Property & Casualty News
September 2022
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
Colorado amended provisions concerning appointment of registered agents. HB 22-1398; 10-3-107
Illinois published a bulletin providing information on completing background questions on license applications in an attempt to reduce the number of incorrect responses. Bulletin 2022-14
CLAIMS / CLAIMS ISSUES
Delaware issued a bulletin concerning the roles of insurance adjusters and contractors in claims involving insurance coverage for property damage. Combined Bulletins 28 and 101
New Jersey passed a law requiring an insurer to provide written disclosure of policy limits within 30 days of when an attorney requests the information. The disclosure must contain information set forth in the law. SB 2843
CREDIT FOR REINSURANCE
Florida amended Rules dealing with credit for reinsurance to incorporate changes to the NAIC's model regulation. FAC Rule 690-144.001 +
New Jersey amended its rule dealing with reinsurance to incorporate the NAIC's Credit for Reinsurance Model Regulation. Rule NJAC 11:2-28.7E
DEPARTMENT OF INSURANCE
Maryland issued a bulletin to inform all insurers it will accept payment of corporate amendment and expansion application filing fees electronically through OPTins. Paper checks will continue to be accepted as well. Bulletin 22-10
DISASTER / CATASTROPHIC EVENT
California notified all admitted and non-admitted insurers writing residential property insurance of the mandatory moratorium on cancellations and non-renewals of policies of residential property insurance after the declaration of a state of emergency. Bulletin 2022-11
Colorado adopted a regulation that applies to all insurers issuing homeowner policies that have loss claims resulting from catastrophic disasters in Colorado. The regulation identifies specific acts or practices that may constitute unfair claim settlement practices. Emergency Regulation 22-E-16
FILINGS: PROPERTY / CASUALTY
Delaware informed insurers that with the passage of Senate Bill 81, all deviations from rating organization filings for all lines of insurance are effective continuously until terminated with the approval of the Commissioner. Prior to this bill being passed, deviations from rating organization filings were required to be filed on an annual basis. Forms & Rates Bulletin 19 updated August 31, 2022
Oklahoma changed the address to which certain property and casualty filings must be submitted. 365:15-1-3, 365:15-7-3
GUARANTY ASSOCIATION
Louisiana's Insurance Department issued a bulletin to notify Property and Casualty and Surplus Lines insurers regarding Louisiana Insurance Guaranty Association's voluntary extension of the contractual and legal deadline in which to institute litigation for open and active first-party property damage claims against certain insolvent insurers. Bulletin 2022-06
HOLDING COMPANIES
Delaware notified all domestic insurers that Group Capital Calculation (GCC) filings must be filed by June 1 annually. Filing instructions are included. Domestic and Foreign Insurers Bulletin 133
Louisiana amended its regulation dealing with holding companies to add provisions for exemptions to the filing of reviewed financial statements for both Form A and Form B. Regulation LAC 37 XIII.133
MISCELLANEOUS
California provided notice to all insurers and interested persons seeking expedited review of corporate applications of the guidelines to have the review completed by year-end 2022. Notice of Year-End Review Procedures dated August 18, 2022
REPORTS - DATA CALLS & OTHER REPORTS
Hawaii provided annual reporting requirements for publication of motor vehicle insurers and private passenger auto premiums. Reporting Requirements - Motor Vehicle 2022 dated September 1, 2022
North Carolina notified Property and Casualty carriers writing nonfleet private passenger motor vehicle physical damage and homeowners insurance coverage of semi-annual reporting requirements. The reporting only applies to companies that issued Consent to Rate policies during the period 1/01/2022-6/30/2022. The filing should be submitted no later than 10/04/2022. Bulletin 22-B-08
SURPLUS LINES
Georgia's Directive reminds surplus line insurers and brokers that it is unlawful to charge customers fees in violation of the Georgia Unfair Trade Practices Act. Directive 22-EX-4
Maryland's Insurance Commission advised all surplus lines brokers that due to Senate Bill 572 being passed, surplus lines brokers may charge policy fees that are reasonably related to the cost of underwriting, issuing, processing, and servicing the policy by the broker for the surplus lines insurer. The Insurance Administration is adding a new column to the Surplus Lines Quarterly Report for brokers to identify the policy fee amount associated with each policy. Bulletin 22-09 (Revised)
Montana published a list of eligible surplus lines. In addition, the list notes that surplus lines producers may place insurance with alien companies appearing on the NAIC's quarterly listing and provides a link to the NAIC listing. Eligible Surplus Lines Companies - August 2022
TRADE PRACTICES
Texas' Department of Insurance reminds insurers and surplus lines companies they have a duty to act in good faith and to promptly pay settled claims. A list of unfair claim settlement practices is provided. Bulletin B-0006-22
WORKERS' COMPENSATION
Arizona's Workers' Compensation Commission updated the reimbursement process for witness fees. Witness Fee Change Notice dated August 30, 2022
Maine's Workers' Compensation Board provided instructions on filing the FY 2022 Annual Reconciliation forms. Assessment Reporting 2022
Michigan's Compensation Advisory Organization informed its members of the Data Collection Agency Workers' Compensation Insurance Statewide Average Advisory Pure Premium effective January 1, 2023, for new and renewal business. WC Circular Letter 333 CAOM
Minnesota's Department of Commerce advises members of the Minnesota Worker's Compensation Insurers Association that it approved the 2023 Minnesota Ratemaking Report effective January 1, 2023. WC Circular Letter 22-1808