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Terms Used In Maryland Code, INSURANCE 26-402

  • Contract: A legal written agreement that becomes binding when signed.
  • state: means :

    (1) a state, possession, territory, or commonwealth of the United States; or

    (2) the District of Columbia. See
(a) Each motor club shall provide to its members:

(1) a service contract;

(2) a membership card; and

(3) the following information:

(i) the exact name of the motor club;

(ii) the street address of the motor club’s home office;

(iii) the street address of the motor club’s principal place of business in the State;

(iv) the telephone numbers of the motor club’s home and business offices; and

(v) a description of the motor club services or benefits to which the member is entitled.

(b) Unless a motor club provides and the Commissioner approves another form of service contract, the service contract consists of:

(1) the completed application or renewal application of the motor club;

(2) the filed fees to be charged to members of the motor club; and

(3) the description of motor club services or benefits to which the members are entitled.

(c) A service contract may not:

(1) contain inconsistent, ambiguous, or misleading clauses, exceptions, or conditions that deceptively affect the risk purported to be assumed or the motor club service to be performed;

(2) contain an inequitable provision that does not have a substantial benefit to the member;

(3) require the payment of fees that are unreasonable in relation to the motor club service agreed to be performed; or

(4) offer reimbursement only, unless the contract clearly states that emergency road service will not be provided.