Company Compliance: Important Notices
IMPORTANT NOTICE TO FILERS OF PROPERTY & CASUALTY TRAVEL INSURANCE PRODUCTS
This notice is applicable to property & casualty (P&C) travel products submitted under the System for Electronic Rate & Form Filing (SERFF) Type of Insurance (TOI) 9.0 Inland Marine. The Indiana Department of Insurance will now accept P&C travel products that include bracketed, variable information provided that a statement of variability is included within the filing as supporting documentation. P&C travel filings with bracketed, variable information submitted without a statement of variability will not be accepted. This change is effective April 1, 2021.
P.L. 101-2016 (SEA 336), effective January 1, 2017, amended IC 27-7-9-8 to add a requirement that additional living expenses coverage (ALE) be made available to insureds residing in structures that are covered under Indiana’s Mine Subsidence program. The purpose of this notice is to provide clarification concerning the offer of ALE coverage on commercial insurance policies. ALE coverage should be offered under policies that cover commercial structures if the policyholder resides in the commercial structure. The Indiana Department of Insurance has amended the “More Mine Subsidence FAQ’s” document and ALE description found on the Mine Subsidence page of the IDOI website to reflect this clarification.
P.L. 81-2012 (HEA 1226), effective July 1, 2012, amended IC 27-1-20-36 to add a new section requiring individual health insurers to provide the Department written notice of the insurer's intent to withdraw from the individual health insurance market at least 180 days before the insurer withdraws.
P.L. 13-2012 (HEA 1050), effective July 1, 2012, amended IC 27-1-2.1 to exempt health care sharing ministries from all requirements of Indiana insurance law and specifies requirements for a health care sharing ministry.
Notice to Insurers and Producers Regarding the Use of Rating Differences
Intended to Control Rate Changes
P.L. 55-2011 (HEA 1385), effective July 1, 2011, amended IC 27-1-22-3(a)(4) to allow rating differences intended to control rate changes under certain circumstances. After careful consideration, the Department has determined that the phrase “transfer of a policy in force among insurers” includes insurers represented by the same independent agent and applies in the case of a book roll. When reviewing filed rates, the Department will not object if a rating plan is intended to control rate fluctuations applicable to current policyholders as a result of a book roll. Rating plans previously rejected may be resubmitted for review based on the statutory change.
Questions regarding this Notice should be directed to Kate Kixmiller, Deputy Commissioner for Property & Casualty, at (317) 232-3495 or kkixmiller@idoi.IN.gov.
Indiana HEA 1024 (P.L. 116-2011), effective July 1, 2011, adds sub-section IC 27-7-5-2(f), which eliminates the requirement to make uninsured and underinsured motorist coverage available on commercial policies in which the only auto exposure is for hired/non-owned vehicles. The UM/UIM offer continues to be required in conjunction with commercial policies that cover owned vehicles. Commercial umbrella and commercial excess liability policies are exempt from the UM/UIM offer requirement per IC 27-7-5-2(d).
The Indiana Department of Insurance urges insurance companies offering coverage for residential property and personal property used within residential dwellings to provide conspicuous written disclosure to the prospective named insured or the named insured that claims against the policy may be considered by the insurer in determining whether to renew the policy.
In 2009 the IDOI began objecting to various types of Other Insurance provisions in property and casualty policies providing motor vehicle coverage because of legislative amendments to IC 27-8-9-7 regarding primary coverage for passengers. Additional amendments to IC 27-8-9-7(e) in 2010 have led the IDOI to the conclusion that certain of these objections are no longer necessary. Henceforth, Other Insurance provisions under the liability coverage section of motor vehicle policies which include no exception indicating primary coverage for passengers will not be objected to by the Department. However, the IDOI continues to interpret the statute to continue to require an owner's policy to provide primary coverage for passengers under Med Pay and UM/UIM.
Effective 5/1/2010 for specified accident and health rate revisions and effective 6/1/2010 for private passenger auto and homeowners rate revisions, our SERFF filing requirements will include required completion of all fields on the rate/rule schedule tab. Additional compulsory information is also identified by line of business in our updated SERFF submission requirements. Detailed information regarding these updates can be accessed via the SERFF system.
IMPORTANT NOTICE TO FILERS OF TRAVEL INSURANCE FORMS AND RATES
You will no longer have to make separate filings under Property/Casualty and Accident/Health for products that ‘bundle’ both exposures. Travel filings may be made under either a 1B or 2A licensure, but all travel filings should be submitted under the NAIC A&H TOI as they will be reviewed by the A&H analysts. This brings you the opportunity to file group platform products which could not be done previously under P&C rules. This change of procedure is effective June 1, 2008. Any filings received on or after that date will be handled as outlined above.