Insurer Reporting Requirements; List of Insurers Required To File Reports, 28343-28347 [2012-11565]

Download as PDF 28343 Federal Register / Vol. 77, No. 93 / Monday, May 14, 2012 / Proposed Rules otherwise impose any new or revised requirements. As such, this action is not subject to review by the Office of Management and Budget (OMB) as a significant regulatory action under Executive Order 12866, entitled ‘‘Regulatory Planning and Review’’ (58 FR 51735, October 4, 1993). Nor does it impose or change any information collection burden that requires additional review by OMB under the provisions of the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.). Because this proposed rule eliminates existing requirements without imposing any new or revised requirements, the Agency certifies pursuant to section 605(b) of the Regulatory Flexibility Act (RFA) (5 U.S.C. 601 et seq.), that this action will not have a significant economic impact on a substantial number of small entities. For the same reasons, it is not subject to the requirements of sections 202 and 205 of the Unfunded Mandates Reform Act (UMRA) (2 U.S.C. 1531–1538), and does not significantly or uniquely affect small governments or impose a significant intergovernmental mandate, as described in UMRA sections 203 and 204. This proposed rule does not have tribal implications, as specified in Executive Order 13175, entitled ‘‘Consultation and Coordination with Indian Tribal Governments’’ (65 FR 67249, November 9, 2000), or federalism implications as specified in Executive Order 13132, entitled ‘‘Federalism’’ (64 FR 43255, August 10, 1999). Since this action is not economically significant under Executive Order 12866, it is not subject to Executive Order 13045, entitled ‘‘Protection of Children from Environmental Health Risks and Safety Risks’’ (62 FR 19885, April 23, 1997), and Executive Order 13211, entitled ‘‘Actions concerning Regulations that Significantly Affect Energy Supply, Distribution, or Use’’ (66 FR 28355, May 22, 2001). This action does not involve technical standards; thus, the requirements of section 12(d) of the National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 note) do not apply. This proposed rule does not involve special consideration of environmental justice related issues as specified in Executive Order 12898, entitled ‘‘Federal Actions to Address Environmental Justice in Minority Populations and Low-Income Populations’’ (59 FR 7629, February 16, 1994). List of Subjects in 40 CFR Part 799 Environmental protection, Chemicals, Hazardous substances, Reporting and recordkeeping requirements. Dated: May 8, 2012. James J. Jones, Acting Assistant Administrator, Office of Chemical Safety and Pollution Prevention. Therefore, 40 CFR chapter I is proposed to be amended as follows: PART 799—[AMENDED] 1. The authority citation for part 799 continues to read as follows: Authority: 15 U.S.C. 2603, 2611, 2625. 2. In § 799.5085, revise the entry ‘‘CAS No. 1324–76–1’’ in Table 2 of paragraph (j) to read as follows: § 799.5085 Chemical testing requirements for certain high production volume chemicals. * * * (j) * * * * * TABLE 2—CHEMICAL SUBSTANCES AND TESTING REQUIREMENTS CAS No. * Chemical name * * 1324–76–1 .......................................... * * * * * * * * BILLING CODE 6560–50–P DEPARTMENT OF TRANSPORTATION National Highway Traffic Safety Administration 49 CFR Part 544 emcdonald on DSK29S0YB1PROD with PROPOSALS [Docket No.: NHTSA–2012–0020] RIN 2127–AL22 Insurer Reporting Requirements; List of Insurers Required To File Reports National Highway Traffic Safety Administration (NHTSA), Department of Transportation (DOT). ACTION: Notice of proposed rulemaking. AGENCY: 14:46 May 11, 2012 * * * * This document proposes to amend appendices to NHTSA regulations on Insurer Reporting Requirements. The appendices list those passenger motor vehicle insurers that are required to file reports on their motor vehicle theft loss experiences. An insurer included in any of these appendices would be required to file three copies of its report for the 2009 calendar year before October 25, 2012. If the passenger motor vehicle insurers remain listed, they must submit reports by each subsequent October 25. We are proposing to add and remove several insurers from relevant appendices. SUMMARY: [FR Doc. 2012–11491 Filed 5–11–12; 8:45 am] VerDate Mar<15>2010 * Benzenesulfonic acid, [[4-[[4-(phenylamino)phenyl][4-(phenylimino)-2,5cyclohexadien-1-ylidene]methyl]phenyl]amino]-. * Jkt 226001 Comments must be submitted not later than July 13, 2012. Insurers listed in the appendices are required to submit reports on or before October 25, 2012. DATES: PO 00000 Frm 00028 Fmt 4702 Sfmt 4702 Required tests/ (See Table 3 of this section) Class * 2 A4, C2, F1. * You may submit comments, identified by DOT Docket No. NHTSA– 2012–0020 by any of the following methods: • Federal eRulemaking Portal: Go to https://www.regulations.gov. Follow the online instructions for submitting comments. • Mail: Docket Management Facility: U.S. Department of Transportation, 1200 New Jersey Avenue SE., West Building, Ground Floor, Room W12–140, Washington, DC 20590–0001. • Hand Delivery or Courier: West Building Ground Floor, Room W12–140, 1200 New Jersey Avenue SE., Washington, DC, between 9 a.m. and 5 p.m. ET, Monday through Friday, except Federal holidays. • Fax: 1–202–493–2251. Instructions: For detailed instructions on submitting comments and additional information on the rulemaking process, ADDRESSES: E:\FR\FM\14MYP1.SGM 14MYP1 28344 Federal Register / Vol. 77, No. 93 / Monday, May 14, 2012 / Proposed Rules see the Public Participation heading of the Supplementary Information section of this document. Note that all comments received will be posted without change to https:// www.regulations.gov, including any personal information provided. Please see the Privacy Act heading below. Privacy Act: Anyone is able to search the electronic form of all comments received into any of our dockets by the name of the individual submitting the comment (or signing the comment, if submitted on behalf of an association, business, labor union, etc.). You may review DOT’s complete Privacy Act Statement in the Federal Register published on April 11, 2000 (65 FR 19477–78) or you may visit https:// DocketInfo.dot.gov. Docket: For access to the docket to read background documents or comments received, go to the street address listed above. The internet access to the docket will be at https:// www.regulations.gov. Follow the online instructions for accessing the dockets. FOR FURTHER INFORMATION CONTACT: Carlita Ballard, Office of International Policy, Fuel Economy and Consumer Programs, NHTSA, 1200 New Jersey Avenue SE., Washington, DC 20590, by electronic mail to Carlita.Ballard@dot.gov. Ms. Ballard’s telephone number is (202) 366–0846. Her fax number is (202) 493–2990. SUPPLEMENTARY INFORMATION: emcdonald on DSK29S0YB1PROD with PROPOSALS I. Background Pursuant to 49 U.S.C. 33112, Insurer reports and information, NHTSA requires certain passenger motor vehicle insurers to file an annual report with the agency. Each insurer’s report includes information about thefts and recoveries of motor vehicles, the rating rules used by the insurer to establish premiums for comprehensive coverage, the actions taken by the insurer to reduce such premiums and the actions taken by the insurer to reduce or deter theft. Under the agency’s regulation, 49 CFR part 544, the following insurers are subject to the reporting requirements: (1) Issuers of motor vehicle insurance policies whose total premiums account for 1 percent or more of the total premiums of motor vehicle insurance issued within the United States; (2) Issuers of motor vehicle insurance policies whose premiums account for 10 percent or more of total premiums written within any one state; and (3) Rental and leasing companies with a fleet of 20 or more vehicles not covered by theft insurance policies issued by insurers of motor vehicles, other than any governmental entity. VerDate Mar<15>2010 14:46 May 11, 2012 Jkt 226001 Pursuant to its statutory exemption authority, the agency exempted certain passenger motor vehicle insurers from the reporting requirements. A. Small Insurers