Current through Register Vol. 56, No. 18, September 16, 2024
(a) This
subchapter sets forth the form and manner of notice to be provided to
policyholders and the public when an insurer or rating organization files for a
personal lines prior approval rate increase, in accordance with N.J.S.A.
52:27EE-51.
(b) This subchapter
shall apply to all insurers and rating organizations that file for a consumer
insurance rate increase, as required pursuant to N.J.S.A. 52:27EE-50 and 51.
This subchapter shall not apply if the proposed change pertains to:
1. A prior approval rate filing made pursuant
to 17:29A-46.6 or 17:36-5.3
5;
2. Rating system changes made
pursuant to
17:29A-46.1 et seq.;
3. A rate filing made pursuant to any
statutory change in coverage provided under a policy of private passenger
automobile insurance;
4. A rate
filing by the New Jersey Personal Automobile Insurance Plan; or
5. A prior approval rate filing of seven
percent or less except when an insurer has filed for one or more prior approval
rate filing(s) for implementation within a 12-month period and the impact of
the filing(s) is a combined overall increase of more than seven percent, in
which case this subchapter shall apply to the filing which causes the combined
overall increase to exceed seven percent.
(c) For filings that fall within the
exception set forth in (b)5 above, insurers are required to provide the
Consumer Notice(s) provided in Appendix Exhibits A and B, as applicable:
1. Appendix Exhibit A is required to be
provided to policyholders when a filing has been submitted that requests a rate
increase in excess of seven percent.
2. Appendix Exhibit B is required to be
provided to policyholders when two or more filings have been submitted and the
combined requested rate level impact of the filings exceeds seven percent
within a 12-month period.
3. In the
event that filings submitted as set forth in (c)1 or 2 above are approved for
an increase which is less than the amount requested by the filer, subsequent
filings may be submitted without additional notice to policyholders provided
that the combined requested rate level impact of all filings effective within a
12-month period does not exceed the amount stated in the notice(s) previously
sent to policyholders.
