Rules & Regulations of the State of Tennessee
Title 0780 - Commerce and Insurance
Subtitle 0780-01 - Insurance Division
Chapter 0780-01-92 - Rules Related to Form and Rate Filings for Health Insurance Coverage Not Subject to the Authority of the Patient Protection and Affordable Care Act of 2010
Section 0780-01-92-.07 - EVALUATING EXPERIENCE DATA
Current through September 24, 2024
In determining the credibility and appropriateness of experience data, due consideration must be given to all relevant factors, such as:
(1) Statistical credibility of premiums and benefits, e.g., low exposure, low loss frequency;
(2) Experienced and projected trends relative to the kind of coverage, e.g. inflation in medical expenses, economic cycles affecting disability income experience;
(3) The concentration of experience at early policy durations where select morbidity and preliminary term reserves are applicable and where loss ratios are expected to be substantially lower than at later policy durations; and
(4) The mix of business by risk classification.
Authority: T.C.A. §§ 4-5-206, 56-1-212, 56-2-201, 56-2-301, 56-26-102, 56-26-103, 56-26-114, 56-26202,56-27-112, 56-28-106, 56-29-117, 56-32-107 and Public Law 111-148 as amended by Public Law 111-152 (2010).
