reglab/statecodes huggingface dataset:
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16B - Domestic Abuse Insurance Protection › Section 59A-16B-10 - Civil administrative penalty; superintendent's orders.

A. In lieu of the civil administrative penalty provided for in Subsection B of Section 59A-1-18 NMSA 1978, and except as otherwise provided in this section, a separate civil administrative penalty may be assessed for a second or subsequent violation of the Domestic Abuse Insurance Protection Act. That administrative penalty shall be not over ten thousand dollars ($10,000) for each violation, except that if the violation is to be found willful and intentional, the penalty may be up to twenty thousand dollars ($20,000) for each violation. Every administrative penalty shall be imposed by written order of the superintendent made after hearing held as provided in Chapter 59A, Article 4 NMSA 1978.
B. A monetary penalty imposed may be in addition to any applicable suspension, revocation or denial of a license or certificate of authority.
C. The superintendent may issue any order he deems necessary or appropriate to prevent or correct any violation, including a first-time violation, of the Domestic Abuse Insurance Protection Act, except the initial order on a first-time violation may not require a suspension, revocation or denial of a license or certificate of authority. If, however, that initial order of the superintendent is violated, he may then impose the monetary penalty authorized in this section in addition to any applicable suspension, revocation or denial of a license or certificate of authority or take any other action authorized in the Insurance Code.
History:
Laws 1997, ch. 141, § 10.
ANNOTATIONS
Cross references.
— For the Insurance Code,
see
59A-1-1 NMSA 1978 and notes thereto.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-1 - Short title.

Chapter 59A, Article 16C NMSA 1978 may be cited as the "Insurance Fraud Act".
History:
Laws 1998, ch. 115, § 1; 2018, ch. 42, § 1.
ANNOTATIONS
The 2018 amendment,
effective March 1, 2018, deleted "This act" and added "Chapter 59A, Article 16C NMSA 1978".
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-2 - Findings; purpose.

A. The legislature finds that insurance fraud is pervasive and expensive, and has the potential for increasing premium rates, placing businesses at risk, reducing the ability of consumers to raise their standard of living and decreasing the economic vitality of the state. Therefore, the legislature believes that the state must aggressively confront the problem of insurance fraud.
B. The purpose of the Insurance Fraud Act is to permit the full utilization of the expertise of the superintendent of insurance to investigate and detect insurance fraud more effectively, to halt insurance fraud and to work with state, local and federal law enforcement and regulatory agencies against the commission of insurance fraud.
History:
Laws 1998, ch. 115, § 2.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-3 - Definitions.

As used in the Insurance Fraud Act:
A. "fund" means the insurance fraud fund;
B. "insurance fraud" means any act or practice in connection with an insurance transaction that constitutes a crime under the Criminal Code or the Insurance Code;
C. "insurance transaction" means any act or practice relating to insurance and includes complying with the Insurance Code or any rule adopted under its authority; and
D. "superintendent" means the superintendent of insurance.
History:
Laws 1998, ch. 115, § 3.
ANNOTATIONS
Cross references.
Criminal Code. — For the Criminal Code,
see
Chapter 30 NMSA 1978.
For the Insurance Code,
see
59A-1-1 NMSA 1978 and notes thereto.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-4 - Superintendent's duties.

The superintendent shall:
A. initiate inquiries and conduct investigations when the superintendent has reason to believe that insurance fraud may have been or is being committed;
B. respond to notifications or complaints of suspected insurance fraud generated by state and local police or other law enforcement authorities and governmental units, including the federal government and any other person;
C. review notices and reports of insurance fraud submitted by authorized insurers, their employees, agents or producers or by public adjusters and select those incidents of alleged fraud that, in the superintendent's judgment, require further investigation and conduct the investigations;
D. conduct independent investigations and examinations of insurance transactions and alleged insurance fraud, conduct studies to determine the extent of insurance fraud, deceit or intentional misrepresentation of any kind in the insurance process and publish information and reports on the office of superintendent of insurance's examinations and studies;
E. report incidents of alleged insurance fraud supported by investigations and examinations to the appropriate district attorney and any other appropriate law enforcement, administrative, regulatory or licensing agency and assemble evidence, prepare charges and otherwise assist any prosecutorial authority having jurisdiction over insurance fraud enforcement;
F. assist any official or agency of this state, any other state or the federal government that requests assistance in investigating insurance fraud;
G. maintain records and information in order to produce an annual report of the superintendent's activities undertaken in connection with carrying out the provisions of the Insurance Fraud Act;
H. conduct, in cooperation with the attorney general and the department of public safety, public outreach and awareness programs on the costs of insurance fraud to the public and how members of the public can assist themselves, the superintendent and law enforcement officials in preventing and prosecuting insurance fraud; and
I. assign staff and maintain the automobile theft prevention authority.
History:
Laws 1998, ch. 115, § 4; 2017, ch. 76, § 12; 2018, ch. 42, § 3.
ANNOTATIONS
The 2018 amendment,
effective March 1, 2018, required the superintendent of insurance to assign staff and maintain the automobile theft prevention authority; and added Subsection I.
The 2017 amendment,
effective June 16, 2017, revised the duties of the superintendent of insurance by including the review of notices and reports of insurance fraud submitted by public adjusters, and made technical changes; in Subsection C, after "agents or producers", added "or by public adjusters", and after "in", deleted "his" and added "the superintendent's"; in Subsection D, after "reports on", deleted "its" and added "the office of superintendent of insurance's"; and in Subsection G, after "annual report of", deleted "his" and added "the superintendent's".
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-5 - Superintendent's authority.

