reglab/statecodes huggingface dataset:
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1401 - SCOPE OF CHAPTER.

41-1401. SCOPE OF CHAPTER. (1) Except as provided in section 41-1619 (other provisions applicable, workmen’s compensation rates), and except as provided in subsection (3) below, this chapter applies to property, marine and transportation, inland marine, casualty (other than workmen’s compensation coverages) and surety (other than the insurance or guaranty of the obligations of employers under workmen’s compensation laws) insurances, as such property, marine and transportation, casualty and surety insurances are defined in chapter 5, title 41, Idaho Code, on risks located or operations to be performed in this state.
(2) "Inland marine" insurance shall be deemed to include insurance now or hereafter defined by statute, or by interpretation thereof, or if not so defined or interpreted, by ruling of the director, or as established by general custom of the business, as inland marine insurance.
(3) This chapter shall further not apply as to:
(a) Reinsurance, other than joint reinsurance to the extent stated in section 41-1426;
(b) Insurance of vessels or craft, their cargos, marine builders’ risks, marine protection and indemnity; or other risks commonly insured under marine, as distinguished from inland marine, insurance policies;
(c) Insurance against loss of or damage to aircraft or against liability arising out of ownership, maintenance or use of aircraft, nor to insurance of hulls of aircraft, including their accessories and equipment;
(d) Any domestic self-insurer for fire; or
(e) Any reciprocal insurer writing hazards or perils for its members exclusively associated with a single industry.
History:
[41-1401, added 1961, ch. 330, sec. 306, p. 645; am. 1969, ch. 306, sec. 1, p. 917.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1402 - PURPOSE OF LAW — INTERPRETATION.

41-1402. PURPOSE OF LAW — INTERPRETATION. (1) The purpose of this chapter is to promote the public welfare by regulating insurance rates as herein provided to the end that they shall not be excessive, inadequate or unfairly discriminatory, and to authorize and regulate cooperative action among insurers in rate making and in other matters within the scope of this chapter.
(2) It is the express intent of this chapter to permit and encourage competition between insurers on a sound financial basis, and nothing in this chapter is intended to give the director power to fix and determine a rate level by classification or otherwise.
(3) This chapter shall be liberally interpreted to carry into effect the provisions of this section.
History:
[41-1402, added 1961, ch. 330, sec. 307, p. 645; am. 1969, ch. 306, sec. 2, p. 917.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1405 - RATE STANDARDS.

41-1405. RATE STANDARDS. (1) Rates shall not be excessive, inadequate or unfairly discriminatory.
(2) No rate shall be held to be excessive unless the director finds that:
(a) Such rate is unreasonably high for the insurance provided, and
(b) A reasonable degree of competition does not exist in Idaho with respect to the classification to which the rate is applicable.
(3) No rate shall be held to be inadequate unless the director finds that:
(a) Such rate is unreasonably low for the insurance provided and the continued use of such rate endangers the solvency of the insurer using the same, or
(b) Such rate is unreasonably low for the insurance provided and the use of such rate by the insurer using the same has, or if continued will have, the effect of destroying competition or creating a monopoly.
(4) Neither of such findings shall be made by the director except after a hearing on reasonable notice.
(5) Nothing contained in this chapter shall be construed to repeal or modify the provisions of chapter 13, title 41 (trade practices and frauds), Idaho Code, and any rate, rating classification, rating plan or schedule, or variation thereof, established in violation of any of such provisions shall, in addition to the consequences stated in such chapter or elsewhere, be deemed a violation of this section.
History:
[41-1405, added 1961, ch. 330, sec. 310, p. 645; am. 1969, ch. 306, sec. 3, p. 917; am. 1977, ch. 142, sec. 6, p. 308.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1415 - RATING ORGANIZATIONS — LICENSING.

41-1415. RATING ORGANIZATIONS — LICENSING. (1) Any person, corporation, unincorporated association, partnership or individual, whether located within or outside this state, not an officer or employee of any insurer, may apply to the director for a license as a rate making organization for such kinds of insurance or subdivisions or classes of risk or part or combination thereof as are specified in its application. Any property insurance rating bureau licensed under the provisions of this chapter, except a crop hail or nuclear energy insurance rating bureau, shall be entirely independent in its operation and management and shall not be a branch or division of any other property insurance rating bureau. A property insurance rating organization shall establish and maintain a rate making office in this state, and to the extent reasonably possible shall maintain in such office all the files and records relating to the rates currently made by such rating organization and the making thereof; but this provision does not apply as to marine or inland marine or crop hail insurance rating organizations.
(2) As part of its application the rating organization shall file with the director:
(a) Copy of its constitution, its articles of agreement or association or its certificate of incorporation, and of its by-laws, rules and regulations governing the conduct of its business;
(b) A list of its members and subscribers;
(c) The name and address of a resident of this state upon whom notices or orders of the director or process affecting the rating organization may be served; and
(d) A statement of its qualifications as a rating organization.
(3) If the director finds that the applicant is competent, trustworthy and otherwise qualified to act as a rating organization, and that its constitution, articles of agreement or association or certificate of incorporation, and its by-laws, rules and regulations governing the conduct of its business conform to the requirements of law, he shall issue a license specifying the kinds of insurance or subdivision or class of risk or part or combination thereof for which the applicant is authorized to act as a rating organization. Every such application shall be granted or denied in whole or in part by the director within sixty (60) days of the date of its filing with him.
History:
[41-1415, added 1961, ch. 330, sec. 320, p. 645; am. 1966 (2nd E.S.), ch. 2, sec. 1, p. 12; am. 1969, ch. 306, sec. 4, p. 917.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1416 - PERIOD LICENSE EFFECTIVE — RENEWAL — FEE — SUSPENSION OR REVOCATION.