of Passenger Motor Vehicles Section 33112(f)(2) provides that the agency shall exempt small insurers of passenger motor vehicles if NHTSA finds that such exemptions will not significantly affect the validity or usefulness of the information in the reports, either nationally or on a stateby-state basis. The term ‘‘small insurer’’ is defined, in Section 33112(f)(1)(A) and (B), as an insurer whose premiums for motor vehicle insurance issued directly or through an affiliate, including pooling arrangements established under state law or regulation for the issuance of motor vehicle insurance, account for less than 1 percent of the total premiums for all forms of motor vehicle insurance issued by insurers within the United States. However, that section also stipulates that if an insurance company satisfies this definition of a ‘‘small insurer,’’ but accounts for 10 percent or more of the total premiums for all motor vehicle insurance issued in a particular state, the insurer must report about its operations in that state. In the final rule establishing the insurer reports requirement (52 FR 59; January 2, 1987), 49 CFR Part 544, NHTSA exercised its exemption authority by listing in Appendix A each insurer that must report because it had at least 1 percent of the motor vehicle insurance premiums nationally. Listing the insurers subject to reporting, instead of each insurer exempted from reporting because it had less than 1 percent of the premiums nationally, is administratively simpler since the former group is much smaller than the latter. In Appendix B, NHTSA lists those insurers required to report for particular states because each insurer had a 10 percent or greater market share of motor vehicle premiums in those states. In the January 1987 final rule, the agency stated that it would update Appendices A and B annually. NHTSA updates the appendices based on data voluntarily provided by insurance companies to A.M. Best.1 A.M. Best publishes in its State/Line Report each spring. The agency uses the data to determine the insurers’ market shares nationally and in each state. 1 A.M. Best Company is a well-recognized source of insurance company ratings and information. 49 U.S.C. 33112(i) authorizes NHTSA to consult with public and private organizations as necessary. PO 00000 Frm 00029 Fmt 4702 Sfmt 4702 B. Self-Insured Rental and Leasing Companies In addition, upon making certain determinations, NHTSA grants exemptions to self-insurers, i.e., any person who has a fleet of 20 or more motor vehicles (other than any governmental entity) used for rental or lease whose vehicles are not covered by theft insurance policies issued by insurers of passenger motor vehicles, 49 U.S.C. 33112(b)(1) and (f). Under 49 U.S.C. 33112(e)(1) and (2), NHTSA may exempt a self-insurer from reporting, if the agency determines: (1) The cost of preparing and furnishing such reports is excessive in relation to the size of the business of the insurer; and 33112(e)(1) and (2), (2) The insurer’s report will not significantly contribute to carrying out the purposes of Chapter 331. In a final rule published June 22, 1990 (55 FR 25606), the agency granted a class exemption to all companies that rent or lease fewer than 50,000 vehicles, because it believed that the largest companies’ reports sufficiently represent the theft experience of rental and leasing companies. NHTSA concluded that smaller rental and leasing companies’ reports do not significantly contribute to carrying out NHTSA’s statutory obligations and that exempting such companies will relieve an unnecessary burden on them. As a result of the June 1990 final rule, the agency added Appendix C, consisting of an annually updated list of the selfinsurers subject to Part 544. Following the same approach as in Appendix A, NHTSA included, in Appendix C, each of the self-insurers subject to reporting instead of the self-insurers which are exempted. NHTSA updates Appendix C based primarily on information from Automotive Fleet Magazine and Auto Rental News.2 C. When a Listed Insurer Must File a Report Under Part 544, as long as an insurer is listed, it must file reports on or before October 25 of each year. Thus, any insurer listed in the appendices must file a report before October 25, and by each succeeding October 25, absent an amendment removing the insurer’s name from the appendices. 2 Automotive Fleet Magazine and Auto Rental News are publications that provide information on the size of fleets and market share of rental and leasing companies. E:\FR\FM\14MYP1.SGM 14MYP1 Federal Register / Vol. 77, No. 93 / Monday, May 14, 2012 / Proposed Rules II. Proposal III. Regulatory Impacts 1. Insurers of Passenger Motor Vehicles 1. Costs and Other Impacts This notice has not been reviewed under Executive Order 12866. NHTSA has considered the impact of this proposed rule and determined that the action is not ‘‘significant’’ within the meaning of the Department of Transportation’s regulatory policies and procedures. This proposed rule implements the agency’s policy of ensuring that all insurance companies that are statutorily eligible for exemption from the insurer reporting requirements are in fact exempted from those requirements. Only those companies that are not statutorily eligible for an exemption are required to file reports. NHTSA does not believe that this proposed rule, reflecting current data, affects the impacts described in the final regulatory evaluation prepared for the final rule establishing Part 544 (52 FR 59; January 2, 1987). Accordingly, a separate regulatory evaluation has not been prepared for this rulemaking action. The cost estimates in the 1987 final regulatory evaluation should be adjusted for inflation, using the Bureau of Labor Statistics Consumer Price Index for 2012 (see https://www.bls.gov/cpi). The agency estimates that the cost of compliance is $50,000 (1987 dollars) for any insurer added to Appendix A, $20,000 (1987 dollars) for any insurer added to Appendix B, and $5,770 (1987 dollars) for any insurer added to Appendix C. If this proposed rule is made final, for Appendix A, the agency would propose to remove and add one company, for Appendix B, the agency would propose to make no change, and for Appendix C, the agency would propose to make no change. The agency estimates that the net effect of this proposal, if made final, would have no cost to insurers as a group. Interested persons may wish to examine the 1987 final regulatory evaluation. Copies of that evaluation were placed in Docket No. T86–01; Notice 2. Any interested person may obtain a copy of this evaluation by writing to NHTSA, Technical Reference Division, 1201 New Jersey Avenue SE., East Building, Ground Floor, Room E12–100, Washington, DC 20590, or by calling (202) 366–2588. Appendix A lists insurers that must report because each had 1 percent of the motor vehicle insurance premiums on a national basis. The list was last amended in a final rule published on July 13, 2011 (76 FR 41138). Based on the 2009 calendar year data market shares from A.M. Best, NHTSA proposes to remove American International Group from Appendix A and add California State Auto Group to Appendix A. Each of the 17 insurers listed in Appendix A are required to file a report before October 25, 2012, setting forth the information required by Part 544 for each State in which it did business in the 2009 calendar year. As long as these 17 insurers remain listed, they will be required to submit reports by each subsequent October 25 for the calendar year ending slightly less than 3 years before. Appendix B lists insurers required to report for particular States for calendar year 2009, because each insurer had a 10 percent or greater market share of motor vehicle premiums in those States. Based on the 2009 calendar year data for market shares from A.M. Best, we propose to make no change to Appendix B. The eight remaining insurers listed in Appendix B are required to report on their calendar year 2009 activities in every State where they had a 10 percent or greater market share. These reports must be filed by October 25, 2012, and set forth the information required by Part 544. As long as these eight insurers remain listed, they would be required to submit