# COMAR Title 31 — Maryland Insurance Administration

## Subtitle 02 — Powers and Duties — Hearings

### Chapter 03 — Hearings Arising from Cancellation, Nonrenewal, Increase in   Premium, or Reduction of Coverage under a Motor Vehicle Liability Insurance Policy

**Authority:** Insurance Article, §§2-109, 2-210—2-215, and 27-605; State Government Article, Title 10, Subtitle 2; Annotated Code of Maryland

**Administrative History:** Effective date: June 2, 1997 (24:11 Md. R. 793)

**Administrative History:** Regulation .01 amended as an emergency provision effective October 1, 1997 (24:22 Md. R. 1550); amended permanently effective March 23, 1998 (25:6 Md. R. 487)

**Administrative History:** Chapter recodified from COMAR 09.31.20 to COMAR 31.02.03 effective September 7, 1998 (25:18 Md. R. 1439)

#### Regulation .01 Scope.

*COMAR 31.02.03.01*

This chapter applies only to hearings arising from the cancellation, nonrenewal,  reduction of coverage, or increase in premium that is not consistent with the insurer's surcharge plan under a motor vehicle liability insurance policy as provided in Insurance Article, §27-605, Annotated Code of Maryland.

#### Regulation .02 Delegation of Authority.

*COMAR 31.02.03.02*

A. In hearings arising under this chapter, subject to Regulation .03 of this chapter, the Commissioner may delegate to the Office of Administrative Hearings the authority to:

  (1) Conduct hearings;

  (2) Issue final findings of fact and conclusions of law; and

  (3) Issue final orders.

B. Hearings arising under this chapter and heard by the Office of Administrative Hearings shall be governed by COMAR 28.02.01.

C. Hearings arising under this chapter and heard by the Maryland Insurance Administration shall be governed by COMAR 31.02.01.

#### Regulation .03 Revocation of Delegation of Authority.

*COMAR 31.02.03.03*

A. The Commissioner may revoke all or part of a delegation of authority to the Office of Administrative Hearings to preside over a hearing if the case:

  (1) Involves novel or unanticipated factual or legal issues;

  (2) Has significant social, fiscal, or legal issues;

  (3) Involves policy issues of general applicability; or

  (4) Requires further investigation.

B. Procedures for Revocation.

  (1) The Commissioner shall provide written notice of a revocation of hearing authority to all parties and the Office of Administrative Hearings. The written notice shall contain a brief statement of the reason for the revocation.

  (2) Delegation of authority to hear a contested case may be revoked at any time before the earlier of the:

    (a) Issuance of a ruling by the administrative law judge on a substantive issue; or

    (b) Taking of oral testimony from the first witness.

  (3) The Commissioner shall specify whether all or part of the delegation to hear a contested case has been revoked. If only part of the delegation has been revoked, the Commissioner shall specify in the written notice of revocation the portions of the contested case for which the delegation has been revoked.

  (4) Upon the revocation of the delegation, the Commissioner shall:

    (a) Refer the case for further investigation;

    (b) Set the case for a hearing with the Commissioner or the Commissioner's designee acting as the hearing officer; or

    (c) Dismiss the case.