The superintendent may:
A. select and contract with investigative personnel and prosecutors to discharge the superintendent's duties pursuant to the provisions of the Insurance Fraud Act;
B. conduct statewide investigations and prosecutions related to automobile theft;
C. coordinate with law enforcement agencies to investigate and with the attorney general and district attorneys to prosecute cases involving stolen vehicles and insurance fraud; and
D. promulgate rules relating to the creation and operation of the automobile theft prevention authority.
History:
Laws 1998, ch. 115, § 5; 2018, ch. 42, § 4.
ANNOTATIONS
The 2018 amendment,
effective March 1, 2018, authorized the superintendent of insurance to conduct statewide investigations and prosecutions related to automobile theft, to coordinate with law enforcement agencies to investigate and with the attorney general and district attorneys to prosecute cases involving stolen vehicles and insurance fraud, and to promulgate rules relating to the creation and operation of the automobile theft prevention authority; in the introductory clause, after "superintendent", deleted "is authorized to" and added "may"; added subsection designation "A"; in Subsection A, after "discharge", deleted "his" and added "the superintendent's"; and added Subsections B through D.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-6 - Notice and cooperation required; tolling period.

A. Every insurer or licensed insurance professional that has a reasonable belief that an act of insurance fraud will be, is being or has been committed shall furnish and disclose knowledge and information about it to the superintendent and shall cooperate fully with any investigation conducted by the superintendent. Failure to comply with this subsection shall constitute grounds for the superintendent to impose an administrative penalty pursuant to Section 59A-1-18 NMSA 1978 in addition to any applicable suspension, revocation or denial of a license or certificate of authority.
B. A person who has a reasonable belief that an act of insurance fraud will be, is being or has been committed, or any person who collects, reviews or analyzes information concerning insurance fraud, may furnish and disclose any information in his possession concerning the insurance fraud to the superintendent or to an authorized representative of an insurer that requests the information for the purpose of detecting, prosecuting or preventing insurance fraud.
C. If an insurer has a reasonable belief or probable cause to believe that an insurance fraud has been committed and has properly notified the superintendent of its suspicion, that notification shall toll any applicable time period in any unfair claims proceeding based on the alleged fraud until thirty days after determination by the superintendent and notice to the insurer that the superintendent will not recommend action on the claim. The determination by the superintendent shall not be admissible in any subsequent civil proceeding.
D. The superintendent, in cooperation with insurers or others, may establish a voluntary fund to reward persons not connected with the insurance industry who provide information or furnish evidence leading to the arrest and conviction of persons responsible for insurance fraud.
History:
Laws 1998, ch. 115, § 6.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-7 - Immunity from civil liability; private insurance fraud reports and enforcement actions.

A. The provisions of Section 59A-4-21 NMSA 1978 regarding immunity from civil liability for enforcement actions performed in good faith by the superintendent, his authorized representatives and examiners shall apply to the Insurance Fraud Act.
B. Except when a person intentionally communicates false information he actually believes to be false, a person shall not be subject to liability by virtue of reporting or furnishing, orally or in writing, information concerning suspected, anticipated or completed insurance fraud acts when the report or information is provided to:
(1) the department of insurance, the superintendent or law enforcement agencies, their officials, agents or employees;
(2) the national association of insurance commissioners, a federal or state governmental agency or office established to detect and prevent insurance fraud, any other organization established for the same purpose and their agents, employees or designees; or
(3) the anti-fraud unit of an insurer.
C. A person identified in Subsection B of this section or any of the person's officers, employees or agents when performing authorized activities, including the publication or dissemination of any related bulletin or reports, shall not be subject to civil liability for libel, slander or any other relevant tort or a civil cause of action of any nature, except if the person, officer, employee or agent intentionally communicates false information he actually believes to be false.
D. This section shall not abrogate or modify in any way any privilege or immunity recognized by common law or statute.
E. The court shall award attorney fees and costs to any person identified in Subsection B of this section or any of that person's officers, employees or agents who is a prevailing party in a civil cause of action against him for libel, slander or any other relevant tort arising out of conduct pursuant to the Insurance Fraud Act if the party bringing the action was not substantially justified in bringing such action. For the purposes of this subsection, "substantially justified" means having a reasonable basis in law or fact at the time a proceeding was initiated.
F. The relief provided in this section is in addition to remedies otherwise available against the same conduct under the common law or other laws of this state.
History:
Laws 1998, ch. 115, § 7.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-8 - Warning required.

