Ch. 35

1997 LAWS OF MARYLAND

27-213. TWISTING PROHIBITED.

A PERSON MAY NOT MAKE, ISSUE, OR CAUSE TO BE MADE OR ISSUED AN ORAL
OR WRITTEN STATEMENT THAT MISREPRESENTS OR MAKES INCOMPLETE
COMPARISONS ABOUT THE TERMS, CONDITIONS, OR BENEFITS CONTAINED IN A
POLICY FOR THE PURPOSE OF INDUCING OR ATTEMPTING OR TENDING TO INDUCE
THE POLICYHOLDER TO FORFEIT, SURRENDER, RETAIN, EXCHANGE, OR CONVERT
A POLICY OR ALLOW A POLICY TO LAPSE.

REVISOR'S NOTE: This section formerly was Art. 48A, § 227.

The only changes are in style.

Defined terms: "Person" § 1-101
"Policy" § 1-101

27-214. COERCED OR TIE-IN SALES.

(A) IN GENERAL.

(1) A PERSON MAY NOT REQUIRE ANOTHER PERSON TO BUY
INSURANCE THROUGH A PARTICULAR AGENT, BROKER, OR INSURER AS A
CONDITION, AGREEMENT, OR UNDERSTANDING WITH RESPECT TO SELLING OR
PROVIDING A LOAN, CREDIT, SALE, GOODS, PROPERTY, CONTRACT, LEASE, OR
SERVICE TO THE OTHER PERSON.

(2) AN AGENT, BROKER, OR INSURER MAY NOT PARTICIPATE IN A
COMBINATION PLAN OR TRANSACTION PROHIBITED BY PARAGRAPH (1) OF THIS
SUBSECTION.

(B) SOLICITATION.

(1) A PERSON MAY NOT SOLICIT THE COMBINATION OF INSURANCE
AND OTHER MATTERS PROHIBITED BY SUBSECTION (A) OF THIS SECTION.

(2) AN AGENT, BROKER, OR INSURER MAY NOT PARTICIPATE IN A PLAN
OF PUBLIC SOLICITATION OF THE COMBINATION OF INSURANCE AND OTHER
MATTERS PROHIBITED BY SUBSECTION (A) OF THIS SECTION.

(3) THIS SUBSECTION DOES NOT PROHIBIT A PERSON FROM BEING AN
AGENT OR BROKER AND ENGAGING IN ANOTHER BUSINESS AT THE SAME TIME OR
PLACE IF:

(I) THE SALES OF INSURANCE AND OTHER MATTERS ARE NOT
COMBINED OR COERCED AS PROHIBITED BY SUBSECTION (A) OF THIS SECTION; AND

(II) THE BUYER OR OTHER PERSON HAS THE FREE CHOICE OF

INSURANCE.

(C) EFFECT OF VIOLATION.

(1) VIOLATION OF THIS SECTION DOES NOT INVALIDATE ANY
CONTRACT OR TRANSACTION.

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