3432

LAWS OF MARYLAND

Ch. 737

EXISTS WITHIN A MARKET, AND SHALL GIVE A RULING TO THAT EFFECT.
ALL INSURERS OPERATING WITHIN SUCH MARKET SHALL HAVE THE BURDEN
OF ESTABLISHING THAT A REASONABLE DEGREE OF COMPETITION EXISTS
WITHIN THAT MARKET. THE COMMISSIONER SHALL CONSIDER ALL RELEVANT
FACTORS IN DETERMINING THE COMPETITIVENESS OF A MARKET,
INCLUDING:

(I)  THE NUMBER OF INSURERS ACTIVELY ENGAGED IN
PROVIDING COVERAGE;

(II)  MARKET SHARES;

(III)  CHANGES IN MARKET SHARES; AND

(IV)  EASE OF ENTRY.

(2)  IF THE COMMISSIONER DETERMINES THAT A REASONABLE
DEGREE OF COMPETITION DOES NOT EXIST IN A MARKET, ANY INSURER
DESIGNATED BY THE COMMISSIONER SHALL HAVE THE BURDEN OF
JUSTIFYING ITS RATE IN SUCH MARKET.

(3)  ALL DETERMINATIONS MADE BY THE COMMISSIONER SHALL
BE ON THE BASIS OF FINDINGS OF FACT AND CONCLUSIONS OF LAW.

(4)  IF THE COMMISSIONER DISAPPROVES A RATE, THE
DISAPPROVAL SHALL TAKE EFFECT NOT LESS THAN 15 DAYS AFTER ITS
ORDER AND THE LAST PREVIOUS RATE IN EFFECT FOR THE INSURER SHALL
BE REIMPOSED FOR A PERIOD OF 1 YEAR UNLESS THE COMMISSIONER
APPROVES A RATE UNDER SUBSECTION (D) OR SUBSECTION (E) OF THIS
SECTION.

(D)  WITHIN 1 YEAR AFTER THE EFFECTIVE DATE OF A DISAPPROVAL
ORDER NO RATE ADOPTED TO REPLACE ONE DISAPPROVED UNDER SUCH ORDER
MAY BE USED UNTIL IT HAS BEEN FILED WITH THE COMMISSIONER AND NOT
DISAPPROVED WITHIN 30 DAYS THEREAFTER.

(E)  WHENEVER AN INSURER HAS NO LEGALLY EFFECTIVE RATES AS A
RESULT OF THE COMMISSIONER'S DISAPPROVAL OF RATES OR OTHER ACT,
THE COMMISSIONER SHALL ON THE INSURER'S REQUEST SPECIFY INTERIM
RATES FOR THE INSURER THAT ARE HIGH ENOUGH TO PROTECT THE
INTERESTS OF ALL PARTIES AND MAY ORDER THAT A SPECIFIED PORTION
OF THE PREMIUMS BE PLACED IN A SPECIAL RESERVE ESTABLISHED BY
INSURER. WHEN NEW RATES BECOME LEGALLY EFFECTIVE, THE
COMMISSIONER SHALL ORDER THE SPECIALLY RESERVED FUNDS OR ANY
OVERCHARGE IN THE INTERIM RATES TO BE DISTRIBUTED APPROPRIATELY,
EXCEPT THAT REFUNDS TO POLICYHOLDERS THAT ARE MINIMAL MAY NOT BE
REQUIRED.

244J.

(A) THE COMMISSIONER MAY BY ORDER REQUIRE THAT A PARTICULAR
INSURER FILE ANY OR ALL OF THE INSURER'S RATES AND SUPPLEMENTARY
RATE INFORMATION 30 DAYS PRIOR TO THEIR EFFECTIVE DATE, IF THE
COMMISSIONER FINDS AFTER A HEARING THAT THE PROTECTION OF THE
INTERESTS OF ITS INSUREDS AND THE PUBLIC IN THIS STATE REQUIRES