N.J. Admin. Code § 11:3-46.11

Current through Register Vol. 56, No. 23, December 2, 2024

Section 11:3-46.11 - Coverage application procedure

(a) A producer requesting coverage through the voluntary rating tier on behalf of an applicant shall file with the PAIP an application for coverage in a form acceptable to the Commissioner. The application shall contain the information required to constitute a completed written application pursuant to N.J.A.C. 11:3-44, except that a coverage selection form shall be supplied as provided in (c) below. The application shall include information regarding requested coverages, limits of coverages and tort threshold options.

(b) The assigned insurer shall review the application and determine the eligibility for coverage in accordance with time frames and other requirements set forth in N.J.A.C. 11:3-44. Quotations, accompanied by a coverage selection form and any other documents required by the insurer in accordance with its normal business practice in the voluntary market, shall be mailed or faxed to the producer and mailed to the applicant. All quotations shall be valid for a period of 30 days after the date of issuance of the quotation.

1. The insurer shall provide a quotation based on the requested limits of coverage set forth in the application. To the extent that the insurer does not offer the specific limit(s) requested, the insurer shall offer the next broadest coverage it offers.

2. Together with the quotation provided to the applicant pursuant to (b) above, the insurer shall include a coverage selection form specifying the limits of coverages to be provided pursuant to (b)1 above to be executed by the applicant.

(c) Coverage may be effected by the applicant by returning the coverage selection form signed by the applicant together with any required premium deposit to the insurer.

(d) Nothing in this section shall be construed as limiting the PAIP from developing additional application procedures that are not inconsistent with this section.

(e) Qualified producers shall not accept multiple applications from the same applicant. The producer shall not submit an application on behalf of an applicant that has applied to the voluntary rating tier within the immediately preceding 30 days.

(f) The PAIP may apportion the number of exposures that may be written among UEZ agents and qualified producers. Such apportionment shall be based on the number of UEZ agents and qualified producers, the number of exposures available to be distributed, and the limit on the number of exposures that may be written through the voluntary rating tier.

(g) The PAIP shall reject and not distribute any risk produced from a UEZ agent or qualified producer that fails to satisfy the requirements of 11:3-46.7.

N.J. Admin. Code § 11:3-46.11