- Requiring entities that process electronic payment transactions to exclude the amount of tax and gratuity from the amount on which an interchange fee is charged.
- Requiring credit and debit card issuers to credit merchants with the amount of the interchange fee charged on the amount of tax and gratuity included in an electronic payment transaction.
- Prohibiting the use of electronic payment transaction data for certain purposes by certain entities.
- Making a violation of this Act an unfair, abusive, or deceptive trade practice within the meaning of the Consumer Protection Act.

The act is set to take effect on October 1, 2025.

• wants to know what Luke is thinking presently
• he thought Luke didn't like it
• wanted to know if there was some compromise

West (1/29)

• remains strongly opposed

McKay (1/29)

• wanted to know if it was keeping up with inflation
• he voted no last year and feels the same

Valentine (2/5)

• was awaiting information he requested from the MIA re: impact on premiums in other states
• thinks he is a no

Waldstreicher (2/6)

• Senate will pass whatever the House brings to them

Schmidt (2/6)

• firmly opposed

Bartlett (2/7):

• she would like to know what an average award amount is (i.e. what was actually paid out)
  • wants to see how many are being paid out at the cap
• would also like to show current v. rate of inflation
• thinks the cap should be move up to reflect rate of inflation

2/14 met with Chair Klippinger and he said it would be great if the two side could work out a compromise but it is our understanding the trial bar wants a removal of the cap and nothing less. I committed to the Chair we would continue to work his committee.

Grammer (1/29)

• wants to know what Luke is thinking presently
• he thought Luke didn't like it
• wanted to know if there was some compromise

West (1/29)

• remains strongly opposed

McKay (1/29)

• wanted to know if it was keeping up with inflation
• he voted no last year and feels the same

Valentine (2/5)

• was awaiting information he requested from the MIA re: impact on premiums in other states
• thinks he is a no

Waldstreicher (2/6)

• Senate will pass whatever the House brings to them

Schmidt (2/6)

• firmly opposed

Bartlett (2/7):

• she would like to know what an average award amount is (i.e. what was actually paid out)
  • wants to see how many are being paid out at the cap
• would also like to show current v. rate of inflation
• thinks the cap should be move up to reflect rate of inflation

2/14 met with Chair Clippinger and he said it would be great if the two side could work out a compromise but it is our understanding the trial bar wants a removal of the cap and nothing less. I committed to the Chair we would continue to work his committee.

House Bill 113, titled "Civil Actions - Noneconomic Damages - Personal Injury and Wrongful Death," proposes changes to the limitations on noneconomic damages in civil actions in Maryland. Key provisions include:

- Repealing certain limitations on noneconomic damages in civil actions for personal injury or wrongful death.
- Generally relating to noneconomic damages.

The act is set to take effect on October 1, 2025.

- Prohibiting insurers from increasing a policy premium based on the claims history of an insured where two or fewer of the claims within the preceding 3-year period were for occurrences where the insured was not at fault for the loss.

The act is set to take effect on October 1, 2025.

- Establishing that certain firefighters, fire fighting instructors, rescue squad members, advanced life support unit members, and members of the Office of the State Fire Marshal are presumed to have hypertension for purposes of an occupational disease presumption if certain requirements are met.
- Defining the criteria for demonstrating disablement and hypertension under the workers' compensation law.

The act is set to take effect on October 1, 2025.

- Altering the penalties for causing serious physical injury or death of a vulnerable individual as a result of operating a motor vehicle in violation of certain provisions of law.
- Imposing imprisonment not exceeding 2 months, a fine not exceeding $2,000, or both, for individuals convicted of such violations.
- Requiring individuals charged with such violations to appear in court and prohibiting prepayment of the fine.
- Allowing the court to order individuals convicted of such violations to participate in a motor vehicle safety course and perform up to 150 hours of community service.
- Mandating the suspension of the driver's license of individuals convicted of such violations for at least 7 days but not more than 6 months.

The act is set to take effect on October 1, 2025.

- Establishing that any provision of a consumer contract that sets a shorter period of time to bring an action on or under the contract than otherwise required under State law at the time the contract is issued or delivered is void.
- Providing that a violation of this Act is considered a violation of the Consumer Protection Act.
- Generally relating to consumer contracts.

The act is set to take effect on October 1, 2025.

Effective Date is 10/1/25.