reports on or before each subsequent October 25 for the calendar year ending slightly less than 3 years before. emcdonald on DSK29S0YB1PROD with PROPOSALS 2. Rental and Leasing Companies Appendix C lists rental and leasing companies required to file reports. NHTSA proposes to make no change to Appendix C. Each of the remaining five companies (including franchisees and licensees) listed in Appendix C are required to file reports for calendar year 2009 no later than October 25, 2012, and set forth the information required by Part 544. As long as those five companies remain listed, they would be required to submit reports before each subsequent October 25 for the calendar year ending slightly less than 3 years before. VerDate Mar<15>2010 14:46 May 11, 2012 Jkt 226001 2. Paperwork Reduction Act The information collection requirements in this proposed rule were submitted to the Office of Management and Budget (OMB) pursuant to the requirements of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.). This collection of information is PO 00000 Frm 00030 Fmt 4702 Sfmt 4702 28345 assigned OMB Control Number 2127– 0547 (‘‘Insurer Reporting Requirements’’). This collection of information is approved for use through April 30, 2015, and the agency will seek to extend the approval afterwards. The existing information collection indicates that the number of respondents for this collection is thirty, however, the actual number of respondents fluctuate from year to year. Therefore, because the number of respondents required to report for this final rule does not exceed the number of respondents indicated in the existing information collection, the agency does not believe that an amendment to the existing information collection is necessary. 3. Regulatory Flexibility Act The agency also considered the effects of this rulemaking under the Regulatory Flexibility Act (RFA) (5 U.S.C. 601 et seq.). I certify that this proposed rule will not have a significant economic impact on a substantial number of small entities. The rationale for the certification is that none of the companies proposed for Appendices A, B, or C are construed to be a small entity within the definition of the RFA. ‘‘Small insurer’’ is defined, in part under 49 U.S.C. 33112, as any insurer whose premiums for all forms of motor vehicle insurance account for less than 1 percent of the total premiums for all forms of motor vehicle insurance issued by insurers within the United States, or any insurer whose premiums within any State, account for less than 10 percent of the total premiums for all forms of motor vehicle insurance issued by insurers within the State. This notice would exempt all insurers meeting those criteria. Any insurer too large to meet those criteria is not a small entity. In addition, in this rulemaking, the agency proposes to exempt all ‘‘self insured rental and leasing companies’’ that have fleets of fewer than 50,000 vehicles. Any self-insured rental and leasing company too large to meet that criterion is not a small entity. 4. Federalism This action has been analyzed according to the principles and criteria contained in Executive Order 12612, and it has been determined that the proposed rule does not have sufficient federalism implications to warrant the preparation of a Federalism Assessment. 5. Environmental Impacts In accordance with the National Environmental Policy Act, NHTSA has considered the environmental impacts of this proposed rule and determined that it would not have a significant E:\FR\FM\14MYP1.SGM 14MYP1 28346 Federal Register / Vol. 77, No. 93 / Monday, May 14, 2012 / Proposed Rules impact on the quality of the human environment. 6. Regulation Identifier Number (RIN) The Department of Transportation assigns a regulation identifier number (RIN) to each regulatory action listed in the Unified Agenda of Federal Regulations. The Regulatory Information Service Center publishes the Unified Agenda in April and October of each year. You may use the RIN contained in the heading, at the beginning, of this document to find this action in the Unified Agenda. 7. Plain Language Executive Order 12866 and the President’s memorandum of June 1, 1998, require each agency to write all rules in plain language. Application of the principles of plain language includes consideration of the following questions: • Have we organized the material to suit the public’s needs? • Are the requirements in the proposal clearly stated? • Does the proposal contain technical language or jargon that is not clear? • Would a different format (grouping and order of sections, use of headings, paragraphing) make the rule easier to understand? • Would more (but shorter) sections be better? • Could we improve clarity by adding tables, lists, or diagrams? • What else could we do to make the proposal easier to understand? If you have any responses to these questions, you can forward them to me several ways: a. Mail: Carlita Ballard, Office of International Policy, Fuel Economy and Consumer Programs, NHTSA, 1200 New Jersey Avenue SE., (West Building) Washington, DC 20590; b. Email: Carlita.Ballard@dot.gov; or c. Fax: (202) 493–2990. IV. Comments Submission of Comments emcdonald on DSK29S0YB1PROD with PROPOSALS 1. How can I influence NHTSA’s thinking on this proposed rule? In developing our rules, NHTSA tries to address the concerns of all our stakeholders. Your comments will help us improve this rule. We invite you to provide views on our proposal, new data, a discussion of the effects of this proposal on you, or other relevant information. We welcome your views on all aspects of this proposed rule. Your comments will be most effective if you follow the suggestions below: • Explain your views and reasoning clearly. VerDate Mar<15>2010 14:46 May 11, 2012 Jkt 226001 • Provide solid technical and cost data to support your views. • If you estimate potential costs, explain how you derived the estimate. • Provide specific examples to illustrate your concerns. • Offer specific alternatives. • Include the name, date and docket number with your comments. 2. How do I prepare and submit comments? Your comments must be written in English. To ensure that your comments are correctly filed in the Docket, please include the docket number of this document in your comments. Your comments must not exceed 15 pages long (49 CFR 553.21). We established this limit to encourage you to write your primary comments concisely. You may attach necessary documents to your comments. We have no limit on the attachments’ length. Please submit two copies of your comments, including the attachments, to Docket Management at the address given above under ADDRESSES. Comments may also be submitted to the docket electronically by logging onto the Federal eRulemaking Portal Web site at http:www.regulation.gov. Follow the online instructions for submitting comments. 3. How can I be sure that my comments were received? If you wish Docket Management to notify you, upon its receipt of your comments, enclose a self-addressed, stamped postcard in the envelope containing your comments. Upon receiving your comments, Docket Management will mail the postcard. 4. How do I submit confidential business information? If you wish to submit any information under a confidentiality claim, you should submit three copies of your complete submission, including the information you claim as confidential business information, to the Chief Counsel, Office of Chief Counsel, NHTSA, 1200 New Jersey Avenue SE., West Building, Washington, DC 20590. In addition, you should submit two copies, from which you have deleted the claimed confidential business information, to Docket Management at the address given above under ADDRESSES. When you send a comment containing information claimed to be confidential business information, you should include a cover letter addressing the information specified in our confidential business information regulation (49 CFR part 512). PO 00000 Frm 00031 Fmt 4702 Sfmt 4702 5. Will the Agency consider late comments? NHTSA will consider all comments that Docket Management receives before the close of business on the comment closing date indicated above under DATES. To the extent possible, we will also consider comments that Docket Management receives after that date. If Docket Management receives a comment too late for us to consider, in developing a final rule (assuming that one is issued), we will consider that comment as an informal suggestion for future rulemaking action. 