Anticompact law

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  • (a) No person shall either within or outside this territory enter into any contract, understanding or combination with any other person to do jointly or severally any act or engage in any practice for any of the following purposes:

    • (1) controlling the rates to be charged for insuring any risks or any class of risks in this territory;

    • (2) unfairly discriminating against any person in this territory by reason of his plan or method of transacting insurance, or by reason of his affiliation or nonaffiliation with any insurance organization; or

    • (3) establishing or perpetuating any condition in this territory detrimental to free competition in the business of insurance or injurious to the insuring public.

  • (b) This section shall not apply relative to ocean marine and foreign trade insurances.

  • (c) Whenever the Commissioner has knowledge of any violation of this section he shall forthwith order the offending person to discontinue such practice immediately or show cause to the satisfaction of the Commissioner why such order should not be complied with. If the offender is an insurer or a licensee under this title and fails to comply with such order within 30 days after receipt thereof, the Commissioner may forthwith revoke the offender's certificate of authority of licenses.


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