Bill Text: NY S06238 | 2011-2012 | General Assembly | Introduced
Bill Title: Enacts the comprehensive motor vehicle insurance rate reform act; amends provisions applicable to automobile insurance rates including establishing a program for consumer information on insurers and establishing an office of public insurance advocate; revives previously expired provisions of law relating to automobile and property/casualty insurance rates. [Track Bill]
Status: 2012-01-17 - REFERRED TO FINANCE [S06238 Detail]
S T A T E O F N E W Y O R K ________________________________________________________________________ 6238 I N S E N A T E January 17, 2012 ___________ Introduced by Sen. PARKER -- read twice and ordered printed, and when printed to be committed to the Committee on Finance AN ACT to amend the executive law, the insurance law and the state finance law, in relation to enacting the "Comprehensive Motor Vehicle Insurance Rate Reform Act" THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Short title. This act shall be known and may be cited as 2 the "Comprehensive Motor Vehicle Insurance Rate Reform Act". 3 S 2. The executive law is amended by adding a new article 44-A to 4 read as follows: 5 ARTICLE 44-A 6 OFFICE OF PUBLIC INSURANCE ADVOCATE 7 SECTION 945. OFFICE OF PUBLIC INSURANCE ADVOCATE. 8 946. INSURANCE CONSUMER ADVOCATE. 9 947. POWERS AND DUTIES. 10 S 945. OFFICE OF PUBLIC INSURANCE ADVOCATE. THERE IS HEREBY CREATED IN 11 THE EXECUTIVE DEPARTMENT AN INDEPENDENT OFFICE OF INSURANCE CONSUMER 12 ADVOCATE (HEREINAFTER REFERRED TO AS "OFFICE") TO REPRESENT THE INTER- 13 ESTS OF NONBUSINESS AUTOMOBILE INSURANCE CONSUMERS IN NEW YORK STATE. 14 S 946. INSURANCE CONSUMER ADVOCATE. 1. THE GOVERNOR, WITH THE ADVICE 15 AND CONSENT OF THE SENATE, SHALL APPOINT AN INSURANCE CONSUMER ADVOCATE 16 (HEREINAFTER REFERRED TO AS "ADVOCATE") WHO SHALL SERVE AS THE EXECUTIVE 17 DIRECTOR OF THE OFFICE OF INSURANCE CONSUMER ADVOCATE AND SHALL RECEIVE 18 AN ANNUAL SALARY TO BE FIXED BY THE GOVERNOR WITHIN THE AMOUNT AVAILABLE 19 THEREFOR BY APPROPRIATION. 20 2. (A) TO BE ELIGIBLE TO SERVE AS ADVOCATE, A PERSON MUST BE A RESI- 21 DENT OF NEW YORK STATE. THE ADVOCATE SHALL BE A PERSON WHO HAS DEMON- 22 STRATED A STRONG COMMITMENT AND INVOLVEMENT IN EFFORTS TO SAFEGUARD THE 23 RIGHTS OF THE PUBLIC AND WHO POSSESSES THE KNOWLEDGE AND EXPERIENCE 24 NECESSARY TO PRACTICE EFFECTIVELY IN INSURANCE PROCEEDINGS. 