| (a) Insurers must file any new rates or revisions to
previously filed rates governed by Insurance Code Chapter 2053, concerning
Rates for Workers' Compensation Insurance, at least 30 days before
they become effective. The insurer must file any supplementary rating
information not prescribed under Insurance Code Article 5.96, concerning
Promulgated Lines.
(b) For rates governed by Insurance Code Chapter 2251,
concerning Rates, insurers must file any new rates, rating manuals,
rules, all other supplementary rating information, and fees, or revisions
to these items and all other information required by this section.
An insurer may use the information filed under this division on and
after the date of the filing, unless the insurer is subject to prior
approval under Insurance Code Chapter 2251, Subchapter D, concerning
Prior Approval of Rates Under Certain Circumstances.
(c) Insurers must file any new rates and supplementary
rating information or revisions to previously filed rates and supplementary
rating information governed by Insurance Code Chapter 3502, concerning
Mortgage Guaranty Insurance, at least 15 days before they become effective.
(d) All rate and rule filings must be submitted for
only one line of insurance except for multi-peril and interline filings.
(e) Each filing must include the transmittal information
required in §5.9310 of this title (relating to Property and Casualty
Transmittal Information and General Filing Requirements).
(f) Insurers must inform TDI of a change in the effective
date of a rate and rule filing on or before the effective date in
the filing.
(g) Each filing must include a filing memorandum that
explains the purpose of the filing and provides all material background
details relating to the filing, including a statement on the overall
impact of the filing. The filing memorandum must briefly describe
each change to the rates, rating manuals, rules, any other supplementary
rating information and fees used by the insurer, and briefly describe
the supporting information provided for each change. A brief summary
of any related policy form or endorsement filings, including the coverages,
limitations, and exclusions, must be included.
(h) Except as provided in Division 9 of this subchapter
(relating to Filings Made Easy - Reduced Filing Requirements for Certain
Insurers), or subsection (j) of this section, each filing must include
supporting information. Sufficient supporting information is necessary
for TDI to establish that a filing produces rates that are not excessive,
inadequate, unreasonable, or unfairly discriminatory for the risks
to which they apply. Insurers must provide sufficient documentation
to justify specific rates or revisions they are proposing. To the
extent the information originally submitted in a rate and rule filing
is insufficient, TDI may request additional information as deemed
necessary by TDI or the Commissioner. Each filing must contain the
following items:
(1) a completed rate filing checklist;
(2) rate change information;
(3) SERFF rate data;
(4) loss cost information, if the filing references
an advisory organization loss cost filing;
(5) an actuarial memorandum;
(6) actuarial support appropriate to the rating information
being filed, as specified in subparagraphs (A) - (C) of this paragraph:
(A) All filings that propose changes to relativities,
such as territory or class, and those implied by discounts, surcharges,
or tiers, must include relativity analyses. This requirement applies
when the proposed rate changes vary across a characteristic, regardless
of presentation. The related territory codes and descriptions, classification
systems and descriptions, or rules must also be included.
(B) All except the following filings must include rate
indications:
(i) filings for new rates that will not replace, modify,
or supersede any existing rates, unless the rates are derived from
the experience of an affiliate, including an eligible surplus lines
insurer;
(ii) fee filings; or
(iii) filings containing changes only to supplementary
rating information with no overall rate impact. Examples include filings
with no overall rate impact that contain only items such as relativity
changes or rates for endorsements.
(C) Filings must include other actuarial support when
neither the relativity analysis in subparagraph (A) of this paragraph
nor the rate indications in subparagraph (B) of this paragraph apply;
(7) policyholder impact information for owner-occupied
homeowner and personal automobile filings that include changes that
will result in a difference between the minimum and maximum policyholder
impact that is greater than 5%;
(8) the average rate change by county for owner-occupied
homeowners rate filings;
(9) historical premium and loss information, if the
filing changes or replaces existing rates;
(10) expense information;
(11) profit provision information;
(12) third-party data information; and
(13) third-party model information.
(i) Filings submitted by advisory organizations do
not need to include:
(1) the proposed effective date as specified in §5.9310(c)(9)
of this title;
(2) the written premium and policyholder information
in the SERFF rate data as specified in subsection (h)(3) of this section;
(3) policyholder impact information as specified in
subsection (h)(7) of this section;
(4) historical premium and loss information as specified
in subsection (h)(9) of this section;
(5) expense information as specified in subsection
(h)(10) of this section; or
(6) profit provision information as specified in subsection
(h)(11) of this section.
(j) Instead of the items in subsection (h) of this
section, short track filings must include:
(1) a completed rate filing checklist;
(2) rate change information;
(3) SERFF rate data; and
(4) a side-by-side comparison or a mark-up, if applicable.
(k) Each filing submitted must be legible, accurate,
internally consistent, complete, and contain all required documents.
In each filing:
(1) each table must be clearly labeled, including titles
and column and row headings to clearly identify the contents;
(2) row and column headings must be repeated on each
page of tables displayed on multiple pages;
(3) all pages must print to at least 10-point type
in black ink, unless the pages are a mark-up;
(4) text shading, other than yellow highlighting, may
not be used; and
(5) each page should include a page number or other
unique identifier.
(l) Paragraphs (1) - (3) of this subsection address
public information.
(1) If an insurer believes a portion of the information
required to be filed under Insurance Code Chapter 2053 or Chapter
2251 is confidential and excepted from disclosure under Government
Code Chapter 552, concerning Public Information, the insurer must
mark each page excepted.
(2) For filings submitted under Insurance Code Chapters
2053 or 2251 that include information that is marked confidential,
TDI will request an attorney general decision under Government Code
Chapter 552 before making the information open for public inspection.
TDI does not consider the following excepted from disclosure under
Government Code Chapter 552: loss cost multipliers, rates, rating
factors and relativities, rating manuals, fees, or summary information
about the filing, including date filed, rate impact, effective dates,
or a summary of the changes. TDI does not consider the following categories
of supporting information excepted from disclosure under Government
Code Chapter 552: rate change information, SERFF rate data, average
rate change by county, sample premium impacts by selected ZIP codes,
historical premium and loss information, or historical expense information.
(3) Each filing submitted under Insurance Code Chapter
3502, including any supporting information filed, will be open for
public inspection as of the date of the filing.
(m) The insurer is responsible for ensuring that its
filing complies with Texas statutes and rules.
(n) TDI maintains the Filings Made Easy Guide to help
insurers comply with Texas statutes and rules. Insurers may refer
to the Filings Made Easy Guide for rate filing templates or exhibits
that insurers can use to display necessary supporting information
required in subsection (h) of this section. Insurers may obtain this
guide from TDI's website at www.tdi.texas.gov.
(o) Filings under this division may not be combined
with any other filing types submitted under this subchapter.
|
