Code of Virginia Title 38.2 Chapter 5, §§ 38.2-500 through 38.2-518, 28 sections: Unfair Trade Practices

What this document is

Code of Virginia Title 38.2 Chapter 5 - Unfair Trade Practices (§§ 38.2-500 through 38.2-518, 28 sections) is a state statute published by Virginia General Assembly, Division of Legislative Automated Systems (Virginia Law Portal, law.lis.virginia.gov). It is one of the Virginia documents that insurance license exam questions are written from, including virginia property & casualty, virginia personal lines practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• Va. Code Sec. 38.2-505 (Boycott, coercion and intimidation)

  “No person shall enter into any agreement to commit, or by any concerted action commit, any act of boycott, coercion or intimidation resulting in or tending to result in unreasonable restraint of, or monopoly in, the business of insurance.”

• Va. Code Sec. 38.2-509(B) (Rebates; practices not within the definition)

  “B. Nothing in § 38.2-508 or in this section shall be construed to include within the definition of discrimination or rebates any of the following practices: 1. In the case of any life insurance or annuity contract, paying bonuses to policyholders or otherwise abating their premiums in whole or in...”

• Va. Code Sec. 38.2-508(5) (Unfair discrimination; age of a residential property risk)

  “5. Make or permit any unfair discrimination between individuals or risks of the same class and of essentially the same hazards by refusing to issue, refusing to renew, cancelling or limiting the amount of insurance coverage on a residential property risk, or the personal property contained in a...”

• Va. Code Sec. 38.2-512(B) (Affixing the signature of another person without written authorization)

  “B. No person shall, with respect to any document pertaining to the business of insurance, including payments made to an insurer or by an insurer, affix or cause or allow to be affixed the signature of any other person to such document without the written authorization of the person whose signature...”

• Va. Code Sec. 38.2-510(C) (After market parts; required disclosure and definition)

  “C. 1. No insurer shall prepare or use an estimate of the cost of automobile repairs based on the use of an after market part, as defined herein, unless: The insurer discloses to the claimant in writing either on the estimate or in a separate document attached to the estimate the following...”

• Va. Code Sec. 38.2-508(5) (Unfair discrimination; refusing to renew or cancel a residential property risk solely because of the age of the property)

  “5. Make or permit any unfair discrimination between individuals or risks of the same class and of essentially the same hazards by refusing to issue, refusing to renew, cancelling or limiting the amount of insurance coverage on a residential property risk, or the personal property contained in a...”

• Va. Code Sec. 38.2-502(6) (Misrepresentations and false advertising of insurance policies; inducing lapse, replacement or surrender)

  “6. Misrepresents any material fact for the purpose of inducing or tending to induce the lapse, forfeiture, exchange, conversion, replacement, or surrender of any insurance policy;”

• Va. Code Sec. 38.2-510(C)(1) (Unfair claim settlement practices; estimate using an after market part)

  “1. No insurer shall prepare or use an estimate of the cost of automobile repairs based on the use of an after market part, as defined herein, unless: The insurer discloses to the claimant in writing either on the estimate or in a separate document attached to the estimate the following information:...”

• Va. Code Sec. 38.2-509(A) (Rebates; giving and accepting inducements not specified in the contract)

  “A. Except as otherwise expressly provided by law, no person shall: 1. Knowingly permit, offer, or make any insurance or annuity contract or agreement which is not plainly expressed in the contract issued; 2. Pay, allow or give, or offer to pay, allow or give, directly or indirectly, as inducement...”

• Va. Code Sec. 38.2-504 (Defamation)

  “No person shall make, publish, disseminate, or circulate, directly or indirectly, or aid, abet or encourage the making, publishing, disseminating or circulating of any oral or written statement or any pamphlet, circular, article or literature that is false, and maliciously critical of, or...”

• Va. Code Sec. 38.2-503 (False information and advertising generally)

  “or over any radio or television station, or in any other way, an advertisement, announcement or statement containing any assertion, representation or statement relating to (i) the business of insurance or (ii) any person in the conduct of his insurance business, which is untrue, deceptive or misleading.”

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More Virginia sources

• Virginia Code s. 38.2-1809 - Records; fiduciary duties of agentsState statute
• Virginia Code s. 38.2-1822 - License required; agentsState statute
• Virginia Code s. 38.2-1826 - Reporting of actions; agentsState statute
• Virginia Code s. 38.2-1831 - Prohibited practices; grounds for license refusal, suspension, or revocationState statute
• Virginia Code s. 38.2-1833 - Appointment of agentsState statute
• Virginia Code s. 38.2-1834 - Termination of agent appointmentState statute
• Virginia Code s. 38.2-1837 - Appointment of agentsState statute
• Virginia Code s. 38.2-1845 - Continuing educationState statute