Within six months of the effective date of the Insurance Fraud Act all claim forms and applications for insurance shall contain a statement permanently affixed to the application or claim form which states substantially as follows:
"ANY PERSON WHO KNOWINGLY PRESENTS A FALSE OR FRAUDULENT CLAIM FOR PAYMENT OF A LOSS OR BENEFIT OR KNOWINGLY PRESENTS FALSE INFORMATION IN AN APPLICATION FOR INSURANCE IS GUILTY OF A CRIME AND MAY BE SUBJECT TO CIVIL FINES AND CRIMINAL PENALTIES."
The failure to include that statement shall not constitute a defense against prosecution for commission of insurance fraud.
History:
Laws 1998, ch. 115, § 8.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-9 - Report of conviction.

If any person licensed by any agency of any state or the federal government or holding credentials from any professional organization is convicted of insurance fraud in this state, the superintendent shall notify the appropriate licensing or credentialing authority of the judgment for appropriate disciplinary action.
History:
Laws 1998, ch. 115, § 9.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-10 - Insurer anti-fraud initiatives; special investigative units.

A. Within six months of the effective date of the Insurance Fraud Act and by July 1 of each succeeding year every insurer who in the previous calendar year reported ten million dollars ($10,000,000) or more in direct written premiums in New Mexico shall establish, prepare, implement and submit to the superintendent an anti-fraud plan that is reasonably calculated to detect, prosecute and prevent insurance fraud. Any subsequent amendments to the plan shall be submitted to the superintendent at the time they are adopted.
B. Each insurer's anti-fraud plan shall outline, at a minimum, guidelines appropriate to the type of insurance the insurer writes, to:
(1) prevent, detect and investigate all forms of insurance fraud;
(2) educate appropriate employees on fraud detection and the insurer's anti-fraud plan;
(3) provide for the hiring or contracting of fraud investigators;
(4) report insurance fraud to appropriate law enforcement and regulatory authorities; and
(5) pursue restitution, where appropriate, for financial loss caused by insurance fraud.
C. The superintendent may review each insurer's anti-fraud plan to determine if it adequately complies with the requirements of this section. The superintendent may examine the insurer to assure its compliance with anti-fraud plans submitted to the superintendent. The superintendent may require reasonable modifications to the insurer's anti- fraud plan or may require other reasonable remedial action if the review or examination reveals substantial noncompliance with the plan.
D. The superintendent may require each insurer to file a summary of the insurer's anti-fraud activities and results. Anti-fraud plans and summaries submitted to the superintendent shall be privileged and confidential, shall not be a public record and shall not be subject to discovery or subpoena in any civil or criminal action; provided, however, that the superintendent may make summaries of aggregate data available to the public.
E. This section confers no private right of action.
History:
Laws 1998, ch. 115, § 10.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-11 - Investigators' powers.

A. The superintendent's investigators shall be peace officers pursuant to the provisions of Chapter 29, Article 1 NMSA 1978.
B. An investigator who meets the requirements for certification for law enforcement training pursuant to Section 29-7-6 NMSA 1978 shall be authorized to carry a firearm.
History:
Laws 1998, ch. 115, § 11; 2005, ch. 245, § 1.
ANNOTATIONS
The 2005 amendment,
effective June 17, 2005, deleted the former provision that the superintendent's investigators shall not be authorized to carry firearms; and added Subsection B to provide that an investigator who meets the requirements for certification for law enforcement training shall be authorized to carry a firearm.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-12 - Attorney general's duties.

When so requested by the superintendent, the attorney general shall commission as a special assistant attorney general any attorney employed by the superintendent or contracted with by the superintendent and approved by the attorney general to assist the superintendent in carrying out his duties, including providing legal advice and prosecuting offenders. The actual costs associated with the assignment of assistant attorneys general to the superintendent shall be paid out of the fund.
History:
Laws 1998, ch. 115, § 12.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-13 - Insurance fraud policy advisory group.

