SENATE COMMERCE COMMITTEE

STATEMENT TO

SENATE, No. 1351

with committee amendments

STATE OF NEW JERSEY

DATED: OCTOBER 28, 1996

      The Senate Commerce Committee reports favorably and with committee amendments Senate Bill No. 1351.

      This bill, as amended by the committee, prohibits an automobile insurer from terminating an agent because of the expected or actual experience produced by that agent's private passenger automobile insurance business, the geographical location of the private passenger automobile insurance business written by that agent or the volume of private passenger automobile insurance written by that agent. An insurer which violates this prohibition would be subject to a fine of at least $10,000 for a first violation and at least $50,000 for any subsequent violation.