- Increasing the maximum amount of the council of unit owners' property insurance deductible for which a unit owner is responsible from $10,000 to $25,000.
- Requiring the council of unit owners to inform each unit owner annually in writing of their responsibility for the property insurance deductible and the amount of the deductible.
- Stating that the deductible amount exceeding the $25,000 responsibility of the unit owner is a common expense.

The act is set to take effect on October 1, 2025.

This is a cost shift.

House Bill 456, titled "Civil Actions - Child Nonsexual Abuse and Neglect - Damages and Statute of Limitations," proposes changes to the statute of limitations and damages in civil actions related to child nonsexual abuse and neglect in Maryland. Key provisions include:

- Establishing a statute of limitations for civil actions related to child nonsexual abuse and neglect.
- Setting limitations on damages that may be awarded under this Act.
- Allowing certain parties to appeal interlocutory orders under specific circumstances.
- Applying the Act prospectively and retroactively to certain actions previously barred by the statute of limitations.

The act is set to take effect on October 1, 2025.

- Establishing an appeal process for persons subject to the digital advertising gross revenues tax who receive a notice of assessment from the Comptroller.
- Authorizing the Comptroller or the Comptroller's designee to issue an order to correct an erroneous assessment of the digital advertising gross revenues tax, subject to certain conditions.

The act is set to take effect on January 1, 2026.

- Establishing an appeal process for persons subject to the digital advertising gross revenues tax who receive a notice of assessment from the Comptroller.
- Authorizing the Comptroller or the Comptroller's designee to issue an order to correct an erroneous assessment of the digital advertising gross revenues tax, subject to certain conditions.

The act is set to take effect on January 1, 2026.

- Establishing the Maryland Connectivity Coalition to foster collaboration among state and federal agencies, NGOs, and other stakeholders.
- Creating the Wildlife Connectivity Fund to protect threatened and endangered species and reduce collisions between vehicles and wildlife.
- Requiring the State Highway Administration to include wildlife crossings in each consolidated transportation plan.
- Mandating counties and local jurisdictions to consider wildlife movement and habitat connectivity when enacting, adopting, amending, or executing a comprehensive plan.

The act is set to take effect on July 1, 2025.

- Establishing rules of interpretation related to the uniformed services.
- Altering the rule of interpretation for "veteran."
- Applying certain provisions of law to all uniformed services, rather than only the armed forces.

The act is set to take effect on October 1, 2025.

Key Provisions:

1. Maryland Health Benefit Exchange Fund:

   • Section 31-107 (Page 2-5): Establishes the Maryland Health Benefit Exchange Fund to support various health programs, including the new State-Based Health Insurance Subsidies Program.

2. State-Based Health Insurance Subsidies Program:

   • Section 31-125 (Page 6-7): Mandates the creation of a program to provide subsidies to individuals purchasing health insurance in the individual market, particularly to mitigate the impact of reduced federal advance premium tax credits.

3. Program Design and Implementation:

   • Section 31-125(c) (Page 7): The program must maintain affordability and target individuals affected by increased premium percentages in 2026 and 2027 compared to 2025.

4. Funding and Expenditures:

   • Section 31-107(f) (Page 4-5): Specifies that the fund can be used for the new subsidies program in fiscal years 2026 through 2028.

5. Contingency and Effective Dates:

   • Section 2 (Page 8): The act is contingent on the federal government reducing or eliminating advance premium tax credits, with specific conditions for notification and implementation.

Effective Date:

• General Provisions: Effective June 1, 2025, and remains in effect until June 30, 2028, subject to the conditions outlined in Section 2.

Purpose: State-Based Health Insurance Subsidies: Establish subsidies to mitigate the impact of reduced federal advance premium tax credits. Key Provisions: Program Implementation: Maryland Health Benefit Exchange to implement the program. Provide funding from the Maryland Health Benefit Exchange Fund. Consumer Protections: Maintain affordability for individuals purchasing health benefit plans. Target individuals experiencing increased premium percentages in 2026 compared to 2025. Funding and Expenditures: Use the Maryland Health Benefit Exchange Fund for subsidies in fiscal years 2026 and 2027. Reporting and Tracking: Monthly Tracking: Track expenditures, average number of subsidy recipients, average subsidy amounts, and impact on rates. Post tracking information on the Exchange website and include it in the annual report. Effective Date: July 1, 2025

Floor amendments removed language re: RBC requirements and reports by MAIF. I am unclear what the intent is at this time.