The superintendent may create an insurance fraud policy advisory group consisting of representatives of authorized insurers, consumers of insurance products not otherwise connected with the insurance industry and other appropriate persons. The superintendent shall appoint the members of the advisory group and shall provide by rule for the creation, governance, duties and termination of the advisory group. Any advisory group so created shall advise the superintendent with respect to the implementation of and other matters related to the Insurance Fraud Act when so requested by the superintendent.
History:
Laws 1998, ch. 115, § 13.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 16C - Insurance Fraud › Section 59A-16C-15 - Application of act to other acts.

A. No authority granted the superintendent under the Insurance Fraud Act shall be construed to abrogate or interfere with the authority of the safety and fraud division of the workers' compensation administration under the Workers' Compensation Act [Chapter 52, Article 1 NMSA 1978] or of the medicaid fraud control unit under the Medicaid Fraud Act [Chapter 30, Article 44 NMSA 1978].
B. Nothing in the Insurance Fraud Act shall:
(1) preempt the authority of or relieve the duty of any other law enforcement agencies to investigate and prosecute alleged violations of law;
(2) prevent or prohibit a person from voluntarily disclosing any information concerning insurance fraud to any law enforcement agency;
(3) limit any of the powers granted elsewhere by law to the superintendent to investigate alleged violations of law and take appropriate action; or
(4) interfere with the duties and authority of the workers' compensation administration.
History:
Laws 1998, ch. 115, § 15.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-1 - Short title.

Chapter 59A, Article 17 NMSA 1978 may be cited as the "Insurance Rate Regulation Law".
History:
Laws 1984, ch. 127, § 299; 2007, ch. 367, § 1.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, changed the statutory reference to the act.
Am. Jur. 2d, A.L.R. and C.J.S. references.
— 43 Am. Jur. 2d Insurance §§ 828 to 832.
45 C.J.S. Insurance § 482 et seq.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-2 - Scope of article; exemptions.

A. The Insurance Rate Regulation Law applies to all kinds and lines of direct insurance written on risks or operations in this state by any authorized insurer, except:
(1) wet marine and transportation insurance, as defined in Section 59A-7-5 NMSA 1978 [repealed];
(2) life insurance;
(3) variable and fixed annuities; and
(4) health insurance.
B. For purposes of the Insurance Rate Regulation Law, "workers' compensation" insurance includes employer's liability insurance.
C. The superintendent may by order exempt any person or class of persons or any market segment from any or all of the provisions of the Insurance Rate Regulation Law to the extent that the superintendent finds the provision or provisions unnecessary to achieve the purposes of that law.
History:
Laws 1984, ch. 127, § 297; 2007, ch. 367, § 2.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and is not part of the law.
Laws 2016, ch. 89, § 70 repealed 59A-7-5 NMSA 1978, effective July 1, 2017. For provisions of former section,
see
the 2016 NMSA 1978 on
NMOneSource.com
.
The 2007 amendment,
effective July 1, 2007, changed statutory references and provided that "workers' compensation" insurance includes employer's liability insurance.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-3 - Purposes of article.

A. The purposes of this article are:
(1) to promote the public welfare by regulating insurance rates to the end that they shall not be excessive, inadequate or unfairly discriminatory, and to protect policyholders and the public against the adverse effects of excessive, inadequate or unfairly discriminatory rates;
(2) in general to permit and encourage, as an effective way to produce rates that conform to the foregoing, independent action by and reasonable price competition among insurers;
(3) to provide formal regulatory controls for use where independent actions and price competition fail;
(4) to authorize cooperative action among insurers in the rate-making process, and to regulate such cooperation in order to prevent practices tending to create monopoly or to lessen or destroy competition;
(5) to encourage efficient and economic marketing practices; and
(6) to regulate that part of the insurance business which is subject to this article, in a manner to preclude application of federal antitrust laws.
B. The provisions of this article shall be liberally interpreted to effectuate the above purposes.
History:
Laws 1984, ch. 127, § 298.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-4 - Definitions.

