Bill Text: WV HB2058 | 2018 | Regular Session | Introduced
Bill Title: Prohibiting the use of a credit score in casualty insurance rate filings
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2018-01-10 - To House Banking and Insurance [HB2058 Detail]
Download: West_Virginia-2018-HB2058-Introduced.html
WEST
virginia Legislature
2017
regular session
By
[
to the Committee on Banking and Insurance then the Judiciary.
A
BILL to amend and reenact §33-20-5 of the Code of West Virginia, 1931, as
amended, relating to insurance generally; and prohibiting the use of a credit
score in casualty insurance rate filings.
Be
it enacted by the Legislature of West Virginia:
That
§33-20-5 of the Code of West Virginia, 1931, as amended, be amended and
reenacted to read as follows:
ARTICLE
20. RATES AND RATING ORGANIZATIONS.
§33-20-5. Disapproval of filings.
(a)
If within the waiting period or any extension thereof as provided in
subsection (e) of section four of this article, the commissioner finds that a
filing does not meet the requirements of this article, he or she shall
send to the insurer or rating organization which made such the
filing, written notice of disapproval of such the filing
specifying therein in what respects he or she finds such the
filing fails to meet the requirements of this article and stating that such
the filing shall does not become effective.
(b)
If within thirty days after a special surety filing subject to subsection (f)
of section four of this article or if within thirty days after a specific
inland marine rate on a risk specially rated by a rating organization subject
to subsection (g) of section four of this article has become effective, the
commissioner finds that such the filing does not meet the
requirements of this article, he or she shall send to the rating
organization which made such the filing written notice of
disapproval of such the filing specifying therein in what
respects he or she finds that such the filing fails to
meet the requirements of this article and stating when, within a reasonable
period, thereafter, such filing shall be deemed the filing is
no longer effective. Said The
disapproval shall does not affect any contract made or issued
prior to the expiration of the period set forth in said the
notice.
(c)
If at any time subsequent to the applicable review period provided for
in subsection (a) or (b) of this section, the commissioner finds that a filing
does not meet the requirements of this article, he or she shall, after
notice and hearing to every insurer and rating organization which made such
the filing, issue an order specifying in what respects he or she
finds that such the filing fails to meet the requirements of this
article and stating when, within a reasonable period thereafter, such filing
shall be deemed state when, within a reasonable period, the filing is
no longer effective. Copies of said
the order shall be sent to every such insurer and rating
organization. Said The
order shall does not affect any contract or policy made or issued
prior to the expiration of the period set forth in said the
order.
(d)
Any A person or organization aggrieved with respect to any
filing which is in effect may demand a hearing. thereon. If, after such the hearing, the
commissioner finds that the filing does not meet the requirements of this
article, he or she shall issue an order specifying in what respects he or
she finds that such the filing fails to meet the requirements
of this article and stating when, within a reasonable period thereafter,
such filing shall be deemed state when, within a reasonable period, the
filing is no longer effective. Said
The order shall does not affect any contract or policy
made or issued prior to the expiration of the period set forth in said the
order.
(e)
Any insurer or rating organization, in respect to any filing made by it which
is not approved by the commissioner, may demand a hearing. thereon.
(f)
No manual of classifications, rules, rating plans or any modification of any of
the foregoing which establishes standards for measuring variations in hazards
or expense provisions, or both, in the case of casualty insurance to which this
article applies and no manual, minimum, class rate, rating schedule, rating
plan, rating rule or any modification of any of the foregoing, in the case of
fire insurance to which this article applies, and which has been filed pursuant
to the requirements of section four of this article, shall be disapproved if
the rates thereby produced meet the requirements of this article. None of
the foregoing may consider credit scores as a factor.
(g)
If, in the opinion of the commissioner, the rate or form filing made by an
insurer is of such import that it will affect the public, he or she may,
at his or her discretion, issue notice to such the insurer
of a public hearing. The notice of
public hearing to the insurer making such the form or rate filing
shall be made by United States mail at least fifteen days prior to the
hearing date. Notice to the public shall
be given by appropriate publication in a newspaper in the form and
manner prescribed by chapter twenty-nine-a of this code. The holding of a public hearing as outlined
in this subsection shall have the effect of eliminating eliminates
the right of the party making such the filing to demand a hearing
as stated in subsections (d) and (e) of this section.
NOTE:
The purpose of this bill is to prohibit the use of a credit score in casualty
insurance rate filings.
Strike-throughs
indicate language that would be stricken from a heading or the present law and
underscoring indicates new language that would be added.