6. How can I read the comments submitted by other people? You may read the comments received by Docket Management at the address given above under ADDRESSES. The hours of the Docket are indicated above, in the same location. You may also see the comments on the Internet. To read the comments on the Internet, log onto the Federal eRulemaking Portal at http:www.regulation.gov. V. Conclusion Based on the foregoing, we are proposing to amend Appendices B and C of 49 CFR 544, Insurer Reporting Requirements. We are also amending § 544.5 to revise the example given the recent update to the reporting requirements. List of Subjects in 49 CFR Part 544 Crime insurance, Insurance, Insurance companies, Motor vehicles, Reporting and recordkeeping requirements. In consideration of the foregoing, 49 CFR part 544 is proposed to be amended as follows: PART 544—[AMENDED] 1. The authority citation for part 544 continues to read as follows: Authority: 49 U.S.C. 33112; delegation of authority at 49 CFR 1.50. 2. Paragraph (a) of § 544.5 is revised to read as follows: § 544.5 General requirements for reports. (a) Each insurer to which this part applies shall submit a report annually before October 25, beginning on October 25, 1986. This report shall contain the information required by § 544.6 of this part for the calendar year 3 years previous to the year in which the report is filed (e.g., the report due by October 25, 2012, will contain the required information for the 2009 calendar year). * * * * * 3. Appendix A to Part 544 is revised to read as follows: E:\FR\FM\14MYP1.SGM 14MYP1 Federal Register / Vol. 77, No. 93 / Monday, May 14, 2012 / Proposed Rules Appendix A—Insurers of Motor Vehicle Insurance Policies Subject to the Reporting Requirements in Each State in Which They Do Business Allstate Insurance Group American Family Insurance Group Auto Club Enterprise Insurance Group Auto-Owners Insurance Group Berkshire Hathaway/GEICO Corporation Group California State Auto Group 1 Erie Insurance Group Farmers Insurance Group Hartford Insurance Group Liberty Mutual Insurance Companies Metropolitan Life Auto & Home Group Mercury General Group Nationwide Group Progressive Group State Farm Group Travelers Companies USAA Group Endangered and Threatened Wildlife and Plants; Expanding Incentives for Voluntary Conservation Actions Under the Endangered Species Act AGENCY: Interior. Advance notice of proposed rulemaking; extension of comment period. We, the U.S. Fish and Wildlife Service (Service), extend the deadline for submission of public comments to help us identify potential changes to our regulations that implement parts of the Endangered Species Act that would create incentives for landowners and others to take voluntary conservation actions to benefit species that may be likely to become threatened or endangered species. In particular, we seek comment on whether and how the Service can assure those who take such voluntary actions that the benefits of their actions will be recognized as offsetting the adverse effects of activities carried out after listing by that landowner or others. The practice of recognizing these actions, sometimes referred to as ‘‘advance mitigation’’ or ‘‘prelisting mitigation,’’ is intended to encourage early conservation efforts that could reduce or eliminate the need to list species as endangered or threatened. If you have previously submitted comments, please do not resubmit them, because we have already incorporated them into the public record and will fully consider them as we decide how we may propose changes to our regulations or policies. DATES: Electronic comments via https:// www.regulations.gov must be submitted by 11:59 p.m. Eastern Time on July 13, 2012. Comments submitted by mail must be postmarked no later than July 13, 2012. ADDRESSES: You may submit comments by one of the following methods: Electronically: Go to the Federal eRulemaking Portal: https:// www.regulations.gov. In the Enter Keyword or ID box, enter FWS–R9–ES– 2011–0099, which is the docket number for this notice. You may submit a comment by clicking on ‘‘Submit a Comment.’’ SUMMARY: 5. Appendix C to Part 544 is revised to read as follows: Appendix C—Motor Vehicle Rental and Leasing Companies (Including Licensees and Franchisees) Subject to the Reporting Requirements of Part 544 Avis Budget Group (subsidiary of Cendant) Dollar Thrifty Automotive Group Enterprise Holding Inc./Enterprise Rent-ACar Company Hertz Rent-A-Car Division (subsidiary of The Hertz Corporation) U-Haul International, Inc. (subsidiary of AMERCO) emcdonald on DSK29S0YB1PROD with PROPOSALS Fish and Wildlife Service, ACTION: Alfa Insurance Group (Alabama) Auto Club (Michigan) Commerce Group, Inc. (Massachusetts) Kentucky Farm Bureau Group (Kentucky) New Jersey Manufacturers Group (New Jersey) Safety Group (Massachusetts) Southern Farm Bureau Group (Arkansas, Mississippi) Tennessee Farmers Companies (Tennessee) Issued on: May 8, 2012. Christopher J. Bonanti, Associate Administrator for Rulemaking. [FR Doc. 2012–11565 Filed 5–11–12; 8:45 am] BILLING CODE 4910–59–P 1 Indicates a newly listed company which must file a report beginning with the report due October 25, 2012. Jkt 226001 50 CFR Parts 13, 17, and 402 RIN 1018–AY29 Appendix B—Issuers of Motor Vehicle Insurance Policies Subject to the Reporting Requirements Only in Designated States 14:46 May 11, 2012 Fish and Wildlife Service [Docket No. FWS–R9–ES–2011–0099; FXES11150900000A2123] 4. Appendix B to Part 544 is revised to read as follows: VerDate Mar<15>2010 DEPARTMENT OF THE INTERIOR PO 00000 Frm 00032 Fmt 4702 Sfmt 4702 28347 By hard copy: Submit by U.S. mail or hand-delivery to: Public Comments Processing, Attn: FWS–R9–ES–2011– 0099; Division of Policy and Directives Management; U.S. Fish and Wildlife Service; 4401 N. Fairfax Drive, MS 2042–PDM; Arlington, VA 22203. We will post all information received on https://www.regulations.gov. This generally means that we will post any personal information you provide us (see Public Comments below for more details). Jim Serfis, Chief, Office of Communications and Candidate Conservation, U.S. Fish and Wildlife Service, 4401 N. Fairfax Drive, Room 420, Arlington, VA 22203 (telephone 703–358–2171). If you use a telecommunications device for the deaf (TDD), call the Federal Information Relay Service (FIRS) at 800–877–8339. SUPPLEMENTARY INFORMATION: FOR FURTHER INFORMATION CONTACT: Public Comments We are considering whether and how we could revise our regulations to create incentives for landowners and others to take voluntary conservation actions to benefit species that may be likely to become threatened or endangered species, including revisions that could recognize the benefits of such conservation actions as offsetting the adverse effects of actions carried out after listing by that landowner or others. We request comments, information, and suggestions from the public, other concerned governmental agencies, the scientific community, industry, private landowners, or any other interested parties to help us formulate any proposed regulation. You may submit your comments and materials concerning this notice by one of the methods listed in ADDRESSES. We will not accept comments sent by email or fax or to an address not listed in ADDRESSES. If you submit a comment via https:// www.regulations.gov, your entire comment—including your personal identifying information—will be posted on the Web site. If you submit a hard copy comment that includes personal identifying information, you may request at the top of your document that we withhold this information from public review. However, we cannot guarantee that we will be able to do so. We will post all hardcopy comments on https://www.regulations.gov. Comments and materials we receive, as well as supporting documentation we used in preparing this notice, will be available for public inspection on https://www.regulations.gov, or by appointment, during normal business E:\FR\FM\14MYP1.SGM 14MYP1

