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§ 8-107. Controlled insurers prohibited from charging unjustifiably low premiums

West's Annotated Code of MarylandInsurance

West's Annotated Code of Maryland
Insurance (Refs & Annos)
Title 8. Entities that Act as Insurers
Subtitle 1. Broker Controlled Business (Refs & Annos)
MD Code, Insurance, § 8-107
§ 8-107. Controlled insurers prohibited from charging unjustifiably low premiums
Currentness
In general
(a)(1) With respect to insurance business placed by its controlling insurance producer, the controlled insurer may not engage in a pattern of charging premiums that are unjustifiably lower than those being charged by the controlled insurer or other insurers for similar risks written during the same period and placed by noncontrolling insurance producers.
(2) When determining whether premiums are unjustifiably lower than those prevailing in the market, the Commissioner shall take into consideration applicable industry or actuarial standards at the time the insurance business was written.
Underwriting procedures established by controlled insurer
(b) With respect to insurance business placed by its controlling insurance producer, the controlled insurer shall establish underwriting procedures and may not deviate from them.
Compliance with criteria set by Commissioner and applicable insurance laws
(c) A controlled insurer's capitalization at the time insurance business is placed by the controlling insurance producer and with respect to that insurance business shall comply with:
(1) criteria set by the Commissioner; and
(2) all applicable insurance laws.

Credits

Added by Acts 1995, c. 36, § 1, eff. Oct. 1, 1997. Amended by Acts 2001, c. 731, § 1, eff. July 2, 2001.
Formerly Art. 48A, § 662.
MD Code, Insurance, § 8-107, MD INSURANCE § 8-107
Current with legislation effective through October 1, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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