What action is considered part of the defined unfair trade practices?

Unfair discrimination is recognized as a defined unfair trade practice within the insurance industry. This practice occurs when an insurer treats individuals or groups differently when determining premiums, coverage, or eligibility for insurance based on characteristics that are not relevant to risk assessment, such as race, gender, or age. Such discriminatory practices undermine the principles of fairness and equality, which are essential for maintaining public trust in the insurance system. Regulatory bodies enforce laws against unfair discrimination to ensure that all policyholders are treated equitably based on their actual risk profiles rather than arbitrary factors.

In contrast, actions like consulting with financial advisors, providing advice on individual policies, and hosting informational seminars generally do not fall into the category of unfair trade practices as they focus on delivering legitimate financial guidance or education rather than engaging in discriminatory practices.