Chapter 12 Insurer Transactions With Unappointed Persons—General Business Practices

Chapter 12 Insurer Transactions With Unappointed Persons—General Business Practices | Library of Maryland Regulations

Skip to main content

Library of Maryland Regulations

Toggle mobile menu

Navigation

Library of Maryland Regulations

Code of Maryland Regulations

Title 31 MARYLAND INSURANCE ADMINISTRATION

Subtitle 04 INSURERS

Chapter 12 Insurer Transactions With Unappointed Persons—General Business Practices

Code of Maryland Regulations

Chapter 12 Insurer Transactions With Unappointed Persons—General Business Practices

Administrative History Effective date: September 1, 1967 Amended effective May 1, 1968 Chapter, Binders—Motor Vehicle Liability Insurance, repealed effective December 26, 1988 (15:26 Md. R. 2982) —————— Regulations .01 — .03 , Insurer Transactions with Unappointed Persons—General Business Practices, adopted effective March 16, 1992 (19:5 Md. R. 576) —————— Chapter recodified from COMAR 09.30.47 to COMAR 31.04.12 effective September 7, 1998 (25:18 Md. R. 1439) Authority Insurance Article, §§ 2-109 and 4-113 (b)( 11 ) and (e), Annotated Code of Maryland

.01 Methodology. The methodology in Regulation .02 of this chapter shall be used to determine whether an insurer has engaged in accepting business from a person who does not have an appointment from the insurer with such frequency as to constitute a general business practice within the meaning of Insurance Article, §4-113(b)(11), Annotated Code of Maryland .

.02 Frequency of Practice. It shall be considered prima facie evidence of a general business practice of violating Insurance Article, §4-113(b)(11), Annotated Code of Maryland , if in any 12-month period it is found that the number of transactions violating Insurance Article, §4-113(b)(11), by foreign insurers for policies issued to Maryland residents, or by domestic insurers for all policies written, equals or exceeds the following: A. Five transactions with a single person who does not have an appointment from the insurer; or B. One or more transactions with five or more people who do not have appointments from the insurer.

.03 Overcoming the Presumption. An insurer may overcome the presumption that a general business practice of violating Insurance Article, §4-113(b)(11), Annotated Code of Maryland , exists by presenting evidence to the Commissioner relating to the insurer's intent, the nature of the violations, and any other relevant factors.

Previous Chapter 11 Newspaper Advertisements by Unauthorized Insurers [Repealed]

Next Chapter 13 Insurance-Producer-Controlled Business

This version of the laws and codes on this website is licensed under the CC BY-NC-SA 4.0 license with copyright held by the State of Maryland. This version of the laws and codes on this website will be dedicated to the public domain under the CC0 1.0 license 180 days after publication.

Please do not scrape. Instead, bulk download the CC BY-NC-SA-4.0 HTML or XML or CC0 HTML or XML . Powered by the non-profit Open Law Library .