Md. Code, Insurance § 23-306
This is the official text of Md. Code, Insurance § 23-306, part of Maryland’s Code, Insurance — regulates insurance companies and the policies they sell.
Not legal advice. This page reproduces the official text of a government statute for reference only. Laws change, and how a statute applies depends on your specific facts. For advice about your situation, consult a licensed attorney in your state.
§23–306.
Official statutory text
(a) A premium finance agreement may require the insured to pay a delinquency and collection charge on each installment that is in default for a period of not less than 5 days.
(b) A delinquency and collection charge shall be at least $1, up to a maximum of 5% of the installment in default, but may not exceed:
(1) $8, with respect to private passenger automobile or personal fire or liability insurance; and
(2) $100, with respect to commercial automobile, fire, or liability insurance.
(c) Only one delinquency and collection charge may be collected on an installment, regardless of the period during which the installment remains in default.
(b) A delinquency and collection charge shall be at least $1, up to a maximum of 5% of the installment in default, but may not exceed:
(1) $8, with respect to private passenger automobile or personal fire or liability insurance; and
(2) $100, with respect to commercial automobile, fire, or liability insurance.
(c) Only one delinquency and collection charge may be collected on an installment, regardless of the period during which the installment remains in default.
Status: in_force · Read it on the official government site
Need a lawyer in Maryland?
Find a Maryland lawyer
About this page: Statute text is reproduced from official government publishers via the
Open US Law dataset
(Vaquill AI, snapshot v2026.08, CC BY 4.0). Primary legislative text like this is public domain under the government-edicts doctrine
(Georgia v. Public.Resource.Org, 2020). We link every section back to its official source so you can verify it independently.