Property & Casualty News
February 2023
Welcome to our latest newsletter! As a thought leader in the Insurance Industry for over 50 years we are always excited to share the latest sampling of insurance compliance related bulletins, regulations, and legislative activity. Please feel free to share this newsletter with others that may be interested. Contact Us with any questions on the items in this newsletter or with any other compliance related matter we can assist you with. Enjoy!
AGENT / PRODUCER LICENSING AND APPOINTMENT
Delaware reminded non-resident licensees of the deadline to renew licenses by February 28, 2023. The notice includes fees and continuing education requirements. Notice of Non-Resident License Renewal
Kentucky adopted amendments to its regulations for licensing and continuing education of producers. 806 KAR 9:025
Nebraska's Insurance Department announced that PSI has been selected to administer insurance licensing examinations. The number of test sites in the state more than doubled. Notice dated January 11, 2023
AUTOMOBILE INSURANCE
California's Insurance Department issued a bulletin reminding automobile liability insurers to file prior approval rate applications due to updates in financial responsibility laws. Bulletin 2023-1
North Carolina's Insurance Department reported that a rate filing requesting an increase for automobile insurance was filed by the North Carolina Rate Bureau. The requested overall statewide increase requested is 28.4% effective October 1, 2023. The Department will review the data and rule on the rate increase. Notice dated February 2, 2023
Virginia's Insurance Department reminded all insurers licensed to write motor vehicle insurance, property and casualty interested parties, and all licensed rate service organizations of the need to accommodate the non-binary gender designation in their filed manual of rates and rating rules. Virginia law prohibits insurers from refusing to issue coverage based on gender identity. Notice dated January 3, 2023
CAPTIVES
Hawaii published a notice to all captive insurers authorized in the state providing guidance on filing requirements for reporting due in 2023. Memorandum 2023-1C
COMMERCIAL LINES INSURANCE
Colorado adopted a regulation addressing reimbursement claims for clean-up and mitigation of hazardous substance incidents. 8 CCR 1507-22
CREDIT FOR REINSURANCE
The District of Columbia adopted amendments to the Credit for Reinsurance Act to conform to updates in the NAIC Model. 26A DCMR 2805
DISASTER PREPAREDNESS
Missouri's Department of Commerce and Insurance asked all insurers writing policies covering real or personal property in Missouri to update their disaster contact information. Primary and Secondary Regulatory Contacts and a Communications Contact should be completed on an Excel spreadsheet form provided by the Department. Responses can be emailed to CompanyContacts@insurance.mo.gov. Bulletin 23-01
FILINGS: PROPERTY / CASUALTY
Louisiana published a notice reminding companies to update certain key contact information such as "Consumer Complaint Contact." The update must be filed with the insurance department no later than March 1. Notice must be submitted using the Licensee Contact Module of the Industry Access System. Notice Dated January 20, 2023
LIABILITY INSURANCE
Illinois published the 2023 Dram Shop Liability Limits under the Liquor Control Act calculated on the consumer price index over the past 12 months. Judgment or recovery for loss due to persons injured, killed, or incurring property damage will not exceed $82,804.58 per person. Recovery for loss of means of support or loss of society resulting from the death or injury of any person, will not exceed $101,205.60. 2023 Dram Shop Liability Limits
MISCELLANEOUS
Massachusetts published a bulletin notifying Commercial Insurers offering Medical Malpractice coverage of recent amendments prohibiting discrimination against a provider who offers reproductive or gender-affirming health care services that are unlawful in another state. Bulletin 2023-02
Washington repealed the temporary prohibition on the use of consumer credit history to set rates for auto insurance, homeowners, and renters' insurance. This action is the result of the court's ruling in National Association of Mutual Insurance Companies, et al v. State of Washington. WAC 284-24A-090
Washington's Insurance Commissioner informed insurance producers, title insurance agents, adjusters, and other persons licensed under RCW 4817.475 of expectations for the timely handling of electronic mail communications sent by the Office of the Insurance Commissioner. Technical Assistance Advisory dated January 13, 2023
