Untitled spreadsheet - Sheet1 Flashcards
1
Q
Describe background of Paul v. Virginia
A
Paul applied to become licensed insurer in home state of VA for NY insurers. VA denied because insurers had not deposited required foreign insurer bond. Paul sold policies anyway and was arrested
2
Q
Describe Supreme Court verdict for Paul v. Virginia:
A
Insurance is a contract delivered locally thus insurance contract not interstate commerce. States could continue to regulate own insurance market without violating Constitution
3
Q
Briefly describe 2 schools of thought about insurance compacts:
A
Compacts deter open and free competition
4
Q
Briefly describe the Sherman Act of 1890
A
Prohibits collusion in attempts to gain monopoly power