1. A. Applicability to Binders. This regulation applies to a binder only if the binder has been in effect for at least 45 days.

2. B. Contents of Statement. If an insurer cancels, refuses to renew, increases a premium for, or reduces coverage under a policy or binder of private passenger motor vehicle liability insurance, the statement of actual reason required by Insurance Article, §§27-613 or 27-614, Annotated Code of Maryland, shall include at a minimum:

   1. (1) If the action of the insurer is due wholly or partly to an accident:

      1. (a) The name of the driver;
      2. (b) The date of the accident; and
      3. (c) If fault is a material factor for the insurer's action, a statement that the driver was at fault.

   2. (2) If the action of the insurer is due wholly or partly to a violation of Maryland vehicle law or the vehicle laws of another state:

      1. (a) The name of the driver;
      2. (b) The date of the violation; and
      3. (c) A description of the violation.

   3. (3) If the action of the insurer is due wholly or partly to the claims history of an insured:

      1. (a) The date that the claim that is the basis of the insurer's action occurred; and

      2. (b) A description of each claim, such as:

         1. (i) “Theft of vehicle on [date]”;
         2. (ii) “Vandalism of vehicle on [date]”; or
         3. (iii) “Towing claim on [date]”; or

   4. (4) If the action of the insurer is due wholly or partly to a reason other than those described in §B(1)—(3) of this regulation or to a violation of the terms and conditions of the policy or the underwriting standards of the insurer, a description of the action of the insured that is the basis of the insurer's action, such as:

      1. (a) “Insured loans the insured vehicle to an excluded driver”; or
      2. (b) “Insured loans the insured vehicle to a non-listed driver”.
3. C. In addition to the information required by §B of this regulation, with respect to a cancellation or nonrenewal, the statement of actual reason required by Insurance Article, §27-613, Annotated Code of Maryland, shall include a statement that the action by the insured that is the basis of the cancellation or nonrenewal violates the insurer's rating criteria or underwriting standards.

Authority: Insurance Article, §§2-109, 11-318, 27-609, 27-613, and 27-614, Annotated Code of Maryland

Effective date: July 1, 1979 (6:13 Md. R. 1125)

Regulation .01 repealed and new Regulation .01 adopted effective February 4, 1991 (18:2 Md. R. 149)

Regulation .03 amended and .04 adopted effective December 17, 1984 (11:25 Md. R. 2133)

Regulation .03 amended effective February 4, 1991 (18:2 Md. R. 149)

Regulation .04 amended effective February 4, 1991 (18:2 Md. R. 149)

Chapter revised as an emergency provision effective October 1, 1997 (24:22 Md. R. 1550); revised permanently effective March 23, 1998 (25:6 Md. R. 487)

Chapter recodified from COMAR 09.30.34 to COMAR 31.08.03 effective September 7, 1998 (25:18 Md. R. 1439)

Chapter revised effective January 1, 2003 (29:20 Md. R. 1591) (This revision applies to all cancellations of, failure to renew, increase in premiums for, and reductions in coverage under a policy of motor vehicle liability insurance that are effective on or after January 1, 2003)

Regulation .03B amended effective March 14, 2005 (32:5 Md. R. 582)

Regulation .04 amended effective March 14, 2005 (32:5 Md. R. 582)

Regulation .04 amended as an emergency provision effective November 3, 2005 (32:25 Md. R. 1939); amended permanently effective March 13, 2006 (33:5 Md. R. 523)

Regulation .05A amended effective March 14, 2005 (32:5 Md. R. 582)

Regulation .07 amended as an emergency provision effective November 3, 2005 (32:25 Md. R. 1939); amended permanently effective March 13, 2006 (33:5 Md. R. 523)

Regulation .08 amended effective March 14, 2005 (32:5 Md. R. 582)

Regulation .08 amended as an emergency provision effective November 3, 2005 (32:25 Md. R. 1939); amended permanently effective March 13, 2006 (33:5 Md. R. 523)

Regulation .09B amended effective March 14, 2005 (32:5 Md. R. 582)

Regulation .10 repealed effective March 14, 2005 (32:5 Md. R. 582)

Chapter revised as an emergency provision effective January 11, 2008 (35:3 Md. R. 287); revised permanently effective March 10, 2008 (35:5 Md. R. 642)

Regulation .04 amended effective February 22, 2021 (48:4 Md. R. 178); November 15, 2021 (48:23 Md. R. 982); June 1, 2025 (52:3 Md. R. 161)

Regulation .05 amended effective February 22, 2021 (48:4 Md. R. 178); November 15, 2021 (48:23 Md. R. 982); June 1, 2025 (52:3 Md. R. 161)

Regulation .06A amended effective June 9, 2014 (41:11 Md. R. 606)

Regulation .06A, B amended effective November 15, 2021 (48:23 Md. R. 982)

Regulation .07 amended effective March 1, 2016 (42:22 Md. R. 1380); February 22, 2021 (48:4 Md. R. 178); June 1, 2025 (52:3 Md. R. 161)

Regulation .08 amended effective March 1, 2016 (42:22 Md. R. 1380); February 22, 2021 (48:4 Md. R. 178); June 1, 2025 (52:3 Md. R. 161)

Regulation .10 amended effective November 15, 2021 (48:23 Md. R. 982)