2023 New York Laws › ISC - Insurance › Article 23 - Property/casualty Insurance Rates › 2316 - Prohibition of Anti-Competitive Behavior.

* § 2316. Prohibition of anti-competitive behavior. (a) (1) No insurer
or  rate service organization shall monopolize or attempt to monopolize,
or combine or conspire with any other person or persons  to  monopolize,
in  any territory, the business of insurance or any kind, subdivision or
class thereof.
(2) No insurer or rate service organization shall agree with any other
insurer or rate service organization to charge or adhere  to  any  rate,
although  insurers  and  rate  service  organizations  may  continue  to
exchange statistical information.
(3) No insurer or rate service organization shall make  any  agreement
with  any  other  insurer,  rate service organization or other person to
restrain trade.
(4) No insurer or rate service organization shall make  any  agreement
with  any  other  insurer, rate service organization or other person the
effect of which may  be  substantially  to  lessen  competition  in  any
territory or in any kind, subdivision or class of insurance.
(5)  No  insurer may acquire or retain any capital stock or assets of,
or have any common management with, any other insurer  or  insurers,  if
the  effect  of  such acquisition, retention or common management may be
substantially to lessen competition in any territory  or  in  any  kind,
subdivision or class of insurance.
(6)  No  insurer or rate service organization shall make any agreement
with any other insurer or rate service organization to  refuse  to  deal
with any person in connection with the sale of insurance.
(7) No rate service organization or member or subscriber thereof shall
interfere  with the right of any insurer to make its rates independently
of such rate service organization or to charge rates different from  the
rates made by such rate service organization.
(8)  No  member  of or subscriber to a rate service organization shall
refuse to do business with,  or  prohibit  or  prevent  the  payment  of
commissions  to,  any  licensed  agent or broker on the ground that such
agent or broker does business with an insurer which makes its rates,  or
any portion thereof, independently of such rate service organization.
(9)  Nothing contained in this article shall be construed as requiring
any insurer to become a member of or a subscriber to  any  rate  service
organization,  or  as  preventing  any  insurer,  while  a  member of or
subscriber to a rate service organization, from making its own rates for
any kind, subdivision or class of insurance, for which it does not elect
to authorize the rate service organization to act on its behalf.
(10) Any insurer which is a member of or subscriber to a rate  service
organization  may  make its own rates for any kind, subdivision or class
of insurance. No rate service organization shall have authority  to  act
on behalf of any insurer which is a member of or subscriber to such rate
service  organization  except as authorized in writing by such member or
subscriber, which authority may be supplemented, modified or revoked, in
whole or in part, at any time  by  such  member  or  subscriber  at  its
option.
(11)  No  rate  service  organization  shall have or adopt any rule or
exact any agreement, or formulate or engage in any program,  the  effect
of  which would be to require any member, subscriber or other insurer to
utilize some or all of its ratings services, or to adhere to its  rates,
rating plans, rating systems, underwriting rules, or policy forms, or to
prevent any insurer from acting independently.
(b)  (1)  Any rate made in violation of subsection (a) hereof shall be
disapproved by the superintendent pursuant to the applicable  procedures
prescribed  in  subsection  (b)  of  section  two thousand three hundred
twenty of this article, and  each  violator  shall  be  subject  to  the
penalties of subsection (c) of such section.
(2)  The  superintendent, through the attorney general, and any person
injured in his business or property by reason of anything  forbidden  in
subsection (a) hereof, may maintain an action to enjoin any violation of
such subsection.
(3)  Any  person  injured  in  his  business  or property by reason of
anything forbidden in subsection (a) hereof may maintain an  action  and
shall recover threefold the damages sustained by him.
(c)  Nothing  in  this  section  shall  be construed as applying to or
prohibiting cooperative  action  authorized  and  regulated  under  this
article. Nor shall this section apply to kinds of insurance or insurance
activities the rates for which are subject to prior approval pursuant to
subsection  (b)  of  section  two  thousand  three  hundred five of this
article, except that this article shall not be construed as requiring an
insurer  to  become  a  member  of  or  subscriber  to  a  rate  service
organization.
* NB Expires July 1, 2026