28 Tex. Admin. Code § 5.9334 - Requirements for Rate and Rule Filing Submissions
(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.
Notes
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