Agencies

[Federal Register Volume 77, Number 93 (Monday, May 14, 2012)]
[Proposed Rules]
[Pages 28343-28347]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-11565]

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DEPARTMENT OF TRANSPORTATION

National Highway Traffic Safety Administration

49 CFR Part 544

[Docket No.: NHTSA-2012-0020]
RIN 2127-AL22

Insurer Reporting Requirements; List of Insurers Required To File
Reports

AGENCY: National Highway Traffic Safety Administration (NHTSA),
Department of Transportation (DOT).

ACTION: Notice of proposed rulemaking.

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SUMMARY: This document proposes to amend appendices to NHTSA
regulations on Insurer Reporting Requirements. The appendices list
those passenger motor vehicle insurers that are required to file
reports on their motor vehicle theft loss experiences. An insurer
included in any of these appendices would be required to file three
copies of its report for the 2009 calendar year before October 25,
2012. If the passenger motor vehicle insurers remain listed, they must
submit reports by each subsequent October 25. We are proposing to add
and remove several insurers from relevant appendices.

DATES: Comments must be submitted not later than July 13, 2012.
Insurers listed in the appendices are required to submit reports on or
before October 25, 2012.

ADDRESSES: You may submit comments, identified by DOT Docket No. NHTSA-
2012-0020 by any of the following methods:
Federal eRulemaking Portal: Go to https://www.regulations.gov. Follow the online instructions for submitting
comments.
Mail: Docket Management Facility: U.S. Department of
Transportation, 1200 New Jersey Avenue SE., West Building, Ground
Floor, Room W12-140, Washington, DC 20590-0001.
Hand Delivery or Courier: West Building Ground Floor, Room
W12-140, 1200 New Jersey Avenue SE., Washington, DC, between 9 a.m. and
5 p.m. ET, Monday through Friday, except Federal holidays.
Fax: 1-202-493-2251.
Instructions: For detailed instructions on submitting comments and
additional information on the rulemaking process,

[[Page 28344]]

see the Public Participation heading of the Supplementary Information
section of this document. Note that all comments received will be
posted without change to https://www.regulations.gov, including any
personal information provided. Please see the Privacy Act heading
below.
Privacy Act: Anyone is able to search the electronic form of all
comments received into any of our dockets by the name of the individual
submitting the comment (or signing the comment, if submitted on behalf
of an association, business, labor union, etc.). You may review DOT's
complete Privacy Act Statement in the Federal Register published on
April 11, 2000 (65 FR 19477-78) or you may visit https://DocketInfo.dot.gov.
Docket: For access to the docket to read background documents or
comments received, go to the street address listed above. The internet
access to the docket will be at https://www.regulations.gov. Follow the
online instructions for accessing the dockets.