As used in the Insurance Rate Regulation Law:
A. "advisory organization" means an entity, including its affiliates or subsidiaries, that either has two or more member insurers or is controlled either directly or indirectly by two or more insurers, and that assists insurers in the promulgation of policy forms; in ratemaking activities, such as the collection, compilation and furnishing of loss or expense statistics; or in the recommendation, making or filing of rates, prospective loss costs, supplementary rate information, policy forms or endorsements. Two or more insurers having a common ownership or operating in New Mexico under common management or control constitute a single insurer for purposes of this definition;
B. "commercial insurance" means any line or kind of property or casualty insurance not for personal, family or household needs;
C. "market" means any line or kind of insurance or any subdivision thereof or any class of risks or combination of classes;
D. "residual market mechanism" means an arrangement, either voluntary or mandated by law, involving participation by insurers in the equitable apportionment among them of insurance that may be afforded applicants who are unable to obtain insurance through ordinary methods;
E. "reverse competition" means a marketplace situation where the placement of a line, kind or class of insurance with insurers is determined primarily or exclusively by parties other than the policyholders;
F. "supplementary rate information" includes any manual or plan of rates, classification, rating schedule, minimum premium, policy fee, rating rule, underwriting rule and any other information needed to determine the applicable rate in effect or to be in effect; and
G. "supporting information" means:
(1) the experience and judgment of the filer and the experience or data of other insurers or advisory organizations relied upon by the filer;
(2) the interpretation of any other data relied upon by the filer;
(3) descriptions of methods used in making the rates; and
(4) any other information required by the superintendent to be filed.
History:
Laws 1984, ch. 127, § 300; 2007, ch. 367, § 3.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, added Subsections A and B; deleted former Subsection B defining "rate service organization"; added Subsection D defining "residual market mechanism"; added Subsection E defining "reverse competition"; and added Subsection G defining "supporting information".
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-5 - Administration of insurance rate regulatory law.

The provisions of Chapter 59A, Article 17 NMSA 1978 shall be administered by the superintendent.
History:
Laws 1984, ch. 127, § 301; 1999, ch. 289, § 23.
ANNOTATIONS
The 1999 amendment,
effective June 18, 1999, deleted "this article are under the jurisdiction of the insurance board, as defined in Section 6 of the Insurance Code and" following "The provisions of" at the beginning of the section, updated the statutory reference, deleted "in his capacity of secretary of the insurance board" following "superintendent", and deleted the former last sentence, which stated that the superintendent shall have the same general powers as to rules and regulations, enforcement and otherwise as provided under the Insurance Code as to the superintendent's administration of the insurance department.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-5.1 - Underwriting guidelines.

A. The superintendent may direct an insurer writing homeowners insurance, private passenger non-fleet automobile insurance or other lines, kinds or classes of noncommercial insurance in New Mexico to file with the superintendent underwriting guidelines that determine the acceptance of applicants and tiering guidelines that determine the placement of applicants and insureds into rating tiers, regardless of whether such tiers exist within the insurer or within a group of insurers under common ownership or management.
B. The superintendent, after notice and hearing, may order an insurer to cease using underwriting or tiering guidelines that are unfairly discriminatory or that fail to place applicants and insureds into tiers in a clear, objective, risk-based and mutually exclusive manner.
C. Filings made pursuant to this section shall be considered confidential trade secrets under the Uniform Trade Secrets Act [57-3A-1 to 57-3A-7 NMSA 1978].
History:
Laws 2007, ch. 367, § 7.
ANNOTATIONS
Effective dates.
— Laws 2007, ch. 367, § 39 made this section effective July 1, 2007.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-6 - Rate standards.

A. Rates shall not be excessive, inadequate or unfairly discriminatory, nor shall an insurer charge any rate that, if continued, will have or tend to have the effect of destroying competition or creating a monopoly.
B. In a competitive market, rates are presumed not to be excessive.
C. In a noncompetitive market, rates are excessive if they are likely to produce a profit that is unreasonably high in relation to the riskiness of the line, kind or class of business, or if expenses are unreasonably high in relation to the services rendered.
D. Rates are inadequate if they are clearly insufficient, together with the investment income attributable to them, to sustain projected losses and expenses in the line, kind or class of business to which they apply.
E. There is unfair discrimination if one rate is unfairly discriminatory in relation to another in the same line, kind or class if it clearly fails to reflect equitably the differences in expected losses and expenses. Rates are not unfairly discriminatory because different premiums result for policyholders with like loss exposures but different expense factors, or like expense factors but different loss exposures, so long as the rates reflect the differences with reasonable accuracy. Rates are not unfairly discriminatory if they are averaged broadly among persons insured under a group, franchise or blanket policy or a mass marketing plan.
History:
Laws 1984, ch. 127, § 302; 2007, ch. 367, § 8.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, amended Subsection A to eliminate the criteria to determine whether a reasonable degree of price competition exists and deleted Subsection F providing that this section shall not apply to workers' compensation insurance.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-6.1 - Competitive market.

