Section 2334. Non-commercial private passenger automobile insurance rates; merit rating plans

(a) The superintendent shall, after public  hearing,  promulgate  a  regulation,  which  may  be  amended  from  time to time,
  applicable to  non-commercial  private  passenger  automobile  insurance
  merit  rating plans which reflect an individual driver's experience with
  respect to accidents, claims or traffic violations. The regulation shall
  continue to encourage competition among insurers, but  shall  discourage
  merit  rating  plan  provisions  which  may  tend to create confusion or
  misunderstanding  among  insureds.  The   regulation   shall   establish
  standards and limitations intended to insure that merit rating plans are
  reasonable,   understandable   and   objective   and  are  not  unfairly
  discriminatory, inequitable, violative of  public  policy  or  otherwise
  contrary to the best interests of the people of this state.
    (b) Insurers shall review their merit rating plans which were approved
  by  the  superintendent  prior  to  the  promulgation  of the regulation
  required by this section and  shall,  before  November  first,  nineteen
  hundred  eighty-two,  file with the superintendent statements that their
  merit rating plans conform with  the  regulation,  or  file  appropriate
  amendments to their plans which will bring them into compliance with the
  standards of the regulation. Such amendments shall become effective upon
  approval by the superintendent.