PARRIS N. GLENDENING, Governor

Ch. 35

(1) THE PENALTIES IMPOSED UNDER THIS SECTION MAY BE IMPOSED
SEPARATELY FROM AND CONSECUTIVELY TO OR CONCURRENTLY WITH A
SENTENCE FOR ANOTHER OFFENSE BASED ON THE ACT THAT CONSTITUTES A
VIOLATION OF THIS SUBTITLE.

(2) EACH ACT OF SOLICITATION UNDER § 27-407 OF THIS SUBTITLE
CONSTITUTES A SEPARATE VIOLATION FOR PURPOSES OF THE PENALTIES IMPOSED
UNDER THIS SECTION.

(3) NOTWITHSTANDING ANY OTHER PROVISION OF LAW, A FINE
IMPOSED UNDER THIS SECTION IS MANDATORY AND NOT SUBJECT TO SUSPENSION.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 233(g) and (h).

Defined terms: "Claim" § 27-401
"Person" § 1-101

SUBTITLE 5. DISCRIMINATION.
27-501. DISCRIMINATION IN UNDERWRITING.

(A) IN GENERAL.

(1) AN INSURER, AGENT, OR BROKER MAY NOT CANCEL OR REFUSE TO
UNDERWRITE OR RENEW A PARTICULAR INSURANCE RISK OR CLASS OF RISK FOR A
REASON BASED WHOLLY OR PARTLY ON RACE, COLOR, CREED, SEX, OR BLINDNESS
OF AN APPLICANT OR POLICYHOLDER OR FOR ANY ARBITRARY, CAPRICIOUS, OR
UNFAIRLY DISCRIMINATORY REASON.

(2) AN INSURER, AGENT, OR BROKER MAY NOT CANCEL OR REFUSE TO
UNDERWRITE OR RENEW A PARTICULAR INSURANCE RISK OR CLASS OF RISK
EXCEPT BY THE APPLICATION OF STANDARDS THAT ARE REASONABLY RELATED TO
THE INSURER'S ECONOMIC AND BUSINESS PURPOSES.

(B) SPECIAL CONDITIONS, FACTS, OR SITUATIONS PROHIBITED.

(1) AN INSURER MAY NOT REQUIRE SPECIAL CONDITIONS, FACTS, OR
SITUATIONS AS A CONDITION TO ITS ACCEPTANCE OR RENEWAL OF A PARTICULAR
INSURANCE RISK OR CLASS OF RISKS IN AN ARBITRARY, CAPRICIOUS, UNFAIR, OR
DISCRIMINATORY MANNER BASED WHOLLY OR PARTLY ON RACE, CREED, COLOR,
SEX, RELIGION, NATIONAL ORIGIN, PLACE OF RESIDENCY, BLINDNESS, OR OTHER
PHYSICAL HANDICAP OR DISABILITY.

(2) ACTUARIAL JUSTIFICATION MAY BE CONSIDERED WITH RESPECT

TO SEX.

(C) PROHIBITED INQUIRIES.

- 1231 -