41-1416. PERIOD LICENSE EFFECTIVE — RENEWAL — FEE — SUSPENSION OR REVOCATION. (1) Licenses issued to rating organizations under section 41-1415, Idaho Code, shall remain in effect for one (1) year, unless sooner suspended or revoked by the director, and may be renewed for successive periods of one (1) year each upon application of the rating organization and payment in advance of the license fee.
(2) The fee for the license shall be in the amount set forth by rule pursuant to section 41-401, Idaho Code.
(3) The director may suspend or revoke the license if he finds, after a hearing thereon of which notice was duly given to the rating organization, that the rating organization no longer meets the requirements of section 41-1415, Idaho Code, or for failure to comply with the director’s order as provided in section 41-1432, Idaho Code.
History:
[41-1416, added 1961, ch. 330, sec. 321, p. 645; am. 2001, ch. 85, sec. 5, p. 214.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1417 - ADMISSION OF SUBSCRIBERS — SERVICES NONDISCRIMINATORY.

41-1417. ADMISSION OF SUBSCRIBERS — SERVICES NONDISCRIMINATORY. (1) Subject to rules which have been approved by the director as reasonable, each rating organization shall permit any insurer, not a member, to be a subscriber to its rating services for any kind of insurance or subdivision thereof, or class of risk or a part or combination thereof for which it is authorized to act as a rating organization. Notice of proposed changes in such rules shall be given to subscribers.
(2) Each rating organization shall furnish its rating services without discrimination to its members and subscribers.
(3) The reasonableness of any rule in its application to subscribers, or the refusal of any rating organization to admit an insurer as a subscriber, shall, at the request of any subscriber or any such insurer, be reviewed by the director at a hearing upon notice to the rating organization and to the subscriber or insurer in accordance with chapter 2, title 41, Idaho Code. If the director finds that such rule is unreasonable in its application to subscribers, he shall order that the rule shall not be applicable to subscribers. If a rating organization fails to grant or reject an insurer’s application for subscribership within thirty (30) days after it was made, the insurer may request a review by the director as if the application had been rejected. If the director finds that the insurer has been refused admittance to the rating organization as a subscriber without justification, he shall order the rating organization to admit the insurer as a subscriber. If he finds that the action of the rating organization was justified, he shall make an order affirming its action.
History:
[41-1417, added 1961, ch. 330, sec. 322, p. 645; am. 2005, ch. 77, sec. 10, p. 262.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1420 - NOTICE OF RATING ORGANIZATION CHANGES.

41-1420. NOTICE OF RATING ORGANIZATION CHANGES. Every rating organization shall notify the director promptly of every change in (1) its constitution, its articles of agreement or association, or its certificate of incorporation, and its by-laws, rules and regulations governing the conduct of its business, (2) its list of members and subscribers, and (3) the name and address of the resident of this state designated by it upon whom notice or orders of the director or process affecting such rating organization may be served.
History:
[41-1420, added 1961, ch. 330, sec. 325, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1421 - TECHNICAL SERVICES.

41-1421. TECHNICAL SERVICES. Any rating organization may subscribe for or purchase actuarial, technical or other services, and such services shall be available to all members and subscribers without discrimination.
History:
[41-1421, added 1961, ch. 330, sec. 326, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1425 - ADVISORY ORGANIZATIONS.

41-1425. ADVISORY ORGANIZATIONS. (1) No advisory organization shall conduct its operations in this state unless and until it has filed with the director:
(a) A copy of its constitution, its articles of agreement or association, or its certificate of incorporation and of its by-laws, rules and regulations governing its activities;
(b) A list of its members and subscribers;
(c) The name and address of a resident of this state upon whom notices or orders of the director or process issued at his direction may be served; and
(d) An agreement that the director may examine such advisory organization in accordance with the provisions of section 41-1427.
(2) Every such advisory organization shall notify the director promptly of every change in its constitution, its articles of certificate of incorporation, or of agreement or association, and of its by-laws, rules and regulations governing conduct of its business; its list of members and subscribers; and the name and address of the resident of this state designated by it upon whom notices or orders of the director or process affecting such organization may be served.
(3) No such advisory organization shall engage in any unfair or unreasonable practice with respect to such activities.
History:
[41-1425, added 1961, ch. 330, sec. 330, p. 645; am. 1969, ch. 306, sec. 5, p. 917.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1426 - JOINT UNDERWRITING OR JOINT REINSURANCE.

