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EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
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Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
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*sb0351*
SENATE BILL 351
C4 6lr1947
SB 984/25 – FIN CF 6lr1949
By: Senator A. Washington
Introduced and read first time: January 23, 2026
Assigned to: Finance
Committee Report: Favorable with amendments
Senate action: Adopted
Read second time: February 20, 2026
CHAPTER ______
AN ACT concerning 1
Private Passenger Motor Vehicle Insurance – Use of Programs That Measure 2
the Operation of an Insured Vehicle 3
FOR the purpose of requiring an insurer that issues or delivers private passenger motor 4
vehicle insurance policies in the State to disclose the use of a program that measures 5
the operation of an insured vehicle and to establish a process by which a policyholder 6
may correct or appeal data the policyholder believes to be erroneous; requiring the 7
Maryland Insurance Administration to adopt regulations limiting the types and 8
amounts of data that may be collected through a program that measures the 9
operation of an insured vehicle for use by a private passenger motor vehicle insurer; 10
prohibiting an insurer that issues, sells, or delivers private passenger motor vehicle 11
insurance policies in the State from using data collected through a program that 12
measures the operation of an insured vehicle to take certain actions with respect to 13
a policy; prohibiting insurers with respect to certain private passenger motor vehicle 14
insurance policies from initiating a premium increase in increments of less than a 15
certain number of months from the date the policy goes into effect; and generally 16
relating to private motor vehicle insurance and the use of programs that measure 17
the operation of an insured vehicle. 18
BY repealing and reenacting, without amendments, 19
Article – Insurance 20
Section 12–106(b) 21
Annotated Code of Maryland 22
(2017 Replacement Volume and 2025 Supplement) 23
2 SENATE BILL 351
BY adding to 1
Article – Insurance 2
Section 12–307 and 19–521 3
Annotated Code of Maryland 4
(2017 Replacement Volume and 2025 Supplement) 5
BY repealing and reenacting, with amendments, 6
Article – Insurance 7
Section 27–501(t) 8
Annotated Code of Maryland 9
(2017 Replacement Volume and 2025 Supplement) 10
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 11
That the Laws of Maryland read as follows: 12
Article – Insurance 13
12–106. 14
(b) This section applies only to a binder or policy, other than a renewal policy, of 15
personal insurance, commercial property insurance, and commercial liability insurance. 16
12–307. 17
EXCEPT AS PROVIDED IN § 12–106 OF THIS TITLE, WITH RESPECT TO PRIVATE 18
PASSENGER MOTOR VEHI CLE INSURANCE POLICI ES THAT MEASURE THE 19
OPERATION OF AN INSU RED VEHICLE, AN INSURER MAY NOT I NITIATE A PREMIUM 20
INCREASE IN INCREMENTS OF LESS THAN 6 MONTHS FROM THE DATE THE PO LICY 21
GOES INTO EFFECT. 22
19–521. 23
(A) (1) AN INSURER THAT ISSUE S OR DELIVERS PRIVAT E PASSENGER 24
MOTOR VEHICLE INSURA NCE POLICIES IN THE STATE SHALL DISCLOSE TO THE 25
APPLICANT AT THE TIME OF APPLICATION OR THE POLICYHOLDER AT THE TIME OF 26
RENEWAL ANY USE OF A PROGRAM THAT MEASURES THE OP ERATION OF AN 27
INSURED VEHICLE. 28
(2) THE DISCLOSURE REQUIR ED UNDER PARAGRAPH (1) OF THIS 29
SUBSECTION SHALL BE PROVIDED IN THE MANN ER SPECIFIED BY THE 30
ADMINISTRATION. 31