25 (B) A PERSON IS NOT ELIGIBLE FOR APPOINTMENT AS ADVOCATE IF THE PERSON 26 OR THE PERSON'S SPOUSE: EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD06464-03-2 S. 6238 2 1 (I) IS EMPLOYED BY OR PARTICIPATES IN THE MANAGEMENT OF A BUSINESS 2 ENTITY OR OTHER ORGANIZATION REGULATED BY THE INSURANCE DEPARTMENT OR 3 RECEIVING FUNDS FROM THE DEPARTMENT; 4 (II) OWNS OR CONTROLS, DIRECTLY OR INDIRECTLY, MORE THAN TEN PERCENT 5 INTEREST IN A BUSINESS ENTITY OR OTHER ORGANIZATION REGULATED BY THE 6 INSURANCE DEPARTMENT OR RECEIVING FUNDS FROM THE INSURANCE DEPARTMENT OR 7 THE OFFICE; 8 (III) USES OR RECEIVES A SUBSTANTIAL AMOUNT OF TANGIBLE GOODS, 9 SERVICES, OR FUNDS FROM THE INSURANCE DEPARTMENT OR THE OFFICE, OTHER 10 THAN COMPENSATION OR REIMBURSEMENT AUTHORIZED BY LAW FOR THE INSURANCE 11 DEPARTMENT OR OFFICE MEMBERSHIP, ATTENDANCE OR EXPENSES. 12 3. THE ADVOCATE SHALL SERVE FOR A TERM OF TWO YEARS EXPIRING ON FEBRU- 13 ARY FIRST OF EACH ODD-NUMBERED YEAR. 14 4. IT IS A GROUND FOR REMOVAL FROM OFFICE IF THE ADVOCATE: 15 (A) DOES NOT HAVE AT THE TIME OF APPOINTMENT THE QUALIFICATIONS 16 REQUIRED BY THIS SECTION; 17 (B) DOES NOT MAINTAIN DURING SERVICE AS ADVOCATE THE QUALIFICATIONS 18 REQUIRED BY THIS SECTION; 19 (C) VIOLATES A PROHIBITION ESTABLISHED BY THIS SECTION; OR 20 (D) CANNOT DISCHARGE THE ADVOCATE'S DUTIES FOR A SUBSTANTIAL PART OF 21 THE TERM FOR WHICH THE ADVOCATE IS APPOINTED BECAUSE OF ILLNESS OR DISA- 22 BILITY. 23 5. THE VALIDITY OF AN ACTION OF THE OFFICE IS NOT AFFECTED BY THE FACT 24 THAT IT IS TAKEN WHEN A GROUND FOR REMOVAL OF THE ADVOCATE EXISTS. 25 6. (A) A PERSON MAY NOT SERVE AS THE ADVOCATE OR ACT AS THE GENERAL 26 COUNSEL FOR THE OFFICE OF ADVOCATE IF THE PERSON IS REQUIRED TO REGISTER 27 AS A LOBBYIST PURSUANT TO ARTICLE ONE-A OF THE LEGISLATIVE LAW. 28 (B) A PERSON SERVING AS THE ADVOCATE MAY NOT, FOR A PERIOD OF TWO 29 YEARS AFTER THE DATE THE PERSON CEASES TO BE AN ADVOCATE, REPRESENT ANY 30 PERSON IN A PROCEEDING BEFORE THE SUPERINTENDENT OF INSURANCE OR THE 31 INSURANCE DEPARTMENT OR RECEIVE COMPENSATION FOR SERVICES RENDERED ON 32 BEHALF OF ANY PERSON REGARDING A CASE BEFORE THE SUPERINTENDENT OF 33 INSURANCE OR THE INSURANCE DEPARTMENT. 34 (C) AN OFFICER, EMPLOYEE OR PAID CONSULTANT OF A TRADE ASSOCIATION IN 35 THE FIELD OF INSURANCE MAY NOT SERVE AS THE ADVOCATE OR BE AN EMPLOYEE 36 OF THE OFFICE. 37 (D) A PERSON WHO IS THE SPOUSE OF AN OFFICER, MANAGER, OR PAID 38 CONSULTANT OF A TRADE ASSOCIATION IN THE FIELD OF INSURANCE MAY NOT 39 SERVE AS THE ADVOCATE AND MAY NOT BE AN OFFICE EMPLOYEE. 40 (E) FOR THE PURPOSES OF THIS SECTION, A TRADE ASSOCIATION IS A NONPRO- 41 FIT, COOPERATIVE, AND VOLUNTARILY JOINED ASSOCIATION OF BUSINESS OR 42 PROFESSIONAL COMPETITORS DESIGNED TO ASSIST ITS MEMBERS AND ITS INDUSTRY 43 OR PROFESSION IN DEALING WITH MUTUAL BUSINESS OR PROFESSIONAL PROBLEMS 44 AND IN PROMOTING THEIR COMMON INTEREST. 45 S 947. POWERS AND DUTIES. 