Prohibited grounds for termination

Sec. 7. Termination of property insurance coverage by an insurer is prohibited if the termination is based on any of the following: (1) Upon the race, religion, nationality, ethnic group, age, sex, or marital status of the applicant or named insured. (2) Solely upon the lawful occupation or profession of the applicant or named insured. However, this subdivision does not apply to an insurer that limits its market to one (1) lawful occupation or profession or to several related lawful occupations or professions. (3) Upon the age or location of the residence of the applicant or named insured, unless that decision is for a business purpose that is not a mere pretext for a decision based on factors prohibited in this chapter or any other provision of this title. (4) Upon the fact that another insurer previously declined to insure the applicant or terminated an existing policy in which the applicant was the named insured. (5) Upon the fact that the applicant or named insured previously obtained insurance coverage through a residual market insurance mechanism.