Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Senate committee adopts substitute changing how insurersmay be reviewed for "excessive" rates; commissioner warns it wont fix root causes
Summary
The Senate Insurance Committee on May 14 adopted a substitute to Senate Bill 172 that removes the statutory "competitive"/"noncompetitive" market distinction and inserts NAIC-style language to let regulators review whether rates are "excessive" or "unreasonably high," a step the insurance commissioner warned would not fix the underlying causes of high premiums.
The Senate Insurance Committee on May 14 adopted a substitute to Senate Bill 172 that would change how the Department of Insurance reviews homeowners and property rate filings, removing a statutory distinction between "competitive" and "noncompetitive" markets and adding language drawn from NAIC guidance to address "excessive" or "unreasonably high" rates.
The substitute also would require insurers to furnish the department with additional detail about expense and profit components of filings and replace several existing statutory terms with new definitions drawn from model-law language. The committee adopted the substitute by unanimous voice and then reported the bill favorably.
The change drew support from senators sponsoring the measure as a tool to press insurers and their affiliates for clearer justification when premiums rise. "We are gonna take some…
Already have an account? Log in
Subscribe to keep reading
Unlock the rest of this article — and every article on Citizen Portal.
- Unlimited articles
- AI-powered breakdowns of topics, speakers, decisions, and budgets
- Instant alerts when your location has a new meeting
- Follow topics and more locations
- 1,000 AI Insights / month, plus AI Chat