41-1426. JOINT UNDERWRITING OR JOINT REINSURANCE. (1) Every group, association, or other organization of insurers which engages in joint underwriting or joint reinsurance, shall be subject to regulation with respect thereto as herein provided, subject, however, with respect to joint underwriting, to all other applicable provisions of this chapter, or chapter 16 (worker’s compensation rates), title 41, Idaho Code, and, with respect to joint reinsurance to sections as follows:
(a) Section 41-1427 (examination of rating, advisory, and joint reinsurance organizations);
(b) Section 41-1432 (penalties); and
(c) Section 41-1434 (hearing procedure).
(2) If, after a hearing, the director finds that any activity or practice of any such group, association or other organization is unfair or unreasonable or otherwise inconsistent with the applicable provisions of this chapter, or chapter 16, title 41, Idaho Code, he may issue a written order specifying in what respects such activity or practice is unfair or unreasonable or otherwise inconsistent with such provisions, and requiring the discontinuance of such activity or practice.
History:
[41-1426, added 1961, ch. 330, sec. 331, p. 645; am. 1969, ch. 306, sec. 6, p. 917; am. 2005, ch. 77, sec. 11, p. 262.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1427 - EXAMINATION OF INSURERS AND RATING, ADVISORY, JOINT UNDERWRITING, AND JOINT REINSURANCE ORGANIZATIONS.

41-1427. EXAMINATION OF INSURERS AND RATING, ADVISORY, JOINT UNDERWRITING, AND JOINT REINSURANCE ORGANIZATIONS. (1) As often as he deems necessary, and not less frequently than each five (5) years, the director shall examine each licensed rating organization, each advisory organization, each group, association or other organization of insurers which engages in joint underwriting or joint reinsurance, and each authorized insurer transacting in this state any class of insurance to which the provisions of this chapter are applicable. The examination shall be for the purpose of ascertaining compliance by the person examined with the applicable provisions of this chapter. As to insurers, no such examination requirement shall be satisfied by the periodic examination of the insurer’s general affairs.
(2) In lieu of any such examination the director may accept the report of a similar examination made by the insurance supervisory official of another state.
(3) The reasonable cost of the examination shall be paid by the person examined, and such person shall be subject, as though an "insurer," to the provisions of section 41-228, Idaho Code, (examination expense).
(4) Such examination shall also be subject to the applicable provisions of sections 41-223, Idaho Code, (conduct of examination), 41-227, Idaho Code, (examination report), 41-229, Idaho Code, (witnesses and evidence) and 41-230, Idaho Code, (testimony compelled — immunity from prosecution).
History:
[41-1427, added 1961, ch. 330, sec. 332, p. 645; am. 1969, ch. 306, sec. 7, p. 917; am. 2007, ch. 279, sec. 1, p. 810.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1428 - RECORDING AND REPORTING OF LOSS AND EXPENSE EXPERIENCE.

41-1428. RECORDING AND REPORTING OF LOSS AND EXPENSE EXPERIENCE. (1) The director shall promulgate and may modify reasonable rules and statistical plans, reasonably adapted to each of the rating systems used, (to time) and which shall be used thereafter by each insurer in the recording and reporting of its loss and countrywide expense experience, in order that the experience of all insurers may be made available at least annually in such form and detail as may be necessary to aid him in determining whether rates comply with the applicable standards of this chapter. Such rules and plans may also provide for the recording and reporting of expense experience items which are specially applicable to this state and are not susceptible of determination by a prorating of countrywide expense experience.
(2) In promulgating such rules and plans the director shall give due consideration to the rating systems in use in this state and, in order that such rules and plans may be as uniform as is practicable among the several states, to the rules and to the form of the plans used for such rating systems in other states.
(3) No insurer shall be required to record or report its loss experience on a classification basis that is inconsistent with the rating system used by it.
(4) The director may designate one or more rating organizations or other agencies to assist him in gathering such experience and making compilations thereof, and such compilations shall be made available, subject to reasonable rules promulgated by the director, to insurers and rating organizations.
History:
[41-1428, added 1961, ch. 330, sec. 333, p. 645; am. 1969, ch. 306, sec. 8, p. 917.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1429 - INTERCHANGE OF DATA — CONSULTATION.

