Ch. 35

1997 LAWS OF MARYLAND

(B) IN GENERAL.

AN INSURER MAY NOT DIRECTLY OR INDIRECTLY, OR BY AN AGENT OR
REPRESENTATIVE OF THE INSURER, PARTICIPATE IN A PLAN TO OFFER OR EFFECT
A KIND OR KINDS OF LIFE INSURANCE, HEALTH INSURANCE, OR ANNUITIES IN THE
STATE AS AN INDUCEMENT TO, OR IN COMBINATION WITH, THE PURCHASE BY THE
PUBLIC OF GOODS, SECURITIES, COMMODITIES, SERVICES, OR SUBSCRIPTIONS TO
PERIODICALS.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 224A.

In subsection (a)(1) of this section, the former phrase "pursuant to" is deleted
as included in the phrase "in connection with".

Defined terms: "Agent" § 1-101
"Annuity" § 1-101
"Health insurance" § 1-101
"Insurance" § 1-101
"Insurer" § 1-101
"Life insurance" § 1-101
"Policy" § 1-101

27-212. REBATES AND UNFAIR DISCRIMINATION - INSURANCE OTHER THAN LIFE
INSURANCE, HEALTH INSURANCE, AND ANNUITIES.

(A) SCOPE OF SECTION.

THIS SECTION DOES NOT APPLY TO LIFE INSURANCE, HEALTH INSURANCE,
AND ANNUITIES.

(B) REBATES — IN GENERAL.

EXCEPT TO THE EXTENT PROVIDED FOR IN AN APPLICABLE FILING WITH THE
COMMISSIONER AS PROVIDED BY LAW, AN INSURER, EMPLOYEE OR
REPRESENTATIVE OF AN INSURER, AGENT, OR BROKER MAY NOT PAY, ALLOW,
GIVE, OR OFFER TO PAY, ALLOW, OR GIVE DIRECTLY OR INDIRECTLY AS AN
INDUCEMENT TO INSURANCE OR AFTER INSURANCE HAS BECOME EFFECTIVE:

(1) A REBATE, DISCOUNT, ABATEMENT, CREDIT, OR REDUCTION OF
THE PREMIUM STATED IN THE POLICY;

(2) A SPECIAL FAVOR OR ADVANTAGE IN THE DIVIDENDS OR OTHER
BENEFITS TO ACCRUE ON THE POLICY; OR

(3) ANY VALUABLE CONSIDERATION OR OTHER INDUCEMENT NOT
SPECIFIED IN THE POLICY.

(C) SAME — ACCEPTANCE BY INSURED.

AN INSURED NAMED IN A POLICY OR AN EMPLOYEE OF THE INSURED MAY
NOT KNOWINGLY RECEIVE OR ACCEPT DIRECTLY OR INDIRECTLY A REBATE,

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