1. THE ADVOCATE, AS EXECUTIVE DIRECTOR OF 46 THE OFFICE, SHALL BE CHARGED WITH THE RESPONSIBILITY OF ADMINISTERING, 47 ENFORCING AND CARRYING OUT THE PROVISIONS OF THIS ARTICLE, INCLUDING 48 PREPARATION OF A BUDGET FOR THE OFFICE, EMPLOYING ALL NECESSARY PROFES- 49 SIONAL, TECHNICAL, AND OTHER EMPLOYEES TO CARRY OUT PROVISIONS OF THIS 50 ARTICLE, APPROVAL OF EXPENDITURES FOR PROFESSIONAL SERVICES, TRAVEL, PER 51 DIEM, AND OTHER ACTUAL AND NECESSARY EXPENSES INCURRED IN ADMINISTERING 52 THE OFFICE. EXPENSES FOR THE OFFICE SHALL BE PAID FROM THE ASSESSMENT 53 IMPOSED IN SECTION NINE THOUSAND ONE HUNDRED TEN OF THE INSURANCE LAW. 54 THE COMPENSATION OF EMPLOYEES OF THE OFFICE SHALL BE FIXED BY THE ADVO- 55 CATE WITHIN THE APPROPRIATION PROVIDED THEREFOR. S. 6238 3 1 2. THE OFFICE SHALL FILE ANNUALLY WITH THE GOVERNOR AND THE PRESIDING 2 OFFICER OF EACH HOUSE OF THE LEGISLATURE A COMPLETE AND DETAILED WRITTEN 3 REPORT ACCOUNTING FOR ALL FUNDS RECEIVED AND DISBURSED BY THE OFFICE 4 DURING THE PRECEDING FISCAL YEAR. THE ANNUAL REPORT MUST BE IN THE FORM 5 AND REPORTED AS PART OF THE EXECUTIVE BUDGET. 6 3. ALL MONEY PAID TO THE OFFICE UNDER THIS ARTICLE SHALL BE DEPOSITED 7 IN THE STATE TREASURY. 8 4. THE OFFICE MAY ASSESS THE IMPACT OF INSURANCE RATES, RULES, AND 9 REGULATIONS ON NONBUSINESS AUTOMOBILE INSURANCE CONSUMERS IN NEW YORK 10 STATE AND, IN ITS OWN NAME, MAY ADVOCATE ON BEHALF OF POSITIONS THAT ARE 11 MOST ADVANTAGEOUS TO A SUBSTANTIAL NUMBER OF INSURANCE CONSUMERS AS 12 DETERMINED BY THE ADVOCATE. 13 5. THE ADVOCATE: 14 (A) MAY APPEAR OR INTERVENE AS A MATTER OF RIGHT BEFORE THE SUPER- 15 INTENDENT OF INSURANCE OR INSURANCE DEPARTMENT AS A PARTY OR OTHERWISE 16 ON BEHALF OF INSURANCE CONSUMERS AS A CLASS IN MATTERS INVOLVING RATES, 17 RULES, AND REGULATIONS AFFECTING NONBUSINESS AUTOMOBILE INSURANCE; 18 (B) MAY INITIATE OR INTERVENE AS A MATTER OF RIGHT OR OTHERWISE APPEAR 19 IN ANY JUDICIAL PROCEEDING INVOLVING OR ARISING OUT OF ANY ACTION TAKEN 20 BY AN ADMINISTRATIVE AGENCY IN A PROCEEDING IN WHICH THE ADVOCATE PREVI- 21 OUSLY APPEARED UNDER THE AUTHORITY GRANTED BY THIS ARTICLE; 22 (C) IS ENTITLED TO ACCESS ANY RECORDS OF THE DEPARTMENT THAT ARE 23 AVAILABLE TO ANY PARTY IN A PROCEEDING BEFORE THE SUPERINTENDENT OF 24 INSURANCE OR INSURANCE DEPARTMENT UNDER THE AUTHORITY GRANTED BY THIS 25 ARTICLE; 26 (D) IS ENTITLED TO OBTAIN DISCOVERY OF ANY NON-PRIVILEGED MATTER THAT 27 IS RELEVANT TO THE SUBJECT MATTER INVOLVED IN A PROCEEDING OR SUBMISSION 28 BEFORE THE SUPERINTENDENT OF INSURANCE OR INSURANCE DEPARTMENT AS 29 AUTHORIZED BY THIS ARTICLE; 30 (E) MAY RECOMMEND LEGISLATION TO THE LEGISLATURE THAT, IN THE JUDGMENT 31 OF THE ADVOCATE, WOULD AFFECT POSITIVELY THE INTERESTS OF NONBUSINESS 32 AUTOMOBILE INSURANCE CONSUMERS; 33 (F) MAY APPEAR OR INTERVENE AS A MATTER OF RIGHT AS A PARTY OR OTHER- 34 WISE ON BEHALF