NAC679B.725. Basis for adverse underwriting decision.

     1. Except as otherwise provided in subsection 2, no insurance institution or agent may base an adverse underwriting decision in whole or in part on:

     (a) A previous adverse underwriting decision;

     (b) Insurance coverage previously obtained by a natural person through a residual market mechanism; or

     (c) Personal information received from an insurance-support organization whose primary source of information is insurance institutions.

     2. An insurance institution or agent may base an adverse underwriting decision on additional:

     (a) Information obtained from an insurance institution or agent responsible for the previous adverse underwriting decision; or

     (b) Personal information received from the insurance-support organization.

     (Added to NAC by Comm’r of Insurance, 10-4-88, eff. 1-1-89)