Legislation
SECTION 5105
Settlement between insurers
Insurance (ISC) CHAPTER 28, ARTICLE 51
§ 5105. Settlement between insurers. (a) Any insurer liable for the
payment of first party benefits to or on behalf of a covered person and
any compensation provider paying benefits in lieu of first party
benefits which another insurer would otherwise be obligated to pay
pursuant to subsection (a) of section five thousand one hundred three of
this article or section five thousand two hundred twenty-one of this
chapter has the right to recover the amount paid from the insurer of any
other covered person to the extent that such other covered person would
have been liable, but for the provisions of this article, to pay damages
in an action at law. In any case, the right to recover exists only if at
least one of the motor vehicles involved is a motor vehicle weighing
more than six thousand five hundred pounds unloaded or is a motor
vehicle used principally for the transportation of persons or property
for hire. However, in the case of occupants of a bus other than
operators, owners, and employees of the owner or operator of the bus, an
insurer which, pursuant to paragraph one of subsection (a) of section
five thousand one hundred three of this article, provides coverage for
first party benefits for such occupants under a policy providing first
party benefits to the injured person and members of his household for
loss arising out of the use or operation of any vehicle of such
household, shall have no right to recover the amount of such benefits
from the insurer of such bus.
(b) The sole remedy of any insurer or compensation provider to recover
on a claim arising pursuant to subsection (a) hereof, shall be the
submission of the controversy to mandatory arbitration pursuant to
procedures promulgated or approved by the superintendent. Such
procedures shall also be utilized to resolve all disputes arising
between insurers concerning their responsibility for the payment of
first party benefits.
(c) The liability of an insurer imposed by this section shall not
affect or diminish its obligations under any policy of bodily injury
liability insurance.
payment of first party benefits to or on behalf of a covered person and
any compensation provider paying benefits in lieu of first party
benefits which another insurer would otherwise be obligated to pay
pursuant to subsection (a) of section five thousand one hundred three of
this article or section five thousand two hundred twenty-one of this
chapter has the right to recover the amount paid from the insurer of any
other covered person to the extent that such other covered person would
have been liable, but for the provisions of this article, to pay damages
in an action at law. In any case, the right to recover exists only if at
least one of the motor vehicles involved is a motor vehicle weighing
more than six thousand five hundred pounds unloaded or is a motor
vehicle used principally for the transportation of persons or property
for hire. However, in the case of occupants of a bus other than
operators, owners, and employees of the owner or operator of the bus, an
insurer which, pursuant to paragraph one of subsection (a) of section
five thousand one hundred three of this article, provides coverage for
first party benefits for such occupants under a policy providing first
party benefits to the injured person and members of his household for
loss arising out of the use or operation of any vehicle of such
household, shall have no right to recover the amount of such benefits
from the insurer of such bus.
(b) The sole remedy of any insurer or compensation provider to recover
on a claim arising pursuant to subsection (a) hereof, shall be the
submission of the controversy to mandatory arbitration pursuant to
procedures promulgated or approved by the superintendent. Such
procedures shall also be utilized to resolve all disputes arising
between insurers concerning their responsibility for the payment of
first party benefits.
(c) The liability of an insurer imposed by this section shall not
affect or diminish its obligations under any policy of bodily injury
liability insurance.