OF NONBUSINESS AUTOMOBILE INSURANCE CONSUMERS AS A CLASS 35 IN ALL PROCEEDINGS IN WHICH THE ADVOCATE DETERMINES THAT SUCH CONSUMERS 36 NEED REPRESENTATION, EXCEPT THAT THE ADVOCATE MAY NOT INTERVENE IN ANY 37 ENFORCEMENT OR PARENS PATRIAE PROCEEDING BROUGHT BY THE ATTORNEY GENER- 38 AL. 39 6. (A) THE OFFICE SHALL PREPARE INFORMATION OF PUBLIC INTEREST 40 DESCRIBING THE FUNCTIONS OF THE OFFICE. THE OFFICE SHALL MAKE THE INFOR- 41 MATION AVAILABLE TO THE PUBLIC, LAWMAKERS AND APPROPRIATE STATE AGEN- 42 CIES. 43 (B) THE OFFICE SHALL PREPARE AND MAINTAIN A WRITTEN PLAN THAT 44 DESCRIBES HOW EACH PERSON WHO DOES NOT SPEAK ENGLISH CAN BE PROVIDED 45 REASONABLE ACCESS TO THE OFFICE'S PROGRAMS. 46 (C) THE OFFICE SHALL PREPARE AND DISTRIBUTE PUBLIC EDUCATION MATERIALS 47 FOR CONSUMERS, LEGISLATORS AND REGULATORS. 48 (D) THE OFFICE MAY PARTICIPATE IN TRADE ASSOCIATIONS. 49 S 3. Subsection (d) of section 2321 of the insurance law is amended to 50 read as follows: 51 (d) Proceedings pursuant to subsections (b) and (c) [hereof] OF THIS 52 SECTION may be instituted upon the initiative of the superintendent or 53 upon written application to the superintendent by any aggrieved person 54 or organization, other than a rate service organization, for a hearing, 55 if the superintendent finds that the application is made in good faith 56 and that the grounds otherwise justify holding such a hearing WHICH S. 6238 4 1 SHALL BE HELD WITHIN FIFTEEN DAYS OF THE REQUEST; PROVIDED, HOWEVER, 2 THAT THE SUPERINTENDENT SHALL HOLD SUCH A HEARING WITHIN FIFTEEN DAYS OF 3 AN APPLICATION THEREFOR FROM THE INSURANCE CONSUMER ADVOCATE ESTABLISHED 4 UNDER ARTICLE FORTY-FOUR-A OF THE EXECUTIVE LAW. IN THE CASE OF A DENIAL 5 OF AN APPLICATION FOR A HEARING FILED BY ANY AGGRIEVED PERSON OR ANY 6 OTHER ORGANIZATION, THE SUPERINTENDENT SHALL PROVIDE THE REASONS THERE- 7 FOR IN WRITING TO THE APPLICANT WITHIN FIFTEEN DAYS OF SUCH DENIAL. 8 S 4. Subsection (c) of section 2305 of the insurance law is amended to 9 read as follows: 10 (c) Rates filed with the superintendent shall be accompanied by the 11 information upon which the insurer supports the rate as set forth in 12 subsection (b) of section two thousand three hundred four of this arti- 13 cle. WITH RESPECT TO RATES FILED FOR NONBUSINESS AUTOMOBILE POLICIES, 14 SUCH FILINGS SHALL INCLUDE ALL STATISTICAL DATA RELIED UPON TO SUPPORT 15 THE FILING AND SUCH OTHER INFORMATION AS THE SUPERINTENDENT SHALL 16 REQUIRE. SUCH FILINGS AND SUPPORTING INFORMATION SHALL CONFORM WITH 17 STANDARDS OF UNIFORMITY WHICH THE SUPERINTENDENT SHALL PRESCRIBE BY 18 REGULATION ON OR BEFORE THE JANUARY IMMEDIATELY FOLLOWING THE EFFECTIVE 19 DATE OF THE CHAPTER OF THE LAWS OF TWO THOUSAND TWELVE THAT AMENDED THIS 20 SUBSECTION. 