Current through Register Vol. 50, No. 9, September 20, 2024
A. In
accordance with the provisions of law applicable to contracting for personal,
professional, or consulting services, the board shall retain a qualified,
competent, and independent consulting actuary to advise and consult the board
on all aspects of the board's administration, operation, and defense of the
fund which require application of the actuarial science. Each year, the board
shall cause the consulting actuary to prepare an annual actuarial study
required by the Act and these rules. An individual actuary contracted by the
board, or a principal actuary assigned to the engagement and employed by a
partnership, firm, or corporation contracted by the board, shall possess formal
education and at least a baccalaureate degree in the actuarial sciences, shall
be a full member of the Casualty Actuarial Society, and shall have had
substantial prior experience in providing services as a consulting actuary to
insurance companies underwriting professional health care liability
insurance.
B. The board's contract
with a consulting actuary shall provide that the consulting actuary shall be
responsible for:
1. advising the executive
director with respect to the necessary and proper content and form of claims
experience data collected and maintained by the executive director;
2. advising the executive director with
respect to the establishment, maintenance, and adjustment of reserves on
individual claims against the fund and the establishment, maintenance, and
adjustment of reserves for incurred but not reported claims;
3. performing actuarial analysis of claims
experience data collected and maintained by the executive director with respect
to the fund, commercial professional liability insurers doing business in this
state, self-insured health care providers, together, as necessary or
appropriate, with regional or national professional health care liability
claims experience data, and development, in consideration of the fund's
allocated and unallocated expenses, its organization, administration, and legal
and regulatory constraints, of a surcharge rate structure, rated and classified
according to the several classes or risks against which the fund provides
compensation, that shall reasonably ensure that the fund is sufficiently funded
so as to be and remain financially and actuarially capable of providing the
compensation for which it is organized;
4. developing, in conjunction with the
executive director, proposed surcharge rates and surcharge rate changes in
accordance with the consulting actuary's actuarial analyses, for submission to
the board;
5. as requested by the
executive director, personal presentation of proposed surcharge rates and
surcharge rate changes at meetings of the board; and
6. generally advising and consulting with the
executive director on all actuarial questions affecting the board's
administration, operation, and defense of the fund.
AUTHORITY NOTE:
Promulgated in accordance with
R.S.
40:1299.44(D)(3).
