38.2-612 - Bases for adverse underwriting decisions.

§ 38.2-612. Bases for adverse underwriting decisions.

A. No insurance institution or agent may base an adverse underwritingdecision in whole or in part:

1. On the fact of a previous adverse underwriting decision or on the factthat an individual previously obtained insurance coverage through a residualmarket mechanism. However, an insurance institution or agent may base anadverse underwriting decision on further information obtained from aninsurance institution or agent responsible for a previous adverseunderwriting decision;

2. On personal information received from an insurance-support organizationwhose primary source of information is insurance institutions. However, aninsurance institution or agent may base an adverse underwriting decision onfurther personal information obtained as the result of information receivedfrom an insurance-support organization; or

3. On the fact that an individual previously obtained insurance coverage froma particular insurance institution or agent.

B. No insurance institution or agent may base an adverse underwritingdecision solely on the loss history of a previous owner of the property to beinsured.

(1981, c. 389, § 38.1-57.15; 1986, c. 562; 1990, c. 524; 2003, c. 415.)