40-951. Fire and casualty insurance rates; purpose of act.

40-951

Chapter 40.--INSURANCE
Article 9.--GENERAL PROVISIONS RELATING TO FIRE INSURANCE COMPANIES

      40-951.   Fire and casualty insurance rates; purpose of act.The purpose of this act is to:

      (a)   Protect policyholders and the public against the adverse effects ofexcessive, inadequate or unfairly discriminatory rates;

      (b)   encourage, as the most effective way to produce rates that conform tothe standards of paragraph (a), independent action by and reasonable pricecompetition among insurers;

      (c)   provide formal regulatory controls for use if independent action andprice competition fail;

      (d)   authorize cooperative action among insurers in the rate making process,and to regulate such cooperation in order to prevent practices that tend tobring about monopoly or to lessen or destroy competition;

      (e)   encourage the most efficient and economic marketing practices; and

      (f)   regulate the business of insurance in a manner that will precludeapplication of federal antitrust laws.

      History:   L. 1997, ch. 154, § 1; July 1.