Section 11-317 - Statement of rate classifications. - Maryland Statutes

§ 11-317. Statement of rate classifications.
 

(a)  Definitions.- In this section, "increase in a policy premium" includes an increase in premium due to: 

(1) a surcharge; 

(2) retiering or other reclassification of an insured; or 

(3) removal or reduction of a discount. 

(b)  In general.- Each insurer that provides a private passenger automobile insurance policy shall provide to the policyholder at the time of issuance or renewal of the policy a statement that: 

(1) defines the policyholder's rate classifications; 

(2) if the insurer is an authorized insurer includes a summary, in a form approved by the Commissioner, of the insurer's approved surcharge plan or driver record point plan for that policy; and 

(3) includes a section that provides a general description of the factors, including credit information if applicable, that may cause or contribute to an increase in a policy premium. 

(c)  Effect of statement.- The statement must be sufficiently clear and specific so that an individual of average intelligence can identify the classifications without making further inquiry. 

(d)  Availability of statement.- An insurer that markets private passenger automobile insurance through insurance producers shall make available to its producers a copy of the statement required under this section. 
 

[An. Code 1957, art. 48A, § 244D; 1997, ch. 35, § 2; 2002, ch. 553.]