41-1429. INTERCHANGE OF DATA — CONSULTATION. (1) The director may promulgate reasonable rules and plans for the interchange of data necessary for the application of rating plans.
(2) In order to further uniform administration of rate regulatory laws, the director and every insurer and rating organization may exchange information and experience data with insurance supervisory officials, insurers and rating organizations in other states and may consult with them with respect to rate making and the application of rating systems.
History:
[41-1429, added 1961, ch. 330, sec. 334, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1430 - DISCLOSURE OF INFORMATION AND IMMUNITY.

41-1430. DISCLOSURE OF INFORMATION AND IMMUNITY. (1) Information acquired as a result of any inspection or survey by any rating organization or advisory organization shall be disclosed, upon request, to any requesting person with an insurable interest in the property and to any person designated by regulation of the Idaho department of insurance. The rating organization or advisory organization may require the person requesting the information to pay the reasonable costs of duplicating the information requested.
(2) No rating organization, advisory organization, or its officers, directors, employees, or any of its members, shall be civilly liable for the information contained in any of its records or reports prepared in good faith and in accordance with this chapter. No rating organization, advisory organization, or its officers, directors or employees or any of its members shall have a duty to disclose the information contained in their records or reports except as provided in this chapter.
History:
[41-1430, added 1982, ch. 347, sec. 1, p. 862.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1431 - FALSE OR MISLEADING INFORMATION.

41-1431. FALSE OR MISLEADING INFORMATION. No person or organization shall wilfully withhold information from, or knowingly give false or misleading information to, the director, any statistical agency designated by the director, any rating organization, or any insurer, which will affect the rates or premiums chargeable under this code. A violation of this section shall subject the one guilty of such violation to the penalties provided in section 41-1432.
History:
[41-1431, added 1961, ch. 330, sec. 336, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1432 - PENALTIES FOR VIOLATIONS OR NONCOMPLIANCE.

41-1432. PENALTIES FOR VIOLATIONS OR NONCOMPLIANCE. (1) Violations of this chapter, or of chapter 16 (worker’s compensation rates), title 41, Idaho Code, shall be subject to the penalties provided by section 41-117 (general penalty), Idaho Code.
(2) After a hearing in accordance with chapter 2, title 41, Idaho Code, the director may suspend or revoke any insurer which has failed to comply with an order of the director within the time limited by the order, or within any extension of time which the director may grant. The director shall not so suspend or revoke for failure to comply with his order until the time prescribed for an appeal from such order has expired or if an appeal has been taken, until such order has been affirmed. The director may determine when the suspension or revocation shall become effective, and, subject to section 41-329, Idaho Code, as to an insurer’s certificate of authority, any suspension order shall remain in effect for the period fixed by him unless he modifies or rescinds the suspension or until the order upon which the suspension is based is modified, rescinded or reversed.
History:
[41-1432, added 1961, ch. 330, sec. 337, p. 645; am. 1969, ch. 306, sec. 9, p. 917; am. 2005, ch. 77, sec. 12, p. 263.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1433 - RULES AND REGULATIONS.

41-1433. RULES AND REGULATIONS. As provided in section 41-211 (rules and regulations) the director may make reasonable rules and regulations necessary to effectuate any provisions of this chapter or of chapter 16 (workmen’s compensation rates).
History:
[41-1433, added 1961, ch. 330, sec. 338, p. 645; am. 1969, ch. 306, sec. 10, p. 917.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1434 - HEARING PROCEDURE.

41-1434. HEARING PROCEDURE. [(1)] An insurer, rating organization, or insurance examining bureau aggrieved by an order or decision of the director made without a hearing, may, within thirty (30) days after notice of the order to the insurer, organization or bureau, make written request to the director for a hearing thereon. The director shall hear such party or parties in accordance with chapter 2, title 41, Idaho Code.
History:
[41-1434, added 1961, ch. 330, sec. 339, p. 645; am. 1969, ch. 306, sec. 11, p. 917; am. 2005, ch. 77, sec. 13, p. 263.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1436 - DEFINITIONS.

41-1436. DEFINITIONS. As used in this chapter:
(1) "Rating organization" means every person, other than an authorized insurer, whether located within or outside this state, who has as his object or purpose the making of rates, rating plans or rating systems. Two (2) or more authorized insurers which act in concert for the purpose of making rates, rating plans or rating systems, and which do not operate within the specific authorizations contained in section 41-1426 (joint underwriting or joint reinsurance), section 41-1438 of this act (acts in concert), and section 41-1441 of this act (assigned risks), shall be deemed to be a rating organization.
(2) "Advisory organization" means every group, association, or other organization of insurers, whether located within or outside this state, which prepares policy forms or makes underwriting rules incident to but not including the making of rates, rating plans or rating systems or which collects and furnishes to authorized insurers or rating organizations loss or expense statistics or other statistical information and data and acts in an advisory, as distinguished from a rate-making, capacity.
(3) "Member" means an insurer which participates in or is entitled to participate in the management of a rating, advisory or other organization.
(4) "Subscriber" means an insurer which is furnished at its request:
(a) With rates and rating manuals by a rating organization of which it is not a member, or
(b) With advisory services by an advisory organization of which it is not a member.
(5) "Wilful" or "wilfully" in relation to an act or omission which constitutes a violation of this chapter means with actual knowledge or belief that such act or omission constitutes such violation and with specific intent nevertheless to commit such act or omission.
History:
[I.C., sec. 41-1436, as added by 1969, ch. 306, sec. 13, p. 917.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1437 - MAKING AND USE OF RATES.

