Ch. 35

1997 LAWS OF MARYLAND

(C) CAPITAL STOCK, ASSETS, OR COMMON MANAGEMENT.

AN INSURER MAY NOT ACQUIRE OR RETAIN THE CAPITAL STOCK OR ASSETS
OF, OR HAVE ANY COMMON MANAGEMENT WITH, ANOTHER INSURER IF THE
ACQUISITION, RETENTION, OR COMMON MANAGEMENT SUBSTANTIALLY LESSENS
COMPETITION IN THE BUSINESS OF A KIND OF INSURANCE, SUBDIVISION, OR CLASS
OF INSURANCE.

(D) INTERFERENCE WITH INDEPENDENT RATE-MAKING.

A RATING ORGANIZATION OR MEMBER OR SUBSCRIBER OF A RATING
ORGANIZATION MAY NOT INTERFERE WITH THE RIGHT OF AN INSURER TO MAKE
ITS RATES INDEPENDENTLY OF THE RATING ORGANIZATION OR TO CHARGE
DIFFERENT RATES FROM THE RATES MADE BY THE RATING ORGANIZATION.

(E) PROHIBITED RULES, AGREEMENTS, AND PROGRAMS.

A RATING ORGANIZATION MAY NOT ADOPT A RULE, REQUIRE AN
AGREEMENT, OR FORMULATE OR ENGAGE IN A PROGRAM THAT WOULD REQUIRE
A MEMBER, SUBSCRIBER, OR INSURER TO:

(1) USE SOME OR ALL OF ITS SERVICES;

(2) ADHERE TO ITS RATES, RATING PLAN, RATING SYSTEMS,
UNDERWRITING RULES, OR POLICY FORMS; OR

(3) PREVENT AN INSURER FROM ACTING INDEPENDENTLY.

(F) DISAPPROVAL OF RATES IN VIOLATION OF SECTION; PENALTIES.

(1) THE COMMISSIONER SHALL DISAPPROVE A RATE IN VIOLATION OF
THIS SECTION IN ACCORDANCE WITH THE PROCEDURES REQUIRED BY § 11-308(A)
OF THIS SUBTITLE.

(2) A PERSON THAT VIOLATES THIS SECTION IS SUBJECT TO THE
PENALTIES PROVIDED IN § 11-344 OF THIS SUBTITLE.

(G) INJUNCTION AUTHORIZED.

THE COMMISSIONER MAY MAINTAIN AN ACTION TO ENJOIN A VIOLATION OF
THIS SECTION.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, §§ 244M, 244N, and 244-0.

Defined terms: "Commissioner" § 1-101
"Control" § 1-101
"Insurance" § 1-101
"Insurer" § 1-101
"Person" § 1-101
"Policy" § 1-101
"Rate" § 11-101
"Rating organization" § 11-101

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