1 / 20

HITCH A RIDE ON THE RATE FILING EXPRESS

HITCH A RIDE ON THE RATE FILING EXPRESS. PANELIST. Ed O’Brien, Deputy Commissioner, LA Dept. of Insurance Warren Byrd, Executive Counsel, LA Dept. of Insurance Linda Gonzales, Asst. Director, LA Dept. of Insurance Rich Piazza, Chief Actuary, LA Dept. of Insurance. LEGISLATIVE CHANGES.

olwen
Download Presentation

HITCH A RIDE ON THE RATE FILING EXPRESS

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. HITCH A RIDE ON THE RATE FILING EXPRESS

  2. PANELIST • Ed O’Brien, Deputy Commissioner, LA Dept. of Insurance • Warren Byrd, Executive Counsel, LA Dept. of Insurance • Linda Gonzales, Asst. Director, LA Dept. of Insurance • Rich Piazza, Chief Actuary, LA Dept. of Insurance

  3. LEGISLATIVE CHANGES

  4. LEGISLATIVE CHANGES • ACT 132 (HB 606) – Automobile Discounts For Vehicles Equipped With Technology That Aides In The Recovery Of Stolen Vehicles • Provides that the commissioner of insurance shall authorize a rate reduction, if actuarially justified, on vehicles equipped with a global positioning system (GPS) or vehicle tracking system which helps in recovering stolen vehicles. • GPS and vehicle tracking system will be defined further by rules promulgated by the Department of Insurance.

  5. LEGISLATIVE CHANGES • ACT 390 (SB 44) Insure Louisiana Incentive Program • Authorizes a “third invitation” for grants under the Insure Louisiana Incentive Program. • Provides for the pro rata recovery of unearned grants. • Requires any unused money from the program to be used for a homeowner policy premium assistance program to reduce homeowner’s insurance premiums.

  6. LEGISLATIVE CHANGES • ACT 402 (SB 149) Prohibition of Fines and Penalties in Rate Filings • Prohibits fines and penalties against an insurer whether levied by a court or regulatory body, from being used by the insurer or considered in any manner in the loss or expense experience for the purpose of setting rates or making rate filings.

  7. LEGISLATIVE CHANGES • ACT 698 (SB 771) - Use Of Certain Mini Trucks On Streets And Highways • Authorizes “Kie series” mini-trucks powered by a motor with a displacement of 660 cubic centimeters or more on the streets and highways in this state. • Not allowed on interstate highways. • Eliminates the 45 mph speed limit.

  8. LEGISLATIVE CHANGES • ACT 849 (HB 1375) Military Discount on Homeowners’ Insurance • Authorizes a 10% discount to military personnel on homeowners insurance. • Requires commissioner of insurance to adopt rules and regulations to implement.

  9. LEGISLATIVE CHANGES • ACT 854 (SB 160) Homeowner’s Insurance Policy Deductibles • Permits an insurer to file with the commissioner of insurance a written petition to increase a policy deductible to not more than 4% of the value of the property being insured for named storms or hurricanes on a homeowner’s policy that has been in effect for more than three years. • Prohibits a homeowner’s policy from containing any provision that would apply more than one deductible to a loss resulting from any single incident. • Requires a reduction in rates paid by an individual homeowner when the deductible is increased. The reduction will be the amount determined to be actuarially justified by the commissioner of insurance.

  10. LEGISLATIVE CHANGES • ACT 921 (HB 1312) Compulsory Motor Vehicle Liability Insurance Minimum Limits • Increases minimum liability limits in motor vehicle liability policies to 15/30/25. • Increases the deposit an applicant for registration must submit with the state treasurer to $55,000. • An uninsured motorist has no recovery for first fifteen thousand dollars of bodily injury. • An uninsured motorist has no recovery for first fifteen thousand dollars of property damage.

  11. LEGISLATIVE CHANGES • ACT 415 (SB 335) Recodification of Title 22

  12. Actuarial Matters • Taxicabs – Bulletin 08-01 • Mitigation Discounts – Regulation 94 • LCPIC Rate Survey – Act 211 (HB 385) • Regional Deductibles – Act 854 (SB 160) Regulation in Progress • Hurricane Models • Zip Code Defined Rating Territories • Rate Change “Capping” • Time Sensitive Rating Variables • Experience Based Rating of Fire Protection Districts

  13. FILING PROCEDURES • “Modified” Prior Approval –LRS 22:1401(B) • Informational Filings for Qualifying Commercial Programs or Policies – LRS 22:1401(D) • Minimum $10,000 policy premium for entire program or individual qualifying policy. • Not allowed for workers compensation or medical malpractice. • Qualifying Program – Provide a cover letter that clearly indicates the filing is for the entire program. State the minimum premium for the entire program. • Qualifying Policies – Provide a copy of the declaration page for each individual policyholder.

  14. COMMON PROBLEMS Coverage Line Requirements For Certificate Of Authority Selecting Appropriate Line of Business and/or Type of Insurance

  15. Property & Casualty Product Types

  16. COMMON PROBLEMS • Insufficient Details in Explanatory Memorandum • Monoline and Package Programs

  17. RATES / RULES HANDBOOK CHANGES • Removal of Commercial Deregulation, File and Use and Flexible Rating Filing Provisions • Inclusion of Property & Casualty Product Types

  18. FUTURE ENHANCEMENTS • Electronic Statement of Compliance • P&C moving toward NAIC’s Product Coding Matrix Lines • SERFF Integration with CRAFT • Improved Filing Searches

  19. QUESTIONS?

  20. LDOI OPC/Rating Division Contact Information • (225) 342-5203 (OPC/Rating Division • Website:www.ldi.state.la.us • Mailing Address: P. O. Box 94214 Baton Rouge, LA 70804-9214

More Related