41-1437. MAKING AND USE OF RATES. (1) As to all rates which are subject to this chapter, due consideration shall be given to past and prospective loss experience within and outside this state, to the conflagration and catastrophe hazards, to a reasonable margin for underwriting profit and contingencies, to dividends, savings or unabsorbed premium deposits allowed or returned by insurers to their policy holders, members or subscribers, to past and prospective expenses both countrywide and those specifically applicable to this state, and to all other relevant factors, including judgment factors, within and outside this state; and in the case of fire insurance rates, consideration shall be given to the experience of the fire insurance business during a period of not less than the most recent five (5) year period for which such experience is available.
(2) The systems of expense provisions included in the rates for use by an insurer or group of insurers may differ from those of other insurers or groups of insurers to reflect the requirements of the operating methods of any such insurer or group with respect to any kind of insurance, or with respect to any subdivision or combination thereof for which subdivision or combination separate expense provisions are applicable.
(3) Risks may be grouped by classification for the establishment of rates and minimum premiums. Classification rates may be modified to produce rates for individual risks in accordance with rating plans which establish standards for measuring variations in hazards or expense provisions, or both. Such standards may measure any difference among risks that can be demonstrated to have a probable effect upon losses or expenses. Such classifications and modifications shall apply to all risks under the same or substantially the same circumstances or conditions.
History:
[I.C., sec. 41-1437, as added by 1969, ch. 306, sec. 14, p. 917.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1439 - RECORDS.

41-1439. RECORDS. (1) Every insurer, rating organization or advisory organization and every group, association or other organization of insurers which engages in joint underwriting or joint reinsurance shall maintain reasonable records, of the type and kind reasonably adapted to its method of operation, of its experience or the experience of its members and of the data, statistics or information collected or used by it in connection with the rates, rating plans, rating systems, underwriting rules, policy or bond forms, surveys or inspections made or used by it, so that such records will be available at all reasonable times to enable the director to determine whether such organization, insurer, group or association, and, in the case of an insurer or rating organization, every rate, rating plan and rating system made or used by it, complies with the provisions of this chapter applicable to it. The maintenance of such records in the office of a licensed rating organization of which an insurer is a member or subscriber will be sufficient compliance with this section for any such insurer maintaining membership or subscribership in such organization, to the extent that the insurer uses the rates, rating plans, rating systems or underwriting rules of such organization. Such records shall be maintained in an office within this state or shall be made available for examination or inspection within this state by the director at any time upon reasonable notice.
(2) In addition to or in lieu of any other penalty therefor, for each failure to maintain the records as required hereunder the director may impose upon the person so failing the penalty prescribed by section 41-1432.
History:
[I.C., sec. 41-1439, as added by 1969, ch. 306, sec. 16, p. 917.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 14 - PROPERTY INSURANCE RATES › Section 41-1441 - ASSIGNED RISKS.

41-1441. ASSIGNED RISKS. Agreements may be made among casualty insurers with respect to the equitable apportionment among them of insurance which may be afforded applicants who are in good faith entitled to but who are unable to procure such insurance through ordinary methods, and such insurers may agree among themselves on the use of reasonable rate modifications for such insurance, such agreements and rate codifications to be subject to the approval of the director. Premium charges for the assigned risk plan shall not be excessive, inadequate, nor unfairly discriminatory and shall provide sufficient revenue to make the plan self-sustaining and self-supporting.
History:
[I.C., sec. 41-1441, as added by 1969, ch. 306, sec. 18, p. 917; am. 1996, ch. 305, sec. 2, p. 1001.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 15 - MANAGING GENERAL AGENTS ACT › Section 41-1502 - DEFINITIONS.