(B) AN INSURER THAT ISSUES OR DELIV ERS PRIVATE PASSENGE R MOTOR 32
VEHICLE INSURANCE POLICIES IN THE STATE AND THAT IMPLEMENTS THE USE OF 33
A PROGRAM THAT MEASU RES THE OPERATION OF AN INSURED VEHICLE S HALL 34
SENATE BILL 351 3
ESTABLISH A PROCESS BY WHICH THE POLICYH OLDER MAY CORRECT OR APPEAL 1
DATA COLLECTED THROUGH THE PROGRAM THAT THE POLICYHOLDER BELIEVES IS 2
ERRONEOUS. 3
(C) THE ADMINISTRATION SHALL ADOPT REGULATIONS TO LIMIT THE 4
TYPES AND AMOUNT OF DATA THAT MAY BE COL LECTED BY A PROGRAM THAT 5
MEASURES THE OPERATION OF AN INSURED VEHICLE FOR USE BY AN INSURER THAT 6
ISSUES OR DELIVERS P RIVATE PASSENGER MOTOR VEHICLE INSURANCE POLICIES 7
IN THE STATE. 8
(D) THE ADMINISTRATION MAY RE QUIRE AN INSURER THAT ISSUES OR 9
DELIVERS PRIVATE PAS SENGER MOTOR VEHICLE INSURANCE POLICIES I N THE 10
STATE AND THAT USES A PROGRAM THAT MEASURES THE OP ERATION OF AN 11
INSURED VEHICLE TO ESTABLISH AND IMP LEMENT A GOVERNANCE PLAN THAT 12
INCLUDES: 13
(1) MONITORING THE PROGR AM TO ENSURE THAT IT DOES NOT 14
COLLECT OR PROCESS D ATA IN A MANNER THAT IS UNFAIRLY DISCRIMI NATORY, 15
IMPACTS PREMIUM RATE S IN A MANNER THAT L ACKS ACTUARIAL JUSTI FICATION, 16
OR OTHERWISE VIOLATES THIS ARTICLE; 17
(2) CORRECTING OR MITIGA TING A FINDING THAT THE PROGRAM 18
COLLECTS OR PROCESSES DATA IN A MANNER THAT IS UNFAIRLY DISCRIMINATORY, 19
IMPACTS PREMIUM RATE S IN A MANNER THAT L ACKS ACTUARIAL JUSTI FICATION, 20
OR OTHERWISE VIOLATES THIS ARTICLE; AND 21
(3) PERIODICALLY REPORTING TO THE ADMINISTRATION ON: 22
(I) THE SCOPE , METHODOLOGIES, AND FINDINGS OF THE 23
PROGRAM MONITORING IN ACCORDANCE WITH THE GOVERNANCE PLAN; AND 24
(II) ANY CORRECTIVE ACTION OR MITIGATION MEASURE TAKEN 25
IN ACCORDANCE WITH THE GOVERNANCE PLAN. 26
27–501. 27
(t) With respect to private passenger motor vehicle insurance, an insurer may 28
not: 29
(1) require an applicant or a policyholder to participate in a program that 30
measures the operation of an insured vehicle as a condition for un derwriting a private 31
passenger motor vehicle insurance risk [unless the insurer: 32
4 SENATE BILL 351
(1) only offers private passenger motor vehicle insurance products that 1
require insureds to participate in a program that measures the operation of an insured 2
vehicle; 3
(2) discloses the information in item (1) of this subsection to: 4
(i) the applicant at the time of application; and 5
(ii) the policyholder at the time of renewal; and 6
(3) includes the information in item (1) of this subsection in any advertising 7
materials for the insurance products offered by the insurer]; OR 8
(2) USE DATA COLLECTED T HROUGH A PROGRAM THA T MEASURES 9
THE OPERATION OF AN INSURED VEHICLE TO C ANCEL, REFUSE TO RENEW , OR 10
REFUSE TO UNDERWRITE A PRIVATE PASSENGER AUTOMOBILE INSURANCE POLICY 11
RISK. 12
SECTION 2. AND BE IT FURTHER ENACTED, That the Maryland Insurance 13
Administration shall adopt the regulations required under § 19 –521(c) of the Insurance 14
Article, as enacted by Section 1 of this Act, on or before July 1, 2027. 15
SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall apply to all 16
private passenger automobile insurance policies issued or renewed in the State on or after 17
January 1, 2027. 18
SECTION 3. 4. AND BE IT FURTHER ENACTED, That this Act shall take effect 19
October 1, 2026 January 1, 2027. 20
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
President of the Senate.
________________________________________________________________________________
Speaker of the House of Delegates.