Bill Text: WV HB2129 | 2019 | 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) 2019-01-09 - To House Banking and Insurance [HB2129 Detail]
Download: West_Virginia-2019-HB2129-Introduced.html
WEST virginia Legislature
2019 regular session
Introduced
House Bill 2129
By Delegate Caputo
[
Introduced January 9, 2019; Referred
to the Committee on Banking and Insurance then 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:
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 §33-20-4(e) of this code, 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 30 days after a special surety filing
subject to §33-20-4(f) of this code or if within 30 days after a specific
inland marine rate on a risk specially rated by a rating organization subject
to §33-20-4(g) of this code 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 §33-20-5(a) or §33-20-5 (b) of this code,
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 §33-20-4of this code, 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 15 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 29A 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 §33-20-5(d) and §33-20-5(e) of this
code.
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.
