(a) (1) In this section the following words have the meanings indicated. (2) "Authorized driver" means a person, other than the renter, who uses or operates a rental vehicle with the permission of the motor vehicle rental company. (3) "Motor vehicle rental company" has the meaning stated in § 17- 104.3 of this article. (4) "Rental agreement" has the meaning stated in § 17-104.3 of this article. (b) (1) Except as provided in paragraph (2) of this subsection, this section applies only to: (i) Rental vehicle transactions originating in the State; and (ii) Third-party claims against a renter or an authorized driver of a rental vehicle arising out of the security requirement under § 18-102(a)(2) of this subtitle or § 17-104(e) of this article. (2) This section does not apply to a replacement vehicle under § 18- 102(a)(2) of this subtitle or § 17-104(e) of this article. (c) A motor vehicle rental company shall be responsible for providing the required security under § 17-103 of this article on a primary basis for a third-party liability claim if the motor vehicle rental company: (1) Fails to deliver notice of the claim; (2) Fails to cooperate with the insurer; (3) Prejudiced the handling of the third-party claim before the insurer assumed the handling of the claim; (4) Has provided liability, property damage, uninsured motorist, or other coverage to the insured that is applicable to the third-party claim as a benefit under either: (i) The rental agreement; or (ii) An insurance policy sold to the renter in connection with, and incidental to, the rental of the motor vehicle; or (5) Fails to provide the notices required under § 18-102(a)(3) of this subtitle or § 17-104(f) of this article. (d) A motor vehicle rental company shall be responsible for providing the required security under § 17-103 of this article on a primary basis for a third-party liability claim if the driver of the rental vehicle is an individual who is not the renter or an authorized driver.
‹ Prev All Maryland sections Next ›
Lexace provides legal information, not legal advice, and no attorney–client relationship is created. Statute text is provided for general information and may not reflect the most recent amendments; verify against the official state code.