Ill. Admin. Code tit. 50 § 754.30

Current through Register Vol. 48, No. 45, November 8, 2024

Section 754.30 - Documentation - Individual Risks

a) A company is not required to file under Section 754.10 for individual risks in this State that cannot be rated in the normal course of business rating because of special or unusual characteristics and that must be rated on the basis of underwriting judgment. This procedure does not apply to Workers' Compensation insurance.

b) A company must maintain documentary information regarding rates determined in subsection (a) for review by the Department's Property and Casualty Compliance Unit.

c) A company is not required to file rates on individual risks in this State when the development of the rate for the individual risk is dependent upon an inspection of improvements on real property and an application of a schedule, the elements of which include loss ratio, hazard analysis, risk analysis and classification of municipal fire defenses.

d) A company must, however, maintain documentary information for the rates in subsection (c) by:

1) Maintaining the information in files and records in its offices that will be available for review by the Department's Property and Casualty Compliance Unit; or

2) Authorizing an advisory organization by use of an individual risk authorization letter to maintain documentary information for all rates in subsection (c) in its files and records that will be available for review by the Department's Property and Casualty Compliance Unit; and

3) Filing an authorization letter that includes:

A) The name of its authorized advisory organization;

B) The kind of insurance for which the information will be maintained;

C) Authorization clause or language; and

D) Effective date of authorization.

Ill. Admin. Code tit. 50, § 754.30

Amended at 39 Ill. Reg. 8266, effective 5/26/2015.