Arizona Laws 20-2112. Previous adverse underwriting decisions
An insurance institution or insurance producer shall not base an adverse underwriting decision in whole or in part:
Terms Used In Arizona Laws 20-2112
- Adverse underwriting decision: means any of the following actions involving insurance coverage which is individually underwritten:
(a) A declination of insurance coverage. See Arizona Laws 20-2102
- Individual: means any natural person who:
(a) In the case of property or casualty insurance, is a past, present or proposed named insured or certificate holder. See Arizona Laws 20-2102
- Insurance institution: means any corporation, association, partnership, reciprocal insurer, inter-insurer, Lloyd's association, fraternal benefit society or other person engaged in the business of insurance, including health care service organizations and hospital, medical, dental and optometric service corporations as defined in this title. See Arizona Laws 20-2102
- Insurance producer: means an insurance producer as defined in section 20-281. See Arizona Laws 20-2102
- Insurance support organization: means :
(a) Any person who regularly engages, in whole or in part, in the practice of assembling or collecting information about natural persons for the primary purpose of providing the information to an insurance institution or insurance producer for insurance transactions, including the furnishing of consumer reports or investigative consumer reports to an insurance institution or insurance producer for use in connection with an insurance transaction or the collection of personal information from insurance institutions, insurance producers or other insurance support organizations for the purpose of detecting or preventing fraud, material misrepresentation or material nondisclosure in connection with insurance underwriting or insurance claim activity. See Arizona Laws 20-2102
- Personal information: means any individually identifiable information gathered in connection with an insurance transaction and from which judgments can be made about an individual's character, habits, avocations, finances, occupation, general reputation, credit, health or any other personal characteristics. See Arizona Laws 20-2102
- Residual market mechanism: means an agreement for the equitable apportionment among insurers of insurance afforded applicants who are in good faith entitled to but who are unable to procure insurance through ordinary methods. See Arizona Laws 20-2102
1. On the fact of a previous adverse underwriting decision or the fact that an individual previously obtained insurance coverage through a residual market mechanism, except that an insurance institution or insurance producer may base an adverse underwriting decision on further information obtained from an insurance institution or insurance producer responsible for a previous adverse underwriting decision.
2. On personal information received from an insurance support organization whose primary source of information is insurance institutions, except that an insurance institution or insurance producer may base an adverse underwriting decision on further personal information obtained as the result of information received from the insurance support organization.