the risks 'tow&h they respectivelyapply, and not confiscatoryas to any class of insurancecarriersauthorizedby Law to write~suchiu- surance.
"Section8. No *surer comingwith the terms of this Act shall,in its businessIn this State,'makeor perult any dis- tinctionqr discriminationin favor of the insuredhaving a like hazard,inthe v+atterof the chargeof pr&ium.efor ixwrance, hfr.A. A. Regan, Jr., Page 3 (o-406)
or in dividendsor other benefitspayableunder any policy,nor shall any such insureror agent make any contractof insurance, or agreementas to such insurance,other than expressedin the policy,nor shall any such insureror its agents or representa- tives pay, allow or give, or offer to pay, allow or give, di- rectly or indirectly,as sn inducementto Insured,any rebate payableupon the policyor any specialfavor or advantagein dividendsor other benefitsto accrue,or anythingof value whatsoever,not specifiedin the policy;providedthat nothing in this Act shallbe construedto prohibitthe modificationof rate6 by an experienceratingplan designedto encouragethe preventionof accidentsand to take accountof the peculiar hazardsof individualrisks,providedsuch plan shall have been approvedby ths Commls6hne.r; andprovided furtherthat only .* one such plad shallbe approvedfor each form of insurance hereunder."
Pursuantto the above mentionedstatute,the Board of InsuranceCom- missionershas prescribeda manual of r&es and rates for all forms of auto- mobile insurancein Texas and the manual. of rules and rates Is duly recorded In the officialminutesof the Board. The prescribedmanual containsa table of percentagesto be appliedto the basic manual rate where an Insuredwishes to avail himselfof additionalprotedlon In the form of higher limlts~thau the basic 5,000/10,000limits for bodilyinjury liability.
Rule Bo. 66 of the manual reads as follows:
~"66. IncreasedLimitsand Excess Insurance. Increased limits and excess insurancemay be written for sny type.00auto- mobile In accordancewith the chargesshown in the Increased LimitsTable applicableto the type of automobileInvolvedand its use."
The terms and provisionsof the statuteare clear and unambiguouS and specifically providethat only one such plan shall be fixed or promulgated for each form of insurancehereunderand furtherprovidethat the Conmissioner shall have the sole and exclusivepower and authorityand It shallbe its duty to determine,fix, prescribeand promulgatejust and reasonableand adequate rates of premiumsto be chargedand collectedby all insurerswritingany form of Insuranceon motor vehiclesin this State and the duty imposedupon the Board of InsuranceCommissioners by Section1 of Article 4682b, supra, Is not limitedto prescribinga uniformrate for basic coverageonly but appliesto all rates and rules includingthe excess limitstable for excess coverageabove the basic manual rate.
You are respectfullyadvisedthat it is the opinionof this-Depart- ment that the Board of InsuranceCommissionershas no authorityto prescribe more than one excesslimitstable for each cl.assificationof hazardand does not have the authorityto prescribea separateexcess limitstable for self- Insurerswho wish to assume their own liabilityup to a certainlimit but desire Mr. A. A. Regen, Jr., Page 4 (0-406)
to provideexcess insuranceby purchasingit from a companyadmittedto do businessin Texas to protectthemselvesagainstcatastrophelosses.
You are furtheradvisedthat the duty Imposedupon the Board of In- suranceConmkissionersby Section1 of the above mentionedstatuteis not limited to prescribinga uniformrate for basic coverageonly but appliesto all rates and rules includingan excess limitstable for excess coverageabove the basic manual rate.
TrustingtI&. the foregoing-ers your inquiries,we remain
Very truly yours
A!tTm $ElGmLoFTBxAs
BY Ardell qilllame .: &3%.atEul$