FOR FURTHER INFORMATION CONTACT: Carlita Ballard, Office of
International Policy, Fuel Economy and Consumer Programs, NHTSA, 1200
New Jersey Avenue SE., Washington, DC 20590, by electronic mail to
Carlita.Ballard@dot.gov. Ms. Ballard's telephone number is (202) 366-
0846. Her fax number is (202) 493-2990.

SUPPLEMENTARY INFORMATION:

I. Background

Pursuant to 49 U.S.C. 33112, Insurer reports and information, NHTSA
requires certain passenger motor vehicle insurers to file an annual
report with the agency. Each insurer's report includes information
about thefts and recoveries of motor vehicles, the rating rules used by
the insurer to establish premiums for comprehensive coverage, the
actions taken by the insurer to reduce such premiums and the actions
taken by the insurer to reduce or deter theft. Under the agency's
regulation, 49 CFR part 544, the following insurers are subject to the
reporting requirements:
(1) Issuers of motor vehicle insurance policies whose total
premiums account for 1 percent or more of the total premiums of motor
vehicle insurance issued within the United States;
(2) Issuers of motor vehicle insurance policies whose premiums
account for 10 percent or more of total premiums written within any one
state; and
(3) Rental and leasing companies with a fleet of 20 or more
vehicles not covered by theft insurance policies issued by insurers of
motor vehicles, other than any governmental entity.
Pursuant to its statutory exemption authority, the agency exempted
certain passenger motor vehicle insurers from the reporting
requirements.

A. Small Insurers of Passenger Motor Vehicles

Section 33112(f)(2) provides that the agency shall exempt small
insurers of passenger motor vehicles if NHTSA finds that such
exemptions will not significantly affect the validity or usefulness of
the information in the reports, either nationally or on a state-by-
state basis.
The term ``small insurer'' is defined, in Section 33112(f)(1)(A)
and (B), as an insurer whose premiums for motor vehicle insurance
issued directly or through an affiliate, including pooling arrangements
established under state law or regulation for the issuance of motor
vehicle insurance, account for less than 1 percent of the total
premiums for all forms of motor vehicle insurance issued by insurers
within the United States. However, that section also stipulates that if
an insurance company satisfies this definition of a ``small insurer,''
but accounts for 10 percent or more of the total premiums for all motor
vehicle insurance issued in a particular state, the insurer must report
about its operations in that state.
In the final rule establishing the insurer reports requirement (52
FR 59; January 2, 1987), 49 CFR Part 544, NHTSA exercised its exemption
authority by listing in Appendix A each insurer that must report
because it had at least 1 percent of the motor vehicle insurance
premiums nationally. Listing the insurers subject to reporting, instead
of each insurer exempted from reporting because it had less than 1
percent of the premiums nationally, is administratively simpler since
the former group is much smaller than the latter. In Appendix B, NHTSA
lists those insurers required to report for particular states because
each insurer had a 10 percent or greater market share of motor vehicle
premiums in those states. In the January 1987 final rule, the agency
stated that it would update Appendices A and B annually. NHTSA updates
the appendices based on data voluntarily provided by insurance
companies to A.M. Best.\1\ A.M. Best publishes in its State/Line Report
each spring. The agency uses the data to determine the insurers' market
shares nationally and in each state.
---------------------------------------------------------------------------

\1\ A.M. Best Company is a well-recognized source of insurance
company ratings and information. 49 U.S.C. 33112(i) authorizes NHTSA
to consult with public and private organizations as necessary.
---------------------------------------------------------------------------

B. Self-Insured Rental and Leasing Companies

In addition, upon making certain determinations, NHTSA grants
exemptions to self-insurers, i.e., any person who has a fleet of 20 or
more motor vehicles (other than any governmental entity) used for
rental or lease whose vehicles are not covered by theft insurance
policies issued by insurers of passenger motor vehicles, 49 U.S.C.
33112(b)(1) and (f). Under 49 U.S.C. 33112(e)(1) and (2), NHTSA may
exempt a self-insurer from reporting, if the agency determines:
(1) The cost of preparing and furnishing such reports is excessive
in relation to the size of the business of the insurer; and 33112(e)(1)
and (2),
(2) The insurer's report will not significantly contribute to
carrying out the purposes of Chapter 331.
In a final rule published June 22, 1990 (55 FR 25606), the agency
granted a class exemption to all companies that rent or lease fewer
than 50,000 vehicles, because it believed that the largest companies'
reports sufficiently represent the theft experience of rental and
leasing companies. NHTSA concluded that smaller rental and leasing
companies' reports do not significantly contribute to carrying out
NHTSA's statutory obligations and that exempting such companies will
relieve an unnecessary burden on them. As a result of the June 1990
final rule, the agency added Appendix C, consisting of an annually
updated list of the self-insurers subject to Part 544. Following the
same approach as in Appendix A, NHTSA included, in Appendix C, each of
the self-insurers subject to reporting instead of the self-insurers
which are exempted.
NHTSA updates Appendix C based primarily on information from
Automotive Fleet Magazine and Auto Rental News.\2\
---------------------------------------------------------------------------

\2\ Automotive Fleet Magazine and Auto Rental News are
publications that provide information on the size of fleets and
market share of rental and leasing companies.
---------------------------------------------------------------------------

C. When a Listed Insurer Must File a Report

Under Part 544, as long as an insurer is listed, it must file
reports on or before October 25 of each year. Thus, any insurer listed
in the appendices must file a report before October 25, and by each
succeeding October 25, absent an amendment removing the insurer's name
from the appendices.

