaried or hourly employee of the motor vehicle rental company who is trained, under § 10-604(a)(4) of this subtitle, to act on behalf of, and under the supervision of, a motor vehicle rental company, with respect to the kinds of insurance specified in § 10-604(b)(2) of this subtitle.
(c) Acts of employee deemed acts of company.- The acts of an employee offering or selling insurance coverage on behalf of a motor vehicle rental company shall be deemed the acts of the motor vehicle rental company for the purposes of this subtitle.
(d) Treatment of premiums.- A motor vehicle rental company holding a limited lines license to sell insurance in connection with, and incidental to, the rental of a motor vehicle issued under this subtitle is not required to treat premiums collected from a renter that purchased insurance from the motor vehicle rental company as funds received in a fiduciary capacity if:
(1) the insurer represented by the motor vehicle rental company has consented in a written agreement, signed by an officer of the insurer, that the premiums do not need to be segregated from other funds received by the motor vehicle rental company in connection with the vehicle rental; and
(2) the charges for insurance coverage are itemized but not billed to the renter separately from the charges for the vehicle rental.
[1999, chs. 628, 629; 2001, ch. 731, § 1.]