41-1502. DEFINITIONS. For the purposes of this chapter:
(1) "Actuary" means a person who is a member in good standing of the American academy of actuaries.
(2) "Insurer" means any person, firm, association or corporation duly licensed in this state as an insurance company pursuant to and acting consistent with the definitions provided in sections 41-103 and 41-112, Idaho Code.
(3) "Managing general agent" (MGA) means any person, firm, association or corporation who negotiates and binds ceding reinsurance contracts on behalf of an insurer or manages all or part of the insurance business of an insurer (including the management of a separate division, department or underwriting office) and acts as an agent for such insurer whether known as a managing general agent, manager or other similar term, who, with or without the authority, either separately or together with affiliates, produces, directly or indirectly, and underwrites an amount of gross direct written premium equal to or more than five per cent (5%) of the policyholder surplus as reported in the last annual statement of the insurer in any one (1) quarter or year together with one (1) or more of the following:
(a) Adjusts or pays claims in excess of an amount determined by the director, or
(b) Negotiates reinsurance on behalf of the insurer.
(4) Notwithstanding the above definition of MGA, the following persons shall not be considered as MGAs for the purposes of this chapter:
(a) An employee of the insurer;
(b) An United States manager of the United States branch of an alien insurer;
(c) An underwriting manager which, pursuant to contract, manages the insurance operations of the insurer, is under common control with the insurer, subject to the holding company regulatory act, and whose compensation is not based on the volume of premiums written;
(d) The attorney-in-fact authorized by and acting for the subscribers of a reciprocal insurer or interinsurance exchange under powers of attorney.
(5) "Underwrite" means the authority to accept or reject risks on behalf of the insurer.
History:
[41-1502, added 1991, ch. 293, sec. 1, p. 754.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 15 - MANAGING GENERAL AGENTS ACT › Section 41-1503 - LICENSURE.

41-1503. LICENSURE. (1) No person, firm, association or corporation shall act in the capacity of a MGA with respect to risks located in this state for an insurer licensed in this state unless such person is a licensed agent in this state pursuant to the provisions of chapter 10, title 41, Idaho Code.
(2) No person, firm, association or corporation shall act in the capacity of a MGA representing an insurer domiciled in this state with respect to risks located outside this state unless such person is licensed as an agent in this state pursuant to the provisions of chapter 10, title 41, Idaho Code.
(3) Every MGA as defined in section 41-1502(3), Idaho Code, shall be required to be bonded. The bond shall be in favor of the state to be held in trust for the benefit and protection of insureds and insurers whose money the MGA handles. The amount of the bond shall not be less than ten per cent (10%) of the amount of total funds handled, except that in no case shall such bond be less than five thousand dollars ($5,000). For purposes of fixing the amount of such bond, the amount of funds handled shall be determined by the total funds handled by the MGA in the preceding year, or if no funds were handled during the preceding year, the amount of funds reasonably estimated to be handled during the current calendar year by the MGA. Only one (1) such bond shall be required of the MGA for all insurers which utilize the services of the MGA, unless provided otherwise in the written agreement between the insurer and the MGA or otherwise required by the director.
(4) The director may require the MGA to maintain an errors and omissions policy.
History:
[41-1503, added 1991, ch. 293, sec. 1, p. 755.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 15 - MANAGING GENERAL AGENTS ACT › Section 41-1505 - DUTIES OF INSURERS.

41-1505. DUTIES OF INSURERS. (1) The insurer shall have on file an independent financial examination, in a form acceptable to the director, of each MGA with whom it has done business.
(2) If a MGA establishes loss reserves, the insurer shall annually obtain the opinion of an actuary attesting to the adequacy of loss reserves established for losses incurred and outstanding on business produced by the MGA. This is in addition to any other required loss reserve certification.
(3) The insurer shall conduct an on-site review of the underwriting and claims processing operations of the MGA on a semiannual or more frequent basis.
(4) Binding authority for all reinsurance contracts or participation in insurance or reinsurance syndicates shall rest with an officer of the insurer, who shall not be affiliated with the MGA.
(5) Within thirty (30) days of entering into or termination of a contract with a MGA, the insurer shall provide written notification of such appointment or termination to the director. Notices of appointment of a MGA shall include:
(a) A statement of duties which the applicant is expected to perform on behalf of the insurer;
(b) The lines of insurance for which the applicant is to be authorized to act; and
(c) Any other information the director may request.
(6) An insurer shall review its books and records each quarter to determine if any agent has become, by operation of the provisions of section 41-1502(3) and (4), Idaho Code, a MGA as defined in that section. If the insurer determines that an agent has become a MGA pursuant to the above, the insurer shall promptly notify the agent and the director of such determination and the insurer and agent must fully comply with the provisions of this chapter within thirty (30) days.
(7) An insurer shall not appoint to its board of directors an officer, director, employee, agent or controlling shareholder of its MGA. The provisions of this subsection shall not apply to relationships governed by chapter 38, title 41, Idaho Code.
History:
[41-1505, added 1991, ch. 293, sec. 1, p. 757.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 15 - MANAGING GENERAL AGENTS ACT › Section 41-1506 - EXAMINATION AUTHORITY.