[[Page 28345]]

II. Proposal

1. Insurers of Passenger Motor Vehicles

Appendix A lists insurers that must report because each had 1
percent of the motor vehicle insurance premiums on a national basis.
The list was last amended in a final rule published on July 13, 2011
(76 FR 41138). Based on the 2009 calendar year data market shares from
A.M. Best, NHTSA proposes to remove American International Group from
Appendix A and add California State Auto Group to Appendix A.
Each of the 17 insurers listed in Appendix A are required to file a
report before October 25, 2012, setting forth the information required
by Part 544 for each State in which it did business in the 2009
calendar year. As long as these 17 insurers remain listed, they will be
required to submit reports by each subsequent October 25 for the
calendar year ending slightly less than 3 years before.
Appendix B lists insurers required to report for particular States
for calendar year 2009, because each insurer had a 10 percent or
greater market share of motor vehicle premiums in those States. Based
on the 2009 calendar year data for market shares from A.M. Best, we
propose to make no change to Appendix B.
The eight remaining insurers listed in Appendix B are required to
report on their calendar year 2009 activities in every State where they
had a 10 percent or greater market share. These reports must be filed
by October 25, 2012, and set forth the information required by Part
544. As long as these eight insurers remain listed, they would be
required to submit reports on or before each subsequent October 25 for
the calendar year ending slightly less than 3 years before.

2. Rental and Leasing Companies

Appendix C lists rental and leasing companies required to file
reports. NHTSA proposes to make no change to Appendix C.
Each of the remaining five companies (including franchisees and
licensees) listed in Appendix C are required to file reports for
calendar year 2009 no later than October 25, 2012, and set forth the
information required by Part 544. As long as those five companies
remain listed, they would be required to submit reports before each
subsequent October 25 for the calendar year ending slightly less than 3
years before.

III. Regulatory Impacts

1. Costs and Other Impacts

This notice has not been reviewed under Executive Order 12866.
NHTSA has considered the impact of this proposed rule and determined
that the action is not ``significant'' within the meaning of the
Department of Transportation's regulatory policies and procedures. This
proposed rule implements the agency's policy of ensuring that all
insurance companies that are statutorily eligible for exemption from
the insurer reporting requirements are in fact exempted from those
requirements. Only those companies that are not statutorily eligible
for an exemption are required to file reports.
NHTSA does not believe that this proposed rule, reflecting current
data, affects the impacts described in the final regulatory evaluation
prepared for the final rule establishing Part 544 (52 FR 59; January 2,
1987). Accordingly, a separate regulatory evaluation has not been
prepared for this rulemaking action. The cost estimates in the 1987
final regulatory evaluation should be adjusted for inflation, using the
Bureau of Labor Statistics Consumer Price Index for 2012 (see https://www.bls.gov/cpi). The agency estimates that the cost of compliance is
$50,000 (1987 dollars) for any insurer added to Appendix A, $20,000
(1987 dollars) for any insurer added to Appendix B, and $5,770 (1987
dollars) for any insurer added to Appendix C. If this proposed rule is
made final, for Appendix A, the agency would propose to remove and add
one company, for Appendix B, the agency would propose to make no
change, and for Appendix C, the agency would propose to make no change.
The agency estimates that the net effect of this proposal, if made
final, would have no cost to insurers as a group.
Interested persons may wish to examine the 1987 final regulatory
evaluation. Copies of that evaluation were placed in Docket No. T86-01;
Notice 2. Any interested person may obtain a copy of this evaluation by
writing to NHTSA, Technical Reference Division, 1201 New Jersey Avenue
SE., East Building, Ground Floor, Room E12-100, Washington, DC 20590,
or by calling (202) 366-2588.

2. Paperwork Reduction Act

The information collection requirements in this proposed rule were
submitted to the Office of Management and Budget (OMB) pursuant to the
requirements of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.).
This collection of information is assigned OMB Control Number 2127-0547
(``Insurer Reporting Requirements''). This collection of information is
approved for use through April 30, 2015, and the agency will seek to
extend the approval afterwards. The existing information collection
indicates that the number of respondents for this collection is thirty,
however, the actual number of respondents fluctuate from year to year.
Therefore, because the number of respondents required to report for
this final rule does not exceed the number of respondents indicated in
the existing information collection, the agency does not believe that
an amendment to the existing information collection is necessary.

3. Regulatory Flexibility Act

The agency also considered the effects of this rulemaking under the
Regulatory Flexibility Act (RFA) (5 U.S.C. 601 et seq.). I certify that
this proposed rule will not have a significant economic impact on a
substantial number of small entities. The rationale for the
certification is that none of the companies proposed for Appendices A,
B, or C are construed to be a small entity within the definition of the
RFA. ``Small insurer'' is defined, in part under 49 U.S.C. 33112, as
any insurer whose premiums for all forms of motor vehicle insurance
account for less than 1 percent of the total premiums for all forms of
motor vehicle insurance issued by insurers within the United States, or
any insurer whose premiums within any State, account for less than 10
percent of the total premiums for all forms of motor vehicle insurance
issued by insurers within the State. This notice would exempt all
insurers meeting those criteria. Any insurer too large to meet those
criteria is not a small entity. In addition, in this rulemaking, the
agency proposes to exempt all ``self insured rental and leasing
companies'' that have fleets of fewer than 50,000 vehicles. Any self-
insured rental and leasing company too large to meet that criterion is
not a small entity.

4. Federalism

This action has been analyzed according to the principles and
criteria contained in Executive Order 12612, and it has been determined
that the proposed rule does not have sufficient federalism implications
to warrant the preparation of a Federalism Assessment.

5. Environmental Impacts

In accordance with the National Environmental Policy Act, NHTSA has
considered the environmental impacts of this proposed rule and
determined that it would not have a significant

[[Page 28346]]

impact on the quality of the human environment.

6. Regulation Identifier Number (RIN)

The Department of Transportation assigns a regulation identifier
number (RIN) to each regulatory action listed in the Unified Agenda of
Federal Regulations. The Regulatory Information Service Center
publishes the Unified Agenda in April and October of each year. You may
use the RIN contained in the heading, at the beginning, of this
document to find this action in the Unified Agenda.

7. Plain Language

Executive Order 12866 and the President's memorandum of June 1,
1998, require each agency to write all rules in plain language.
Application of the principles of plain language includes consideration
of the following questions:
Have we organized the material to suit the public's needs?
Are the requirements in the proposal clearly stated?
Does the proposal contain technical language or jargon
that is not clear?
Would a different format (grouping and order of sections,
use of headings, paragraphing) make the rule easier to understand?
Would more (but shorter) sections be better?
Could we improve clarity by adding tables, lists, or
diagrams?
What else could we do to make the proposal easier to
understand?
If you have any responses to these questions, you can forward them
to me several ways:
a. Mail: Carlita Ballard, Office of International Policy, Fuel
Economy and Consumer Programs, NHTSA, 1200 New Jersey Avenue SE., (West
Building) Washington, DC 20590;
b. Email: Carlita.Ballard@dot.gov; or
c. Fax: (202) 493-2990.

