Section Ins 1404.01 - Rating and Rating Plans(a) Insurers shall establish a system of base rates, risk classifications and accompanying factors, other modifications and factors which can reflect individual characteristics of the insured and coverage choices, and underwriting or tiering rules by which individuals are placed in affiliated companies, marketing tiers, or programs.(b) The entire rating plan and accompanying rates and factors shall be justified actuarially and filed with the commissioner. If the insurer is relying upon a credit report or insurance scoring system or model as defined in Ins 3300 to underwrite or rate any applicant or person inquiring about insurance, or re-underwrite or re-rate any existing class or subclass of insureds, the insurer shall, before its use on any consumer risk, file the credit scoring system with the commissioner pursuant to all rules stated in Ins 3300.(c) A rating plan shall consist of any or all of the following:(1) Schedules of base rates and rates or factors for optional coverage choices;(2) Risk classification system and accompanying factors, relativities, or charges;(3) Modification factors, discounts, or surcharges reflective of individual risk experience or behavior;(4) Pricing algorithms or rating steps used to establish final premium;(5) Underwriting guidelines to the extent that they differentiate risks, with the result being different rates or premiums charged to one insured compared to another;(6) Credit scoring mechanisms and scoring models relied upon in underwriting, risk classification, or rating; and(7) Standards applied to insureds governing placement in affiliated companies within a group, or tiers within a single company, resulting in different rates or premiums being charged for one insured versus another.N.H. Admin. Code § Ins 1404.01
#1900, eff 1-1-82; ss by #4287, eff 7-1-87; ss by #5650, eff 7-1-93; ss by #7030, INTERIM, eff 7-1-99, EXPIRED: 10-29-99
New. #7185, eff 12-28-99; ss by #8032, eff 7-1-04; amd by #8241, eff 1-3-05; ss by #10153, eff 7-1-12
Amended by Volume XLI Number 6, Filed February 11, 2021, Proposed by # 13162, Effective 1/25/2021, Expires 1/25/2031.