Purpose: Automobile Insurance Fund and Affordability Study: Regulate and review the Maryland Automobile Insurance Fund's financial practices and conduct a study on the affordability of automobile insurance. Key Provisions: Risk-Based Capital Level: The Fund must calculate and report its risk-based capital level. Maintain total adjusted capital above the company action level RBC. Rate Determination and Filing: Subject to prior approval rate making for specific periods. Review and approve the Fund's RBC plan if total adjusted capital falls below certain levels. Workgroup on Affordability: Establish a workgroup to study automobile insurance affordability. Include members from the Senate, House of Delegates, Maryland Insurance Administration, and other relevant stakeholders. Report findings and recommendations to the Governor and General Assembly by January 1, 2026. Effective Date

2/14 Met with Chair Clippinger. He said it was discussed as a 50% tax but was drafted differently. He sponsored as a courtesy to Chairman Barnes. I got the sense that the bill was not going anywhere.

Purpose: Punitive Damage Awards in Civil Actions: Regulate the awarding of punitive damages in civil cases by defining criteria and imposing a surcharge. Key Provisions: Gross Negligence Requirement: Punitive damages may be awarded only if the plaintiff proves by clear and convincing evidence that the defendant acted with gross negligence. Surcharge on Punitive Damages: State Court Administrator will assess a surcharge equal to 50% of the punitive damages award. The surcharge is paid by the defendant and deposited into the Blueprint for Maryland's Future Fund. The jury will not be informed of the surcharge. Implementation: Effective Date: October 1, 2025. Application: Applies prospectively and does not affect actions filed before the effective date.

Bill was amended to apply only to homeowner's and renter's insurance. Is not crossfiled. We will lobby Chair Beidle (former insurance agent) in the Senate Finance Committee.

Key Provisions:

1. Detention and Transfer of Covered Individuals:

   • Section 9-309 (Page 2-3): Defines "covered individual" and mandates that state or local correctional facilities provide notice of the release of a covered individual to federal immigration authorities within 48 hours before the release.

2. Prohibition on Immigration Enforcement Agreements:

   • Section 5-104.1 (Page 5-6): Prohibits the state, local governments, and county sheriffs from entering into or maintaining immigration enforcement agreements with the federal government. Existing agreements must be terminated by July 1, 2025.

3. Law Enforcement Restrictions:

   • Section 5-104 (Page 4-5): Restricts law enforcement agents from inquiring about an individual's citizenship or immigration status during routine police functions, with specific exceptions for criminal investigations and protections under state or federal law.

Effective Date:

• General Provisions: Effective June 1, 2025.

- Requiring electric bicycles to be titled and registered by the Motor Vehicle Administration.
- Mandating that applications for certificates of title and registration for electric bicycles be submitted electronically.
- Requiring electric bicycle owners to maintain certain security.
- Allowing insurers to exclude certain benefits from policies for electric bicycles.

The act is set to take effect on October 1, 2025.

Senate Bill 49, titled "Consumer Protection - Automatic Renewals," proposes changes to the regulation of automatic renewal offers in Maryland. Key provisions include:

- Requiring clear and conspicuous presentation of the terms of the automatic renewal offer before the subscription or purchasing agreement is fulfilled.
- Providing consumers with an easily accessible disclosure of the methods to cancel the automatic renewal.
- Allowing consumers to terminate the offer in a manner that does not delay, hinder, or obstruct their ability to terminate the automatic renewal.
- Requiring notice to consumers before the automatic renewal takes effect.
- Prohibiting automatic charges to a consumer's credit card without clear and conspicuous notice.
- Establishing that compliance with certain regulations shall be considered compliance with this Act.
- Establishing that a violation of this Act is an unfair, abusive, or deceptive trade practice.

The act is set to take effect on October 1, 2025.

- Establishing that certain firefighters, fire fighting instructors, rescue squad members, advanced life support unit members, and members of the Office of the State Fire Marshal are presumed to have hypertension for purposes of an occupational disease presumption if certain requirements are met.
- Defining the criteria for demonstrating disablement and hypertension under the workers' compensation law.

The act is set to take effect on October 1, 2025.