A competitive market is presumed to exist unless the superintendent, after notice and hearing, determines that a reasonable degree of competition does not exist within a market and issues a ruling to that effect. The ruling shall expire three years after issue unless rescinded earlier by the superintendent or unless the superintendent renews the ruling after a hearing and a finding as to the continued lack of a reasonable degree of competition. Any ruling that finds that competition does not exist shall identify the factors that cause the market not to be competitive and may also include a plan for enhancing competition. The superintendent shall monitor the degree and continued existence of competition in New Mexico on an ongoing basis. An interested party may petition the superintendent to initiate a hearing to examine whether a particular market is competitive or whether a particular market is no longer noncompetitive.
History:
2007, ch. 367, § 4.
ANNOTATIONS
Effective dates.
— Laws 2007, ch. 367, § 39 made this section effective July 1, 2007.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-6.2 - Reverse competitive market.

A reverse competitive market for a line, kind or class of insurance is presumed to exist wherever the placement of a line, kind or class of insurance with insurers is determined primarily or exclusively by parties other than the policyholders. The superintendent may, by notice and hearing, establish rules for determining the specific lines, kinds or classes of insurance that, for the purposes of the Insurance Rate Regulation Law, are reversely competitive.
History:
Laws 2007, ch. 367, § 5.
ANNOTATIONS
Effective dates.
— Laws 2007, ch. 367, § 39 made this section effective July 1, 2007.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-7 - Rating methods.

In determining whether rates comply with the rate standards, the following criteria shall be applied:
A. due consideration shall be given to past and prospective loss and expense experience within and without this state, to catastrophic hazards and contingencies, to trends within and without this state, to loadings for leveling premium rates over time or for dividends or savings to be allowed or returned by insurers to their policyholders, members or subscribers and to all other relevant factors, including the judgment of technical personnel;
B. risks may be classified in any reasonable way for the establishment of rates and minimum premiums, except that classifications may not be based on race, color, creed or national origin;
C. the expense provisions included in the rates to be used by an insurer may reflect the operating methods of the insurer and, so far as it is credible, its own expense experience; and
D. the rates may contain an allowance permitting a profit that is not unreasonable in relation to the riskiness of the line, kind or class of business. Profit shall include investment income attributable to such rates.
History:
Laws 1984, ch. 127, § 303; 2007, ch. 367, § 9.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, eliminated the provision that this section shall not apply to workers' compensation insurance.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
43 Am. Jur. 2d Insurance § 64.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-7.1 - Motor vehicle liability; not-at-fault accidents.

A. The rates of a motor vehicle liability insurer shall not provide for an increase in the premium if based upon an accident in which the insured is not at fault in any manner as determined by either the accident report or the insurer. If the insurer determines that its insured is at fault contrary to the specific finding of an accident report that the insured is not at fault, the insurer shall reach its conclusion only after an investigation.
B. A motor vehicle liability insurer shall not cancel, or use as a basis for nonrenewal, an insurance policy if such cancellation or nonrenewal is based upon an accident in which the insured is not at fault in any manner as determined by either the accident report or the insurer. If the insurer determines that its insured is at fault contrary to the specific finding of an accident report that the insured is not at fault, the insurer shall reach its conclusion only after an investigation.
C. As used in this section, "motor vehicle liability insurer" means an insurer authorized to transact in this state the business of automobile and motor vehicle bodily injury, property damage liability and physical damage insurance.
D. This section shall not apply if other factors exist, exclusive of the accident in which the insured is not at fault, that allow for a premium increase, cancellation or nonrenewal of an insurance policy under the Insurance Code or rules pursuant to the Insurance Code.
History:
1978 Comp., § 59A-17-7.1, enacted by Laws 1987, ch. 80, § 1; 2007, ch. 367, § 10.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, changed the title of this section and changed "regulations" to "rules".
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-10 - Repealed.

History:
Laws 1984, ch. 127, § 306; 1987, ch. 244, § 3; repealed by Laws 2007, ch. 367, § 38.
ANNOTATIONS
Repeals.
— Laws 2007, ch. 367, § 38 repealed 59A-17-10 NMSA 1978, as enacted by Laws 1984, ch. 127, § 306, relating to rate filings for workmen's compensation, effective July 1, 2007. For provisions of former section,
see
the 2006 NMSA 1978 on
NMOneSource.com.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-10.1 - Workers' compensation insurance; policy and rate required for employers not domiciled in state.

No insurer insuring a workers' compensation risk arising from the employment of a worker performing work for an employer in New Mexico, when that employer is not domiciled in New Mexico, shall issue any workers' compensation insurance contract or endorsement of a workers' compensation insurance contract to cover the described risk except in accordance with filings and rates which are lawfully in effect for the insurer as provided in Sections 59A-17-10 and 59A-18-12 NMSA 1978.
History:
Laws 1978 Comp., § 59A-17-10.1, enacted by Laws 1988, ch. 119, § 2.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-11 - Filings open to inspection.

