Code of Maryland Regulations (Last Updated: April 6, 2021) |
Title 31. Maryland Insurance Administration |
Subtitle 15. UNFAIR TRADE PRACTICES |
Chapter 31.15.15. Liability of Insurer — Failure to Act in Good Faith |
Sec. 31.15.15.07. Duties of Defendant Insurers
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A. Each property and casualty insurer and insurers that offer individual disability insurance that issue, sell, or deliver a policy that includes first-party coverage in the State shall designate a person authorized to receive 27-1001 filings from the Administration.
B. Each Insurer to which this chapter applies shall notify the Administration of the name and address of the defendant insurers 27-1001 filing designee.
C. An insurer that fails to notify the Administration of its designee is considered to have appointed the person previously identified by the insurer to receive process that has been served on the Commissioner as attorney-in-fact, as the insurers 27-1001 filing designee until the insurer has notified the Administration of its 27-1001 filing designee.
D. Notice of Disposition.
(1) Each defendant insurer shall advise the Administration, in writing, as to a disposition by the Office of Administrative Hearings or any court of law of any complaint filed against the defendant insurer under Courts and Judicial Proceedings Article, §3-1701, Annotated Code of Maryland.
(2) The notice of disposition shall be on the form determined by the Administration and published by bulletin and shall be sent to the Hearing and Appeals Clerk at the Administration within 30 days of the disposition.
(3) The notice of disposition shall identify:
(a) The adjudicatory body that issued the disposition;
(b) The case name and number before that adjudicatory body, as well as the case name and number of any underlying or prior dispositions with respect to that complaint;
(c) Whether the complaint seeks a determination as to:
(i) Coverage;
(ii) An alleged failure by the defendant insurer to adequately value, pay, or value and pay the underlying insurance claim; or
(iii) Both §D(3)(c)(i) and (ii) of this regulation;
(d) The type of coverage at issue in the complaint, such as auto UM/UIM, homeowners, commercial general liability, individual disability, or other;
(e) The amount sought as damages in the complaint, itemized by:
(i) The amount sought as actual damages; and
(ii) The amount sought as expenses and litigation costs, including attorneys fees;
(f) The disposition with respect to each count of the complaint;
(g) A summary of any determinations made;
(h) A listing of any amounts awarded by the adjudicatory body; and
(i) Whether any further proceedings before that body or another tribunal have been filed or are expected to be filed.
E. Notice of Pending Complaint.
(1) Each defendant insurer shall advise the Administration, in writing, when it is served with a complaint that was not originally filed with the Administration.
(2) The notice of the pending complaint shall be on the form determined by the Administration and published by bulletin and shall be sent to the Hearing and Appeals Clerk at the Administration within 30 days of service of process.
(3) The notice of the pending complaint shall identify:
(a) The court in which the complaint was filed;
(b) The case name and number assigned to the complaint;
(c) The parties to the complaint;
(d) The reason why the complaint was not required to be filed with the Administration before being filed with the court;
(e) Whether the complaint seeks a determination as to:
(i) Coverage;
(ii) An alleged failure by the defendant insurer to adequately value, pay, or value and pay the underlying insurance claim; or
(iii) Both §E(3)(e)(i) and (ii) of this regulation;
(f) The type of coverage at issue in the complaint, such as auto UM/UIM, homeowners, commercial general liability, individual disability, or other; and
(g) The amount sought as damages in the complaint; itemized by:
(i) The amount sought as actual damages; and
(ii) The amount sought as expenses and litigation costs, including attorneys fees.