N.M. Admin. Code § 13.17.6.9

Current through Register Vol. 35, No. 23, December 10, 2024

Section 13.17.6.9 - ADMINISTRATIVE REQUIREMENTS

The premium credit program shall be administered in the following manner:

A. Each workers' compensation carrier shall issue a premium credit application form for each qualifying policy. This form must be issued by each individual carrier and shall be sent to each insured employer prior to policy issuance or within sixty (60) days after the policy's effective date. The Superintendent shall approve such forms prior to their use. The carrier shall maintain proof of mailing in its files and shall make such proof available to the New Mexico Insurance Division upon request.

B. The employer shall complete the required information and shall mail the completed form to the WCSO not later than 180 days after the policy's effective date.

C. The WCSO shall compute the insured's average hourly wage for each qualifying classification and shall apply the percentage of premium credit using the criteria and Premium Credit Schedule established in this rule. These calculations shall be displayed on a Policy Credit Worksheet. The WCSO shall mail a copy of the completed worksheet to the insured's carrier.

D. The carrier shall use the applicable credits to calculate the insured's estimated premium at policy issuance.

E. The experience used to determine loss cost and/or manual rates for each classification shall be reflective of the premium credit program in subsequent rate filings.

F. The applicable premium credits shall be reflected in the experience rating and ARAP calculations.

G. Standard earned premium reported to the WCSO on the aggregate call for experience must include the effects of premium credits.

N.M. Admin. Code § 13.17.6.9

4-1-92; 13.17.6.9 NMAC - Rn & A, 13 NMAC 17.6.9, 5-15-01