41-1506. EXAMINATION AUTHORITY. The acts of the MGA are considered to be the acts of the insurer on whose behalf it is acting. A MGA may be examined pursuant to the insurance statutes and regulations as if it were the insurer.
History:
[41-1506, added 1991, ch. 293, sec. 1, p. 758.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 15 - MANAGING GENERAL AGENTS ACT › Section 41-1507 - PENALTIES AND LIABILITIES.

41-1507. PENALTIES AND LIABILITIES. (1) If the director finds, after a hearing conducted in accordance with the insurance code and the regulations and procedures adopted by the Idaho department of insurance, that any person, firm, association or corporation has violated any provision of this chapter, the director may order:
(a) For each separate violation, a penalty in an amount not to exceed ten thousand dollars ($10,000);
(b) Revocation or suspension of the agent’s license; and
(c) The MGA to reimburse the insurer, the rehabilitator or liquidator of the insurer for any losses incurred by the insurer caused by a violation of the provisions of this chapter committed by the MGA.
(2) Nothing contained in this section shall affect the right of the director to impose any other penalties provided for in the insurance statutes.
(3) Nothing contained in this chapter is intended to or shall in any manner limit or restrict the rights of policyholders, claimants and auditors.
History:
[41-1507, added 1991, ch. 293, sec. 1, p. 758.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1601 - SCOPE OF CHAPTER.

41-1601. SCOPE OF CHAPTER. (1) This chapter applies as to worker’s compensation insurance as defined in section 41-506(1)(d), Idaho Code, and to insurance or guaranty by surety insurers of the obligations of employers under worker’s compensation laws.
(2) This chapter shall not apply as to any domestic reciprocal insurer transacting worker’s compensation insurance only and insuring solely the hazards or perils of its subscribers exclusively associated with a single industry. However, if such a domestic reciprocal insurer transacting worker’s compensation insurance wishes to insure hazards or perils outside a single industry, insurance written on such different hazards shall be subject to the provisions of this chapter.
History:
[41-1601, added 1961, ch. 330, sec. 362, p. 645; am. 1999, ch. 286, sec. 1, p. 711.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1602 - DECLARATION OF POLICY — PURPOSE.

41-1602. DECLARATION OF POLICY — PURPOSE. (1) It is declared that the public welfare is served by the making of premium rates for workmen’s compensation insurance coverages in concert, and that the review by the state of the rates so made is necessary and desirable in the public interest.
(2) It is the purpose of this chapter:
(a) To authorize such rate-making in concert, and the operation of rating organizations relative thereto;
(b) To establish the general bases and standards for the making of such rates;
(c) To provide for review by the state of such rate-making and the results thereof.
History:
[41-1602, added 1961, ch. 330, sec. 363, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1603 - RATE-MAKING FACTORS.

41-1603. RATE-MAKING FACTORS. All rates shall be made in accordance with the following provisions:
(1) Due consideration shall be given to past and prospective loss experience within and outside this state, to catastrophe hazards, if any, to a reasonable margin for underwriting profit and contingencies, to dividends, savings or unabsorbed premium deposits allowed or returned by insurers to their policyholders, members or subscribers, to past and prospective expenses both countrywide and those specially applicable to this state, and to all other relevant factors within and outside this state;
(2) The systems of expense provisions included in the rates for use by any insurer or group of insurers may differ from those of other insurers or groups of insurers to reflect the requirements of the operating methods of any such insurer or group with respect to any kind of insurance, or with respect to any subdivision or combination thereof for which subdivision or combination separate expense provisions are applicable;
(3) Risks may be grouped by classifications for the establishment of rates and minimum premiums. Classification rates may be modified to produce rates on individual risks in accordance with rating plans which establish standards for measuring variations in hazards or expense provisions, or both. Such standards may measure any differences among risks that can be demonstrated to have a probable effect upon losses or expenses.
History:
[41-1603, added 1961, ch. 330, sec. 364, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1605 - UNIFORMITY.

41-1605. UNIFORMITY. Except to the extent necessary to meet the provisions of section 41-1604, uniformity among insurers in any matter within the scope of sections 41-1603 and 41-1604 is neither required nor prohibited.
History:
[41-1605, added 1961, ch. 330, sec. 366, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1606 - RATE FILINGS REQUIRED.

41-1606. RATE FILINGS REQUIRED. (1) There shall be filed with the director on behalf of every insurer writing workmen’s compensation coverages in this state, every manual of classifications, rules and rates, every rating plan and every modification of any of the foregoing which it proposes to use. Every such filing shall state the proposed effective date thereof, and shall indicate the character and extent of the coverage contemplated. When a filing is not accompanied by the information upon which the filing is supported, and the director does not have sufficient information to determine whether such filing meets the requirements of this chapter, he shall require the insurer’s rating organization or the insurer to furnish the information upon which it supports the filing and in such event the waiting period shall commence as of the date such information is furnished. The information furnished in support of a filing may include (a) the experience or judgment of the insurer, (b) the insurer’s or rating organization’s interpretation of any statistical data relied upon, (c) the experience of other insurers or rating organizations, or (d) any other relevant factors.
(2) A filing and any supporting information shall be open to public inspection after the filing becomes effective.
History:
[41-1606, added 1961, ch. 330, sec. 367, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1607 - EXEMPTION FROM FILING.