A filing and supporting information filed under Sections 59A-17-9 and 59A-17-10 NMSA 1978 shall, as soon as filed, be open to public inspection at a reasonable time. A copy of a filing and supporting information may be obtained by a person on request to the superintendent and payment of a reasonable charge. If the insurer or advisory organization believes that information contained in the filing contains material that it considers to be a trade secret, it shall include that information in a separate section of the filing and include a request for the superintendent to consider whether that information should be kept confidential.
History:
Laws 1984, ch. 127, § 307; 1987, ch. 244, § 4; 2007, ch. 367, § 13.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, provided that, if an organization believes that information is a trade secret, the organization may file the information in a separate section of the filing and request that the information be kept confidential.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-11.1 - Consumer information.

A. The superintendent shall use, develop or cause to be developed a consumer information system that will provide and disseminate price and other relevant information on a readily available basis to purchasers of homeowners, private passenger non-fleet automobile or property insurance for personal, family or household needs as well as for title insurance, including escrow, closing and settlement charges for one to four family residential property transactions, and for any other types of personal or commercial insurance designated by the superintendent. To the extent deemed necessary and appropriate by the superintendent, insurers, advisory organizations and other persons or organizations involved in conducting the business of insurance in New Mexico, to which this section applies, shall cooperate in the development and utilization of a consumer information system.
B. An insurer writing homeowners insurance or private passenger non-fleet automobile insurance in New Mexico shall, upon renewal or upon the transfer of a policy to another insurer under the same ownership or management as the transferring insurer, provide its policyholders with written notification of their right to obtain from the insurer a detailed written explanation of the reasons why their policy premium has changed or is about to change.
History:
Laws 2007, ch. 367, § 6; 2009, ch. 80, § 2.
ANNOTATIONS
The 2009 amendment,
effective July 1, 2009, in Subsection A, added "title insurance, including escrow, closing and settlement charges for one or four family residential property transactions, and for".
Severability.
— Laws 2009, ch. 80, § 15, effective July 1, 2009, provided that if any part or application of this act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-12 - Insurer must adhere to rates; consent to rate.

A. No insurer shall make or issue a contract or policy of insurance except in accordance with filings or rates that are lawfully in effect for the insurer as provided in the Insurance Rate Regulation Law.
B. Upon written application of the insured stating the underlying reasons that is filed with and approved by the superintendent, a rate in excess of or below that otherwise applicable may be used as to a specific risk.
History:
Laws 1984, ch. 127, § 308; 2007, ch. 367, § 14.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, in Subsection A, eliminated the provision that this section shall not apply to workers' compensation insurance; and in Subsection B, permitted that rates below the applicable rates may be used for a specific risk.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-13 - Grounds and procedures for disapproval of rates.

A. The superintendent shall disapprove a rate for use in a competitive market if the superintendent finds that the rate is inadequate or unfairly discriminatory under the rate standards set forth in Section 59A-17-6 NMSA 1978. The superintendent shall disapprove a rate for use in a noncompetitive, reverse competitive or residual market if the superintendent finds that the rate is excessive, inadequate or unfairly discriminatory under the rate standards set forth in Section 59A-17-6 NMSA 1978.
B. The superintendent may at any time disapprove a filing submitted under the "file and use" provisions of Subsection A of Section 59A-17-9 NMSA 1978 after giving notice of hearing pursuant to the provisions of Subsection A of Section 59A-4-16 NMSA 1978 to every insurer and advisory organization that adopted the rate.
C. The superintendent may disapprove a filing submitted under the "prior approval" provisions of Subsection B of Section 59A-17-9 NMSA 1978:
(1) without a hearing prior to the expiration of the waiting period or an extension of the waiting period. An insurer or advisory organization whose rates are disapproved under this subsection may request a hearing before the superintendent by filing a written request within thirty days of the date of the disapproval notice; or
(2) at any time after the expiration of the waiting period or an extension of the waiting period, after giving notice of hearing pursuant to the provisions of Subsection A of Section 59A-4-16 NMSA 1978 to every insurer and advisory organization that adopted the rate.
D. The superintendent's notice or order of disapproval shall specify the respects in which the rate fails to meet the standards set forth in Section 59A-17-6 NMSA 1978. The notice or order shall state an effective date no sooner than thirty business days after the date of the notice or order when the insurer shall discontinue the use of the rate. The notice or order shall not affect any policy made before the effective date of the notice or order.
History:
Laws 1984, ch. 127, § 309; 1987, ch. 244, § 5; 2007, ch. 367, § 15.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, rewrote this section.
Law reviews.
— For annual survey of New Mexico insurance law, 19 N.M.L. Rev. 717 (1990).
Am. Jur. 2d, A.L.R. and C.J.S. references.
— 43 Am. Jur. 2d Insurance §§ 56, 64.
44 C.J.S. Insurance § 15 et seq.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-13.1 - Discounts on homeowners' policies for burglary protections.