- Requiring the Workers' Compensation Commission to make the Fund a party to a claim filed against an uninsured employer.
- Authorizing a covered employee or the dependents of a covered employee to apply to the Director of the Fund for payment from the Fund.
- Altering requirements related to notice of claims, raising of issues, payment of awards, and reimbursement of awards.
- Requiring the Fund to pay certain additional awards under certain circumstances.

The act is set to take effect on July 1, 2025.

- Repealing the requirement for the Insurance Commissioner to approve certain instructional programs.
- Requiring instructional programs to provide a comprehensive and accurate explanation of the insurance product.
- Mandating insurers to maintain records of the instructional programs and make them available to the Insurance Commissioner upon request.

The act is set to take effect on October 1, 2025.

- Requiring the State Workers' Compensation Commission to regulate fees and other charges for the reimbursement of prescription drugs and pharmaceutical services.
- Limiting reimbursements to an index or indexes based on acquisition cost, calculated on a per unit basis, as of the date of dispensing, and may include reasonable dispensing fees.

The act is set to take effect on October 1, 2025.

Effective Date is 10/1/25.

- Altering the reimbursement limit on certain grant awards to members of the National Guard for the cost of health care and dental care premiums.
- Generally relating to the Tricare Premium Reimbursement Program.

The act is set to take effect on July 1, 2024.

- Requiring each testing facility in the state to be licensed by the Department of Agriculture to use animals in research, education, or testing.
- Establishing requirements for the use and treatment of dogs or cats by a testing facility.
- Prohibiting a testing facility from using certain dogs and cats for research or testing purposes and performing certain procedures on dogs or cats.
- Prohibiting a testing facility from using traditional animal test methods under certain circumstances.
- Prohibiting a testing facility from conducting a canine or feline toxicological experiment under certain circumstances.
- Applying certain provisions of law regarding the adoption of dogs and cats used for scientific research purposes to testing facilities.
- Establishing a State Inspector of Animal Welfare in the Department to inspect certain testing facilities.
- Requiring a testing facility to notify the State Inspector of certain violations.
- Requiring a school or an institution of higher education that uses animals for certain purposes to submit a report on the results of certain inspections to the General Assembly on or before a certain date each year.
- Establishing the Animals in Research Fund as a special, nonlapsing fund.
- Requiring interest earnings of the Fund to be credited to the Fund.

The act is set to take effect on October 1, 2025.

- Repealing certain provisions of law authorizing a peer-to-peer car sharing program's motor vehicle liability insurance policy on a replacement vehicle to be secondary coverage for a shared vehicle driver.
- Altering certain motor vehicle liability insurance requirements applicable to peer-to-peer car sharing programs.
- Providing that the Maryland Automobile Insurance Fund is not required to provide coverage to a shared vehicle driver for the use of a shared vehicle that is not a replacement vehicle.
- Requiring certain insurance coverage to be in a certain amount up to certain minimum coverage amounts if a claim arises out of an occurrence during the car sharing period in another state that has higher minimum financial responsibility limits.
- Repealing certain provisions of law prohibiting certain insurers from taking certain actions with respect to a personal motor vehicle liability insurance policy of a shared vehicle owner solely on the basis that a certain vehicle has been made available for sharing through a peer-to-peer car sharing program except under certain circumstances.
- Providing that certain provisions of law do not invalidate or limit exclusions contained in a motor vehicle liability insurance policy.
- Authorizing a peer-to-peer car sharing program to transfer monetary liability and charge a shared vehicle driver for certain tolls, fees, charges, or fines imposed under certain circumstances.
- Excluding a peer-to-peer car sharing program from the definition of "owner" for purposes of citations issued for violations recorded by a traffic control signal monitoring system.

The act is set to take effect on October 1, 2025.

Purpose: Regulate Telematics in Vehicle Insurance: Ensure transparency and fairness in the use of telematics systems by insurers. Key Provisions: Telematics Disclosure: Insurers must disclose the use of telematics to policyholders. Data Collection Limits: The Maryland Insurance Administration will limit the types and amounts of data collected through telematics. Use of Telematics Data: Prohibits insurers from using telematics data to set premiums or make decisions about policy cancellations, non-renewals, or underwriting. Appeals Process: Establishes a process for policyholders to correct or appeal erroneous telematics data. Regulatory Oversight: Requires periodic audits and reports on the use of telematics systems to ensure fairness and accuracy. Effective Date: October 1, 2025.