Property and Casualty News
April 2015
We are celebrating over 25 years of providing selected items of current interest to our clients and friends. The items contained in this newsletter are derived from bulletins, regulations and legislative activity affecting the insurance industry. Please feel free to share this newsletter with others that may be interested. Contact our office for further details about any of the items contained in the newsletter.
Are you ready for TRIA 2015 Renewal?
Many entities and compliance professionals have now dealt with the drafting and filing needs related to the Terrorism Risk Insurance Program Reauthorization Act of 2015 signed by President Obama on January 12, 2015. There will be more activity in the upcoming weeks and months. First Consulting has set up a web page to keep you apprised of the various activities by the insurance regulators. You can access the information here.
AGENT / PRODUCER LICENSING AND APPOINTMENT; FEES
Florida has repealed three insurance regulations relating to insurance agents and agency services. The repealed regulations are: FAC Rule 69B-211.003, FAC Rule 69B-211.005, FAC Rule 69B-211.020, and FAC Rule 69B-211.021. They were repealed because they duplicate implemented law. FAC Rule 69B-211.003
AUTOMOBILE INSURANCE
Ohio has revised the requirements for financial responsibility related to licensed motor vehicle operators. Modifications include updated forms, bonds, deposits, evidence of responsibility, and procedures. The changes were effective 3/31/15. Rule 4501-1-2-01
Texas has revised and clarified its motor vehicle regulations. The revisions include removal, renumbering, and adoption of provisions. The changes were effective 3/12/15. 43 TAC s 217.60
CLAIMS/CLAIMS ISSUES
New Mexico issued a bulletin to all insurers pertaining to the interest rate applicable to unpaid claims 45 days after required proof of loss has been furnished. Bulletin 2015-004
COMMERCIAL LINES INSURANCE
Georgia amended its laws relating to boiler and pressure vessels. The changes include definitions and, safety standards, and inspection requirements. The changes were effective 4/5/15. 120-3-26-.01
DATA CALLS/REGULATORY REPORTING
Maryland has set a due date of 6/17/15 for submission of information relating to personal lines insurance premiums, specifically homeowners and private passenger automobile insurance. Correspondence will be sent to the insurers who are required to make such reports. Bulletin 15-07
DISASTER PREPAREDNESS
New York has set a due date of 6/1/15 for all insurers to submit documents related to disaster responses to the Department. The submission must be made via hard copy or through the Department's Portal Application. The circular letter requiring this submission also sets forth standards related to disaster preparedness. Circular Letter 2015-3
DISCRETIONARY CLAUSE
Oregon adopted a law that details the definition of "discretionary clause" and prohibits the use of such clauses. The rule applies to policies issued or renewed after 3/12/15. OAR 836-010-0026
ELECTRONIC TRANSACTIONS
Maine has revised its rules relating to transactions including digital signatures. The revisions conform to the standards of the American Institute of Certified Public Accountants, and make the State's standards less strict than they previously were. 29-250 s 950-8
FILING REQUIREMENTS / PROCEDURES
Delaware has revised the procedure for rate filings for homeowners' insurance. The change includes notice that reminder bulletins will no longer be issued so insurers must review the DOI's website annually for updates. Domestic/Foreign Insurers Bulletin 74
Illinois has revised filing requirements relating to policy and endorsement forms. The changes include types of documents that must be filed, third party filers, and general submission requirements. 50 Ill. Adm. Code 753
HOLDING COMPANIES
Connecticut has amended the Insurance Company Holding Act, specifically the requirements related to Form B Annual Registration Statements. The revisions were effective March 4, 2015. 38a-138-1
Kansas has revised its reporting requirements for insurance holding companies. The changes conform to NAIC model regulation but also include state-specific changes. 40-1-28
New Jersey has revised the process for insurance company holding companies (ie, Forms A through F). The changes are an attempt to conform to NAIC Model Insurance Holding Company System Regulation. Order A15-104