Any insurer licensed to write homeowner's insurance, as defined by the superintendent, within the state shall provide a minimum premium discount of ten percent for houses with electronic alarm systems designed to prevent unauthorized entry into the house. The insurer shall also provide a minimum premium discount of five percent for houses with wrought iron bars covering all the doors and windows of the house. These discounts shall apply to comprehensive coverage and shall be part of the insurer's rate filing. Some or all of the premium discounts required by this section may be omitted upon demonstration to the superintendent in an insurer's rate filing that the discounts are duplicative of other discounts provided by the insurer.
History:
Laws 1993, ch. 103, § 1; 2007, ch. 367, § 17.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, eliminated the provision that required the superintendent to approve discounts pursuant to 59A-17-13 NMSA 1978.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-13.2 - Large commercial policyholders.

A. The superintendent may, by rule, establish a class of large commercial policyholders, to be known as exempt commercial policyholders, that shall be exempt from the rate and form requirements of Chapter 59A, Articles 17 and 18 NMSA 1978, except for form provisions relating to workers' compensation mandatory coverage provisions.
B. In the promulgation of this rule, the superintendent shall consider the following factors in establishing an exempt commercial policyholder class:
(1) the characteristics of insureds that are likely to study and understand the details of their business risks, insurance coverages and exclusions;
(2) the characteristics of insureds that are likely to avail themselves of regular price comparisons between competing insurers and are likely to study and understand the differences and details of pricing proposals that they receive;
(3) the characteristics of insureds that are likely to require individually written policies, as contrasted to insureds that can customarily have their coverage needs met through a compilation of forms with applicability to other insureds as well;
(4) the characteristics of insureds for which filed rates and rating plans are less likely to provide the lowest premiums otherwise consistent with the provisions of the Insurance Rate Regulation Law;
(5) the favorable or adverse experiences with exemptions from regulatory requirements, especially the experience in New Mexico;
(6) the extent to which commercial insureds primarily located in another jurisdiction are subject to similar exemptions or waivers in that jurisdiction; and
(7) any other relevant factors.
C. The superintendent may, by rule, waive some or all of the diligent search requirements related to placement of risks in the approved surplus lines market for some or all of the exempt commercial policyholders.
History:
Laws 2007, ch. 367, § 16.
ANNOTATIONS
Effective dates.
— Laws 2007, ch. 367, § 39 made this section effective July 1, 2007.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-14 - Repealed.

History:
Laws 1984, ch. 127, § 310; 1987, ch. 244, § 6; repealed by Laws 2007, ch. 367, § 38.
ANNOTATIONS
Repeals.
— Laws 2007, ch. 367, § 38 repealed 59A-17-14 NMSA 1978, as enacted by Laws 1984, ch. 127, § 310, relating to disapproval of filings for workmen's compensation, effective July 1, 2007. For provisions of former section,
see
the 2006 NMSA 1978 on
NMOneSource.com.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-15 - Repealed.

ANNOTATIONS
Repeals.
— Laws 1987, ch. 244, § 13 repealed 59A-17-15 NMSA 1978, as enacted by Laws 1984, ch. 127, § 311, relating to special restrictions on particular insurers, effective April 9, 1987.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 17 - Insurance Rates and Rating › Section 59A-17-16 - Requirement for supporting information.

A. By rule, the superintendent may require the filing of supporting data as to any or all kinds or lines of insurance or subdivisions thereof or classes of risks or combinations thereof as the superintendent deems necessary for the proper functioning of the rate monitoring and regulating process. The supporting data shall include:
(1) the experience and judgment of the filer and, to the extent it wishes or the superintendent requires, of other insurers or advisory organizations;
(2) its interpretation of any statistical data relied upon;
(3) descriptions of the actuarial and statistical methods employed in setting the rates; and
(4) any other relevant matters required by the superintendent.
B. Whenever a filing is not accompanied by the information as the superintendent has required under Subsection A of this section, the superintendent may inform the insurer and the filing shall be deemed to be made when the information is furnished.
History:
Laws 1984, ch. 127, § 312; 1987, ch. 244, § 7; 2007, ch. 367, § 18.
ANNOTATIONS
The 2007 amendment,
effective July 1, 2007, changed "rate service organizations" to "advisory organizations".
Am. Jur. 2d, A.L.R. and C.J.S. references.
— 43 Am. Jur. 2d Insurance §§ 56, 64.
44 C.J.S. Insurance § 15 et seq.