21 S 5. Section 89-d of the state finance law, as amended by chapter 170 22 of the laws of 1994 and subdivision 2 as amended by section 4 of part T 23 of chapter 56 of the laws of 2009, is amended to read as follows: 24 S 89-d. Motor vehicle theft and insurance fraud prevention fund. 1. 25 There is hereby established in the custody of the comptroller, a special 26 fund to be known as the "motor vehicle theft and insurance fraud 27 prevention fund". 28 2. Such fund shall consist of all moneys received by the state pursu- 29 ant to subsection (b) of section nine thousand one hundred ten of the 30 insurance law that are transferred to the fund pursuant to paragraph one 31 of subsection (e) of section nine thousand one hundred ten of the insur- 32 ance law and all other grants, bequests or other moneys appropriated, 33 credited or transferred thereto from any other fund or source pursuant 34 to law. 35 3. Moneys in the motor vehicle theft and insurance fraud prevention 36 fund shall be kept separate and apart and shall not be commingled with 37 any other moneys in the custody of the comptroller and shall only be 38 expended herein and in such amounts as approved by the division of the 39 budget. 40 4. [The] EXCEPT AS PROVIDED IN THIS SUBDIVISION, THE moneys received 41 by such fund shall be expended pursuant to appropriation only to fund 42 provider agencies which have been awarded grants by the motor vehicle 43 theft and insurance fraud prevention board established pursuant to 44 section eight hundred forty-six-l of the executive law. All moneys 45 expended pursuant to this subdivision shall be for the reimbursement of 46 costs incurred by provider agencies; PROVIDED, HOWEVER THAT NO LESS THAN 47 ONE MILLION TWO HUNDRED THOUSAND DOLLARS SHALL BE USED FOR THE PURPOSES 48 OF CREATING, ADMINISTERING AND OPERATING THE OFFICE OF INSURANCE CONSUM- 49 ER ADVOCATE CREATED PURSUANT TO ARTICLE FORTY-FOUR-A OF THE EXECUTIVE 50 LAW. 51 S 6. Section 2329 of the insurance law, as amended by chapter 102 of 52 the laws of 2011, is amended to read as follows: 53 S 2329. Motor vehicle insurance rates; excess profits. (A) In accord- 54 ance with regulations prescribed by the superintendent, each insurer 55 issuing policies which are subject to article fifty-one of this chapter, 56 including policies of motor vehicle personal injury liability insurance S. 6238 5 1 or policies of motor vehicle property damage liability insurance or 2 insurance for loss or damage to a motor vehicle, shall establish a fair, 3 practicable, and nondiscriminatory plan for refunding or otherwise cred- 4 iting to those purchasing such policies their share of the insurer's 5 excess profit, if any, on such policies. An excess