INTERNAL AND EXTERNAL REVIEW
Arizona has revised their guidelines relating to insurer internal compliance audits on a voluntary basis. I - HB 2335
PREMIUM TAX
Hawaii has revised Memorandum 2015-2E (dated 1/2/15) regarding premium tax statements and OPTins. The revisions include a chart of 2014 and 2015 premium tax statement options. Memorandum 2015-2E Revised
PROPERTY INSURANCE
Oklahoma issued a bulletin addressing earthquake insurance due to lack of payment toward claims filed in 2014 and an increase in earthquake activity. The bulletin includes exclusions for "man-made" earthquakes and pre-existing damage, as well as adjuster training. Bulletin No. PC 2015-02
PUBLIC RECORDS
Maryland has revised the requirements relating to public information requests and open meeting requirements applicable to workers' compensation. The changes were effective 3/16/15. COMAR 14.09.15.02
SURPLUS LINES
Michigan has implemented a requirement for electronic payment of surplus lines tax reports and payments. Filings must be made via OPTins and the Department will no longer accept paper filings as of 7/1/15. Bulletin No. 2015-09-INS
WORKERS' COMPENSATION
Louisiana has updated its rules relating to workers' compensation hearings. The revisions include new forms to be filed and preliminary determination of payment amounts. LAC 40:I.5507
TRAINING OPPORTUNITIES - ADVERTISING COMPLIANCE
Advertising Compliance Seminar
Discover a new network of fellow professionals and enjoy learning with them
August 3-4, 2015, Kansas City MO
http://www.firstconsulting.com/services/advertising-compliance-seminar
Advertising Law Webinar
60-90 Minutes scheduled at your convenience
Any line of business, customization is available
http://www.firstconsulting.com/services/advertising-law-webinar
In-Company Seminar
A full day in your facility
Tailored to your company needs
CJ.Rathbun@FirstConsulting.com for a quote
Value Added:
Complementary Subscription to receive periodic emails when advertising regulatory changes occur. Sign up: http://www.firstconsulting.com/contact-us
C. J. Rathbun, FLMI, CCEP, HIA, AIRC
816.391.2740
CJ.Rathbun@FirstConsulting.com
TRUST FIRST CONSULTING TO EASE YOUR STATE FILING NEEDS
Our Efficient Filing Process
Over the past 45 years First Consulting has refined and improved our filing process to maximize speed and efficiencies. First Consulting will complete required forms, certifications, perform Flesch scores, complete forms Checklists, handle forms Objections, and we update our website daily with any Status Updates so that you always know exactly where each state filing is at.
Analysts are for Analyzing, Not Filing
Using First Consulting’s filing experts is not only affordable, but it also allows your analyst to focus on those tasks that require their expertise, not the routine filing work.
Contact me today to find out how our clients gain an advantage by utilizing First Consulting for their state filing work.
Sean Cox
Sean.Cox@FirstConsulting.com
816.391.2737
Is your Company planning to expand its corporate authority?
Action such as a name change, re-domestication, acquisition, merger, or adding a new jurisdiction or line of business will require a change in your certificate of authority from each insurance department. The NAIC's Uniform Certificate of Authority Application (UCAA) has streamlined the corporate amendment filing process, but the process is still time consuming. Making a UCAA filing may be a one-time event for your staff and the experience may not be used again.
First Consulting can help with UCAA filings.
We can reduce the amount of time and effort expended. We are experienced in the UCAA filing process and are familiar with the various state-specific requirements that exist in addition to the UCAA requirements. Our UCAA Filing Services include advising what materials are needed for each state’s filing, assembly of the filings, and follow up, as necessary, to secure approval of the filings. Having First Consulting provide these services can free your staff for other functions and projects.
For more information about First Consulting’s services click here.
E-mail, or call me today for a no obligation proposal and cost estimate or to get more details.
John Palmer
816.391.2744
John.Palmer@FirstConsulting.com