PERSONAL LINES INSURANCE
Louisiana's Insurance Commissioner informed all property and casualty and surplus lines insurers issuing homeowners policies of additional living expense coverage under La. R.S. 22:1338. This law may require an insurer to render an advance payment of three months of additional living expenses of 3 months when a total loss is sustained. Insurers are also directed to amend and file policy forms. Directive 220
PREMIUM TAX
California's Insurance Department issued a bulletin reminding insurers of upcoming premium tax filing due dates. Notice Dated January 31, 2023
PROPERTY INSURANCE
California's Insurance Commissioner issued a bulletin notifying residential and commercial property insurers of new pricing regulations to align with state wildfire safety efforts. Insurers must also release wildfire risk determinations to residents and businesses no later than April 12, 2023, and allow appeals from those determinations. Bulletin 2023-2
Colorado adopted an emergency regulation concerning time limits on payment of policy benefits in the event of a catastrophic disaster. 22-E-21
Louisiana's Insurance Department requested all property and casualty insurers and surplus insurers writing property insurance coverage to properly evaluate their use of crime ratings in the underwriting and rating practices of properties in certain cities and parishes so policyholders can be treated fairly. Bulletin 2023-01
REPORTS - DATA CALLS & OTHER REPORTS
Florida issued a data call notice requiring companies to annually report personal and commercial residential property claims litigation data. The upcoming deadline is March 1, 2023, for the data period January 1-December 31, 2022. Notice to Industry January 11, 2023
Indiana issued a data call for the Indiana Assigned Risk Reinsurance Pool, requiring members to complete annual reporting by March 31, 2023. Circular Letter 2023-02
North Carolina's Insurance Department informs member insurers of the North Carolina Insurance Underwriting Association they are required to submit an annual data report by April 1, 2023, regarding homeowner policies written in the beach and coastal areas. Bulletin 23-B-01
Oklahoma's Insurance Department reminds property & casualty carriers with direct written premium in several categories of personal and commercial lines that they are required to submit 2022 Pre-Disaster Data. This data is due by March 1, 2023. Oklahoma Pre-Disaster Data Call
Pennsylvania's Insurance Department announced it is conducting a medical malpractice data call to study the availability of additional basic coverage capacity in the medical malpractice market. All data is due by March 6, 2023. Medical Malpractice Data Call Letter dated January 27, 2023.
SERVICE CONTRACTS / WARRANTY INSURANCE
Arizona's Department of Insurance updated its requirements for companies offering service contracts, including those for approval of forms. R20-6-407
SURPLUS LINES
Montana published a list of Surplus Lines Companies Eligible in Montana for 2023. In addition to the U.S. companies on the list, producers may place insurance with an alien company that appears on the NAIC's Quarterly listing. Notice dated January 26, 2023
WORKERS' COMPENSATION
Alabama's Workers' Compensation Division published a new mileage reimbursement rate. Beginning January 1, 2023, the rate was increased to $.655 per mile. Notice Dated December 30, 2022
Alaska's Department of Labor and Workforce Development published the average weekly wage and minimum/maximum compensation rates for 2023. Bulletin WC 22-09
Iowa issued notice of an assessment to insurers and self-insured employers, due by March 7, 2023, to meet the liabilities of the Second Injury Fund. Notice of Second Injury Fund Assessment
North Carolina Rate Bureau announced that insurer members must notify the Rate Bureau of their intent to participate in the Assigned Risk Take-Out Credit Program no later than February 20, 2023. The program provides "credit" to insurers for workers compensation premium moved from the residual market to the voluntary market. The credits are applied to the insurer's voluntary premium used in calculating its plan participation base. WC Circular Letter C-23-1 dated January 30, 2023
Oklahoma's Workers' Compensation Commission announced to carriers, third-party administrators, self-insured employers, and group self-insured associations that a revised MFDR Form 19 is now being used. The change more clearly identifies the medical provider as the claimant on the form. Alert dated January 30, 2023