Property & Casualty News
October 2021
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 CONTINUING EDUCATION
Indiana's Producer and Adjuster Licensing Division posted notice on their website that if a resident producer completes more than 24 hours of continuing education credit before the producer's renewal date, the excess or "carry-over" credit hours will be applied to the producer's next license renewal period. Certain stipulations apply. License Notice dated September 30, 2021
AGENT / PRODUCER LICENSING AND APPOINTMENT
Oklahoma's Insurance Department issued a notice to remind carriers to keep producer appointments current. It also outlines changes in updating contacts, reconciling information and other key information. 2021 Appointment Renewal Notification dated October 7, 2021
AUTOMOBILE INSURANCE
California's Consumer Privacy Act is revised to make vessel information or ownership information retained or shared between a vessel dealer and the vessel manufacturer exempt from the right of opt out under the law. AB 335
Michigan notified auto insurers there are resources that can assist them in applying the fee schedule set forth in MCL 500.3157. Bulletin 2021-37-INS
Michigan's Department of Insurance advises auto insurers it has updated its list of "Hospitals with Indigent Volume Entitled to Enhanced Auto Insurance Reimbursement." The update is retroactive for dates of servicing beginning July 2, 2021 and bills may need to be re-processed to reflect the correct reimbursement amount. Bulletin 2021-34-INS
Michigan's Department of Insurance has found that many health care providers and other persons providing product, services and accommodations payable under personal protection insurance (PIP) policies are experiencing delays in receiving reimbursement from auto insurers. The Department sets forth its expectations regarding timely and appropriate payment of benefits. Bulletin 2021-35-INS
Michigan's Department of Insurance issued a bulletin explaining that certain products, services and accommodations are allowable expenses under Personal Protection Insurance (PIP) and are subject to a fee schedule under MCL 500.3157. Other expenses must have a reasonable standard applied under MCL 500.3107. For dates of service after July 1, 2021, insurers must re-process claims immediately for all claims paid erroneously. Bulletin 2021-38-INS
Michigan's Department of Insurance reminds auto insurers that the payment of auto no-fault benefits are due upon receipt of reasonable proof of loss. Common situations of claim disputes are discussed. Bulletin 2021-36-INS
New Jersey amended its law concerning disclosure of policy limits under a Private Passenger Automobile Policy. The new section requires the Department of Banking and Insurance to publish on its website the email address of each insurer for the purpose of receiving requests for policy limit disclosures. SB 1558
Rhode Island issued a bulletin to provide interpretation for the 2021 amendments to R.I. Gen. Laws 27-7-6 dealing with auto policies with comprehensive collision coverage paying for damage to a rental vehicle. Bulletin 2021-6
Virginia's Bureau of Insurance adopted the Commercial Auto Rate filing submitted by the Automobile Insurance Plans Service Office for new and renewal policies effective on and after January 1, 2022. Administrative Order 12137
CREDIT INSURANCE
South Carolina’s Director of Insurance approved the rates for credit property insurance for 2022 sold in connection with loans subject to the South Carolina Consumer Protection Code. Order 2021-03
CYBERSECURITY
Maine's Superintendent of Insurance issued a bulletin to outline requirements of the Data Security Act which is effective January 1, 2022. Bulletin 462
Wisconsin's Insurance Commissioner informed carriers, producers, and other licensees of the new requirements related to data security. Bulletin dated September 30, 2021
LIABILITY INSURANCE
The Texas Department of Insurance modified the Texas Windstorm Insurance Association's (TWIA) petition to increase its maximum liability limits. The adjustments apply to windstorm and hail insurance policies on January 1, 2022. Final Order 2021-7013 dated October 6, 2021
MISCELLANEOUS
Georgia's Insurance Commissioner reminds insurers, agents and public adjusters they must respond to requests for information sent to them by the Consumer Services Division within 15 business days. Failure to comply may result in further regulatory action by the Department. Directive 21-EX-4
Maryland reminds insurers that the use of credit or credit worthiness as an underwriting consideration or rating factor is prohibited in homeowners insurance. For private passenger motor vehicle insurance, the use of credit, other than for rating a new policy is prohibited. An insurer cannot refuse to underwrite, cancel, refuse to renew, increase the renewal policy premium or require a particular payment plan based on credit. Bulletin 21-26
Michigan's Department of Insurance updated the List of Michigan Municipalities Participating in the Fire Insurance Withholding Program effective November 1, 2021. Edition 136 released October 1, 2021
PERSONAL LINES INSURANCE
California issued a mandatory moratorium on cancellations and non-renewals of residential property insurance for one year after a state of emergency is declared due to wildfires. Bulletin 2021-06
Louisiana established a voluntary mediation program for property and casualty and surplus lines insurers and their policyholders. This program runs to June 30, 2022 to resolve disputes on personal lines residential property claims associated with Hurricane Ida. Bulletin 2021-08
WORKERS' COMPENSATION
Arizona's Industrial Commission announced the minimum wage will increase from $12.15 to $12.80 effective January 1, 2022. The 65 cent increase in minimum wage is based on inflation increase for the period August 2020 through August 2021, as published in the U.S. Bureau of Labor Statistics' Consumer Price Index. Notice dated September 16, 2021
Arkansas revised its weekly workers' compensation rates for 2022. For accidents, the maximums in 2022 will be $790 for Total Disability and $593 for Permanent Partial Disability. AWCC Advisory 2000-1 Update
Minnesota's Deputy Commerce Commissioner announced the Workers' Compensation Assigned Risk premium level effective January 1, 2022. WC Circular Letter 21-1794
Oregon's Workers' Compensation Division informs workers' compensation insurers, self-insured employers and service companies it will resume issuing civil penalties for nonresponse to insurer delinquency reports beginning with the 4th quarter of 2021. Due to COVID-19 the Department had suspended issuing civil penalties in March, 2020. WC Notice of September 13, 2021
The Texas Division of Workers' Compensation has set the state's average weekly wage and maximum and minimum weekly benefits for dates of injury from October 1, 2021 through September 30, 2022. DWC Notice dated September 17, 2021
The Texas Division of Workers' Compensation revised and adopted Forms 081-085. DWC Notice dated October 7, 2021
West Virginia issued notice of Workers' Compensation Loss Cost by Class Voluntary Market effective November 1, 2021. WC Notice of 2021 Loss Costs dated October 6, 2021
West Virginia's Permanent Total Disability Review Board will no longer accept applications from self-insured employers or private carriers to evaluate claimants for permanent total disability benefits beginning January 1, 2022. Bulletin 21-06