IV. Comments

Submission of Comments

1. How can I influence NHTSA's thinking on this proposed rule?
In developing our rules, NHTSA tries to address the concerns of all
our stakeholders. Your comments will help us improve this rule. We
invite you to provide views on our proposal, new data, a discussion of
the effects of this proposal on you, or other relevant information. We
welcome your views on all aspects of this proposed rule. Your comments
will be most effective if you follow the suggestions below:
Explain your views and reasoning clearly.
Provide solid technical and cost data to support your
views.
If you estimate potential costs, explain how you derived
the estimate.
Provide specific examples to illustrate your concerns.
Offer specific alternatives.
Include the name, date and docket number with your
comments.
2. How do I prepare and submit comments?
Your comments must be written in English. To ensure that your
comments are correctly filed in the Docket, please include the docket
number of this document in your comments.
Your comments must not exceed 15 pages long (49 CFR 553.21). We
established this limit to encourage you to write your primary comments
concisely. You may attach necessary documents to your comments. We have
no limit on the attachments' length.
Please submit two copies of your comments, including the
attachments, to Docket Management at the address given above under
ADDRESSES.
Comments may also be submitted to the docket electronically by
logging onto the Federal eRulemaking Portal Web site at
http:www.regulation.gov. Follow the online instructions for submitting
comments.
3. How can I be sure that my comments were received?
If you wish Docket Management to notify you, upon its receipt of
your comments, enclose a self-addressed, stamped postcard in the
envelope containing your comments. Upon receiving your comments, Docket
Management will mail the postcard.
4. How do I submit confidential business information?
If you wish to submit any information under a confidentiality
claim, you should submit three copies of your complete submission,
including the information you claim as confidential business
information, to the Chief Counsel, Office of Chief Counsel, NHTSA, 1200
New Jersey Avenue SE., West Building, Washington, DC 20590. In
addition, you should submit two copies, from which you have deleted the
claimed confidential business information, to Docket Management at the
address given above under ADDRESSES. When you send a comment containing
information claimed to be confidential business information, you should
include a cover letter addressing the information specified in our
confidential business information regulation (49 CFR part 512).
5. Will the Agency consider late comments?
NHTSA will consider all comments that Docket Management receives
before the close of business on the comment closing date indicated
above under DATES. To the extent possible, we will also consider
comments that Docket Management receives after that date. If Docket
Management receives a comment too late for us to consider, in
developing a final rule (assuming that one is issued), we will consider
that comment as an informal suggestion for future rulemaking action.
6. How can I read the comments submitted by other people?
You may read the comments received by Docket Management at the
address given above under ADDRESSES. The hours of the Docket are
indicated above, in the same location. You may also see the comments on
the Internet. To read the comments on the Internet, log onto the
Federal eRulemaking Portal at http:www.regulation.gov.

V. Conclusion

Based on the foregoing, we are proposing to amend Appendices B and
C of 49 CFR 544, Insurer Reporting Requirements. We are also amending
Sec. 544.5 to revise the example given the recent update to the
reporting requirements.

List of Subjects in 49 CFR Part 544

Crime insurance, Insurance, Insurance companies, Motor vehicles,
Reporting and recordkeeping requirements.

In consideration of the foregoing, 49 CFR part 544 is proposed to
be amended as follows:

PART 544--[AMENDED]

1. The authority citation for part 544 continues to read as
follows:

Authority: 49 U.S.C. 33112; delegation of authority at 49 CFR
1.50.

2. Paragraph (a) of Sec. 544.5 is revised to read as follows:

Sec. 544.5 General requirements for reports.

(a) Each insurer to which this part applies shall submit a report
annually before October 25, beginning on October 25, 1986. This report
shall contain the information required by Sec. 544.6 of this part for
the calendar year 3 years previous to the year in which the report is
filed (e.g., the report due by October 25, 2012, will contain the
required information for the 2009 calendar year).
* * * * *
3. Appendix A to Part 544 is revised to read as follows:

[[Page 28347]]

Appendix A--Insurers of Motor Vehicle Insurance Policies Subject to the
Reporting Requirements in Each State in Which They Do Business

Allstate Insurance Group
American Family Insurance Group
Auto Club Enterprise Insurance Group
Auto-Owners Insurance Group
Berkshire Hathaway/GEICO Corporation Group
California State Auto Group \1\
---------------------------------------------------------------------------

\1\ Indicates a newly listed company which must file a report
beginning with the report due October 25, 2012.
---------------------------------------------------------------------------

Erie Insurance Group
Farmers Insurance Group
Hartford Insurance Group
Liberty Mutual Insurance Companies
Metropolitan Life Auto & Home Group
Mercury General Group
Nationwide Group
Progressive Group
State Farm Group
Travelers Companies
USAA Group

4. Appendix B to Part 544 is revised to read as follows:

Appendix B--Issuers of Motor Vehicle Insurance Policies Subject to the
Reporting Requirements Only in Designated States

Alfa Insurance Group (Alabama)
Auto Club (Michigan)
Commerce Group, Inc. (Massachusetts)
Kentucky Farm Bureau Group (Kentucky)
New Jersey Manufacturers Group (New Jersey)
Safety Group (Massachusetts)
Southern Farm Bureau Group (Arkansas, Mississippi)
Tennessee Farmers Companies (Tennessee)

5. Appendix C to Part 544 is revised to read as follows:

Appendix C--Motor Vehicle Rental and Leasing Companies (Including
Licensees and Franchisees) Subject to the Reporting Requirements of
Part 544

Avis Budget Group (subsidiary of Cendant)
Dollar Thrifty Automotive Group
Enterprise Holding Inc./Enterprise Rent-A-Car Company
Hertz Rent-A-Car Division (subsidiary of The Hertz Corporation)
U-Haul International, Inc. (subsidiary of AMERCO)

Issued on: May 8, 2012.
Christopher J. Bonanti,
Associate Administrator for Rulemaking.
[FR Doc. 2012-11565 Filed 5-11-12; 8:45 am]
BILLING CODE 4910-59-P

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