profit shall be a 6 profit beyond a percentage rate of return on net worth attributable to 7 such policies, computed in accordance with the regulation required by 8 section two thousand three hundred twenty-three of this article, and 9 determined by the superintendent to be so far above a reasonable average 10 profit as to amount to an excess profit, taking into consideration the 11 fact that losses or profits below a reasonable average profit will not 12 be recouped from such policyholders. Each plan shall apply to policy 13 periods for the periods January first, nineteen hundred seventy-four 14 through August second, two thousand one, and the effective date of the 15 property/casualty insurance availability act through June thirtieth, two 16 thousand fourteen. In prescribing such regulations the superintendent 17 may limit the duration of such plans, waive any requirement for refund 18 or credit which he or she determines to be de minimis or impracticable, 19 adopt forms of returns which shall be made to him or her in order to 20 establish the amount of any refund or credit due, establish periods and 21 times for the determination and distribution of refunds and credits, and 22 shall provide that insurers receive appropriate credit against any 23 refunds or credits required by any such plan for policyholder dividends 24 and for return premiums which may be due under rate credit or retrospec- 25 tive rating plans based on experience. 26 (B)(1) ON OR BEFORE NOVEMBER FIRST, TWO THOUSAND THIRTEEN, AND ANNUAL- 27 LY THEREAFTER, THE SUPERINTENDENT SHALL COMPLETE A RECALCULATION OF THE 28 POINTS FOR REASONABLE RATE OF RETURN AND EXCESS PROFITS ESTABLISHED 29 UNDER THE REGULATIONS PROMULGATED PURSUANT TO THIS SECTION, USING THE 30 MOST RECENT SIX YEAR PERIOD FOR WHICH DATA IS AVAILABLE. IF SUCH RECAL- 31 CULATION RESULTS IN A CHANGE IN SUCH POINTS, THE SUPERINTENDENT SHALL 32 IMMEDIATELY ADOPT SUCH POINTS IN REGULATION, AND, IF, UNDER SUCH RECAL- 33 CULATION, EXCESS PROFITS HAVE BEEN REALIZED, SHALL IMMEDIATELY ACTIVATE 34 PLANS FOR REFUNDING OR OTHERWISE CREDITING TO THOSE PURCHASING SUCH 35 POLICIES THEIR SHARE OF INSURERS' EXCESS PROFIT, IN ACCORDANCE WITH THE 36 REGULATIONS PROMULGATED HEREUNDER. 37 (2) ON OR BEFORE DECEMBER FIRST, TWO THOUSAND THIRTEEN, AND ANNUALLY 38 THEREAFTER, THE SUPERINTENDENT SHALL HOLD A PUBLIC HEARING ON THE 39 RESULTS OF SUCH RECALCULATION AND ANY ACTIONS INSTITUTED PURSUANT TO 40 THIS SECTION AS A RESULT OF SUCH RECALCULATION. ON OR BEFORE JANUARY 41 FIRST, TWO THOUSAND FOURTEEN, AND ANNUALLY THEREAFTER, THE SUPERINTEN- 42 DENT SHALL SEND A TRANSCRIPT OF THE HEARING TO THE LEGISLATURE AND A 43 REPORT ON THE RESULTS OF SUCH RECALCULATION AND ANY ACTIONS INSTITUTED 44 AS REQUIRED BY THIS SECTION. 