41-1607. EXEMPTION FROM FILING. Under such rules and regulations as he shall adopt the director may, by written order, suspend or modify the requirements of filing as to any kind of insurance, subdivision or combination thereof, or as to classes or risks, the rates for which cannot practicably be filed before they are used. Such orders, rules and regulations shall be made known to insurers and rating organizations affected thereby. The director may make such examination as he may deem advisable to ascertain whether any rates affected by such order meet the standards set forth in section 41-1604.
History:
[41-1607, added 1961, ch. 330, sec. 368, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1608 - EFFECTIVE DATE OF FILING.

41-1608. EFFECTIVE DATE OF FILING. (1) The director shall review filings as soon as reasonably possible after they have been made in order to determine whether they meet the requirements of this chapter.
(2) Subject to the exception specified in subsection (3) below, each filing shall be on file for a waiting period of sixty (60) days before it becomes effective. Upon the written application by the insurer or rating organization, the director may authorize a filing which he has reviewed to become effective before expiration of the waiting period. A filing shall be deemed to meet the requirements of this chapter unless disapproved by the director within the waiting period or any extension thereof.
(3) Any special filing with respect to a surety or guaranty bond required by law or by court or executive order or by order, rule or regulation of a public body, not covered by a previous filing, shall become effective when filed and shall be deemed to meet the requirements of this chapter until such time as the director reviews the filing and so long thereafter as the filing remains in effect.
History:
[41-1608, added 1961, ch. 330, sec. 369, p. 645; am. 1979, ch. 186, sec. 1, p. 544.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1609 - DISAPPROVAL OF FILING WITHIN THE WAITING PERIOD.

41-1609. DISAPPROVAL OF FILING WITHIN THE WAITING PERIOD. If within the waiting period or any extension thereof as provided in section 41-1608(2), the director finds that a filing does not meet the requirements of this chapter, he shall send to the rating organization which made the filing written notice of disapproval of the filing specifying therein in what respects he finds the filing fails to meet the requirements of this chapter and stating that the filing shall not become effective.
History:
[41-1609, added 1961, ch. 330, sec. 370, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1610 - SUBSEQUENT DISAPPROVAL OF FILING.

41-1610. SUBSEQUENT DISAPPROVAL OF FILING. If any time subsequent to the applicable review period provided for in section 41-1608(2), Idaho Code, the director finds that a filing does not meet the requirements of this chapter, he shall after a hearing held in accordance with chapter 2, title 41, Idaho Code, to every rating organization which made the filing, issue an order specifying in what respects he finds that the filing fails to meet the requirements of this chapter, and stating when, within a reasonable period thereafter, the filing shall be deemed no longer effective. Copies of the order shall be sent to every such rating organization. The order shall not affect any contract or policy made or issued prior to the expiration of the period set forth in the order.
History:
[41-1610, added 1961, ch. 330, sec. 371, p. 645; am. 2005, ch. 77, sec. 16, p. 265.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1611 - SCOPE OF DISAPPROVAL POWER.

41-1611. SCOPE OF DISAPPROVAL POWER. No manual of classifications, rules, rating plan, or any modification of any of the foregoing which establishes standards for measuring variations in hazards or expense provisions, or both, and which has been filed pursuant to the requirements of section 41-1606 shall be disapproved if the rates thereby produced meet the requirements of this chapter.
History:
[41-1611, added 1961, ch. 330, sec. 372, p. 645.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1612 - ADHERENCE TO FILINGS.

41-1612. ADHERENCE TO FILINGS. No insurer shall issue, renew, or continue in force in this state any worker’s compensation insurance at premium rates less than the rates applicable under the filings in effect for the insurer, or in effect in accordance with section 41-1607 (exemption from filing) or 41-1613 (excess rates), Idaho Code.
History:
[41-1612, added 1961, ch. 330, sec. 373, p. 645; am. 1996, ch. 194, sec. 1, p. 604; am. 2021, ch. 42, sec. 3, p. 125.]
2023 Idaho Code › Title 41 - INSURANCE › Chapter 16 - WORKER’S COMPENSATION RATES › Section 41-1613 - EXCESS RATES.

41-1613. EXCESS RATES. Upon the written application of the insured, stating his reasons therefor, filed with and approved by the director, a rate in excess of that provided by a filing otherwise applicable may be used on any specific risk.
History:
[41-1613, added 1961, ch. 330, sec. 374, p. 645.]