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304.13-051 Filing rates and rate information -- When filing becomes effective.
(1)
(2)
(3)
(4)
(5)
(6)
(7)
In a competitive market, every insurer shall file with the commissioner rates
and supplementary information to be used in this state for commercial risks as
designated by the commissioner and for all personal risks. The rates and
supplementary rate information shall be filed not later than fifteen (15) days
after the date of first use of the rates, unless the commissioner finds after a
hearing that an insurer's rates require closer supervision because of the
insurer's financial condition. On a finding, rates for both personal and
commercial risks, supplementary rate information, and supporting information
shall be filed with the commissioner at least thirty (30) days before the effective
date of the rates. An order shall expire no later than one (1) year after it is
issued.
In a noncompetitive market, every insurer shall file with the commissioner all
rates for that market, supplementary rate information, and supporting
information at least thirty (30) days before the proposed effective date of the
rates. On application of the filer, the commissioner may authorize an earlier
effective date.
Any rate filing in effect at the time the commissioner determines that
competition does not exist pursuant to KRS 304.13-041 shall be deemed to be
effective until disapproved pursuant to the procedures and rating standards of
this chapter.
Every insurer shall file with the commissioner all rating manuals and
underwriting rules that it uses in this state not later than fifteen (15) days after
they become effective. Manuals, rules, and guidelines must be adhered to until
amended. The commissioner may exempt an insurer from filing supporting
information if it files by reference, with or without deviation, to a filing which is in
effect for another insurer or an advisory organization.
(a) No insurer shall place into effect any rates, manuals, or underwriting rules
which it proposes to use pursuant to subsection (1) or (4) of this section if
the rates, manuals or underwriting rules will result in an increase or
decrease of more than twenty-five percent (25%) from the insurer's then
existing rates for any classification of risks in any of its rating territories
within a twelve (12) month period of time.
(b) Any insurer which proposes to change its then existing rates, manuals, or
underwriting rules so as to effectively increase or decrease the rates of
any classification of risks within any rating territory more than twenty-five
percent (25%) within a twelve (12) month period shall file all the rates and
supplemental rating information which shall not become effective until
approved by the commissioner.
Rates and supplemental rating information for a residual market mechanism
shall not become effective until approved by the commissioner.
The commissioner shall review filings made in accordance with subsections
(2), (5)(b), and (6) of this section as soon as reasonably possible after they
have been made in order to determine whether they meet the applicable
requirements of this chapter. Each filing shall be on file for a waiting period of
thirty (30) days before it becomes effective, which period may be extended by
the commissioner for an additional period not to exceed thirty (30) days if he or
(8)
she gives written notice within the waiting period to the insurer which made the
filing that additional time is needed for consideration of the filing. The
commissioner may, when he or she deems it to be in the public interest, hold a
public hearing on any filing before the filing becomes effective to determine
whether the filing meets the requirements of this subtitle. In the event that a
hearing is held under the provisions of this subsection, the waiting periods
specified in this subsection shall not begin to run until thirty (30) days after the
close of the hearing. The burden of establishing that the filing under
consideration meets the requirements of this subtitle is on the insurer which
makes the filing. A filing shall be deemed to meet the requirements of this
subtitle unless disapproved by the commissioner within the waiting period or
any extension thereof.
At any hearing concerning an increase in worker's compensation rates
conducted pursuant to subsection (7), the commissioner may approve a rate
other than one that has been proposed by the filer if it is justified by the
evidence presented at the hearing.
Effective:July 15, 2010
History: Amended 2010 Ky. Acts ch. 24, sec. 1116, effective July 15, 2010. -Amended 1994 Ky. Acts ch. 93, sec. 20, effective July 15, 1994. -- Amended
1988 Ky. Acts ch. 225, sec. 9, effective July 15, 1988. -- Amended 1986 Ky.
Acts ch. 437, sec. 19, effective July 15, 1986. -- Created 1982 Ky. Acts ch. 278,
sec. 5, effective July 15, 1982.
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