45 (3) ON OR BEFORE OCTOBER FIRST, TWO THOUSAND THIRTEEN, THE SUPERINTEN- 46 DENT SHALL ISSUE A REQUEST FOR PROPOSALS TO CONDUCT AN INDEPENDENT AUDIT 47 AND EVALUATION, WITH RESPECT TO NONBUSINESS AUTOMOBILE INSURANCE, OF 48 INSURER COMPLIANCE WITH AND THE SUPERINTENDENT'S IMPLEMENTATION AND 49 ENFORCEMENT OF THE PROVISIONS OF THIS SECTION. THE SUPERINTENDENT SHALL 50 PROVIDE THE CHAIRS OF THE ASSEMBLY AND SENATE COMMITTEES ON INSURANCE 51 WITH THE RESPONSES TO THE REQUEST FOR PROPOSALS, AND SHALL CONSULT WITH 52 SUCH CHAIRS ON THE SELECTION OF THE FIRM TO CONDUCT THE AUDIT. 53 SUCH AUDIT SHALL BE COMPLETED AND A REPORT SUBMITTED BY NOVEMBER 54 FIRST, TWO THOUSAND FOURTEEN TO THE SUPERINTENDENT AND THE LEGISLATURE. 55 THE SCOPE OF THE AUDIT SHALL INCLUDE, BUT NOT BE LIMITED TO: S. 6238 6 1 (I) AN IDENTIFICATION AND EVALUATION OF EVENTS AND CONDITIONS INFLU- 2 ENCING INSURER PROFITS, INCLUDING, BUT NOT LIMITED TO: THE BUSINESS 3 CLIMATE AND CHANGES IN ECONOMIC CONDITIONS, INCLUDING INTEREST RATES; 4 (II) AN ASSESSMENT OF THE APPROPRIATENESS OF THE METHODOLOGY FOR 5 SELECTING A REASONABLE RATE OF RETURN AND EXCESS PROFIT THRESHOLD UNDER 6 SUCH REGULATION; 7 (III) AN ASSESSMENT OF THE FEASIBILITY OF USING INDIVIDUAL INSURER 8 RESULTS RATHER THAN AGGREGATE INDUSTRY DATA FOR TESTING PROFITABILITY; 9 (IV) AN ASSESSMENT OF THE FEASIBILITY OF AVERAGING DATA OVER LESS THAN 10 A SIX YEAR PERIOD FOR MEASURING EXCESS PROFITS; 11 (V) AN ASSESSMENT OF THE DEPARTMENT'S ACTIVITIES WITH RESPECT TO 12 RECALCULATING THE POINTS FOR REASONABLE RATE OF RETURN AND EXCESS 13 PROFITS; 14 (VI) A RECALCULATION OF THE POINTS FOR REASONABLE RATE OF RETURN AND 15 EXCESS PROFITS USING THE MOST RECENT SIX YEAR PERIOD FOR WHICH DATA IS 16 AVAILABLE; AND 17 (VII) AN IDENTIFICATION AND EVALUATION OF OTHER STATES' EXCESS PROFITS 18 LAWS, REGULATIONS, IMPLEMENTATION OF SUCH LAWS AND REGULATIONS, AND 19 METHODOLOGIES FOR CALCULATING POINTS FOR REASONABLE RATE OF RETURN. 20 THE REPORT SHALL INCLUDE, BUT NOT BE LIMITED TO: RECOMMENDATIONS FOR 21 CHANGES TO THE LAW, REGULATIONS AND IMPLEMENTATION AND ENFORCEMENT OF 22 SUCH PROVISIONS BASED ON THE FINDINGS OF SUCH AUDIT AND EVALUATION. 23 WITHIN THREE MONTHS OF THE RECEIPT OF SUCH REPORT, THE SUPERINTENDENT 24 SHALL HOLD A PUBLIC HEARING WITH REGARD TO THE DEPARTMENT'S RESPONSE TO 25 THE FINDINGS AND RECOMMENDATIONS OF THE REPORT. 26 S 7. This act shall take effect immediately, provided, however, that 27 this act shall apply to insurance contracts issued or renewed on or 28 after such effective date, and shall apply at the next required policy 29 period, commencing on or after such date, to any insurance contract 30 written prior to the effective date of this act.