PARRIS N. GLENDENING, Governor                              Ch. 348

(I) INFLATIONARY FACTORS, UNRELATED TO ANY COST
CONTAINMENT MEASURES APPLICABLE TO INSURERS UNDER THIS ARTICLE, WHICH
SERVE TO INCREASE INSURANCE RATES GENERALLY; AND

(II) FACTORS SPECIFIC TO A PARTICULAR INSURER WHICH
RESULT IN ACTUARIALLY JUSTIFIED RATES EVEN THOUGH THE RATES ARE NOT IN
COMPLIANCE WITH PARAGRAPH (1) OF THIS SUBSECTION.

(4)     AT A HEARING HELD TO DETERMINE WHETHER RATES ARE
EXCESSIVE UNDER THIS SUBSECTION, THE BURDEN OF PERSUASION SHALL BE ON
THE INSURER TO ESTABLISH THAT THE RATES IN QUESTION ARE NOT EXCESSIVE.

(5)     IF AFTER A HEARING THE COMMISSIONER DETERMINES A RATE TO
BE EXCESSIVE UNDER THIS SUBSECTION, THE DISAPPROVAL IS SUBJECT TO §
244-I(D) AND (E) OF THIS SUBTITLE.

(6) THE COMMISSIONER SHALL BY REGULATIONS ADOPTED OCTOBER
1, 1996, DETERMINE THE METHOD FOR CALCULATING THE STATEWIDE AVERAGE
RATE OF AN INSURER UNDER SUBSECTION (F)(1).

244H.

(a) The Commissioner may investigate and determine whether or not rates in this
State for the kinds of insurance to which this subtitle applies are excessive, inadequate, or
unfairly discriminatory.

(b) In any such investigation and determination the Commissioner shall give due
consideration to those factors specified in § 244D of this subtitle.

244-I.

(a) If the Commissioner finds after a hearing that a rate is not in compliance with
§ 244D of this subtitle, or that a rate had been set in violation of § 244M of this subtitle,
the Commissioner shall order that its use be discontinued for any policy issued or
renewed after a date specified in the order and the order may prospectively provide for
premium adjustment of any policy then in force. Except as provided in subsection (b) of
this section, the order shall be issued within 30 days after the close of the hearing or
within a reasonable time extension as fixed by the Commissioner. The order shall expire
1 year after its effective date unless rescinded earlier by the Commissioner.

(b) (1) Pending a hearing, the Commissioner may order the suspension
prospectively of a rate filed by an insurer and reimpose the last previous rate in effect if
the Commissioner has reasonable cause to believe that:

(i) An insurer is in violation of § 244D of this subtitle;

(ii) Unless the order of suspension is issued, certain insureds will
suffer irreparable harm;

(iii) The hardship insureds will suffer absent the order of suspension
outweighs any hardship the insurers would suffer if the order of suspension were to issue;

and

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