Texas Administrative Code › Title 28 - INSURANCE › Part 1 - TEXAS DEPARTMENT OF INSURANCE › Chapter 5 - PROPERTY AND CASUALTY INSURANCE › Subchapter M - FILING REQUIREMENTS › Division 6 - FILINGS MADE EASY - REQUIREMENTS FOR RATE AND RULE FILINGS › Section 5.9334 - Requirements for Rate and Rule Filing Submissions

Current through Reg. 49, No. 28; July 12, 2024
(a) Insurers must file any new rates or
					 revisions to previously filed rates governed by Insurance Code Chapter 2053,
					 concerning Rates for Workers' Compensation Insurance, at least 30 days before
					 they become effective. The insurer must file any supplementary rating
					 information not prescribed under Insurance Code Article 5.96, concerning
					 Promulgated Lines.
(b) For rates
					 governed by Insurance Code Chapter 2251, concerning Rates, insurers must file
					 any new rates, rating manuals, rules, all other supplementary rating
					 information, and fees, or revisions to these items and all other information
					 required by this section. An insurer may use the information filed under this
					 division on and after the date of the filing, unless the insurer is subject to
					 prior approval under Insurance Code Chapter 2251, Subchapter D, concerning
					 Prior Approval of Rates Under Certain Circumstances.
(c) Insurers must file any new rates and
					 supplementary rating information or revisions to previously filed rates and
					 supplementary rating information governed by Insurance Code Chapter 3502,
					 concerning Mortgage Guaranty Insurance, at least 15 days before they become
					 effective.
(d) All rate and rule
					 filings must be submitted for only one line of insurance except for multi-peril
					 and interline filings.
(e) Each
					 filing must include the transmittal information required in §
											5.9310 of this title (relating to
					 Property and Casualty Transmittal Information and General Filing
					 Requirements).
(f) Insurers must
					 inform TDI of a change in the effective date of a rate and rule filing on or
					 before the effective date in the filing.
(g) Each filing must include a filing
					 memorandum that explains the purpose of the filing and provides all material
					 background details relating to the filing, including a statement on the overall
					 impact of the filing. The filing memorandum must briefly describe each change
					 to the rates, rating manuals, rules, any other supplementary rating information
					 and fees used by the insurer, and briefly describe the supporting information
					 provided for each change. A brief summary of any related policy form or
					 endorsement filings, including the coverages, limitations, and exclusions, must
					 be included.
(h) Except as provided
					 in Division 9 of this subchapter (relating to Filings Made Easy - Reduced
					 Filing Requirements for Certain Insurers), or subsection (j) of this section,
					 each filing must include supporting information. Sufficient supporting
					 information is necessary for TDI to establish that a filing produces rates that
					 are not excessive, inadequate, unreasonable, or unfairly discriminatory for the
					 risks to which they apply. Insurers must provide sufficient documentation to
					 justify specific rates or revisions they are proposing. To the extent the
					 information originally submitted in a rate and rule filing is insufficient, TDI
					 may request additional information as deemed necessary by TDI or the
					 Commissioner. Each filing must contain the following items:
(1) a completed rate filing
					 checklist;
(2) rate change
					 information;
(3) SERFF rate
					 data;
(4) loss cost information, if
					 the filing references an advisory organization loss cost filing;
(5) an actuarial memorandum;
(6) actuarial support appropriate to the
					 rating information being filed, as specified in subparagraphs (A) - (C) of this
					 paragraph:
(A) All filings that propose
					 changes to relativities, such as territory or class, and those implied by
					 discounts, surcharges, or tiers, must include relativity analyses. This
					 requirement applies when the proposed rate changes vary across a
					 characteristic, regardless of presentation. The related territory codes and
					 descriptions, classification systems and descriptions, or rules must also be
					 included.
(B) All except the
					 following filings must include rate indications:
(i) filings for new rates that will not
					 replace, modify, or supersede any existing rates, unless the rates are derived
					 from the experience of an affiliate, including an eligible surplus lines
					 insurer;
(ii) fee filings;
					 or
(iii) filings containing changes
					 only to supplementary rating information with no overall rate impact. Examples
					 include filings with no overall rate impact that contain only items such as
					 relativity changes or rates for endorsements.
(C) Filings must include other actuarial
					 support when neither the relativity analysis in subparagraph (A) of this
					 paragraph nor the rate indications in subparagraph (B) of this paragraph
					 apply;
(7) policyholder
					 impact information for owner-occupied homeowner and personal automobile filings
					 that include changes that will result in a difference between the minimum and
					 maximum policyholder impact that is greater than 5%;
(8) the average rate change by county for
					 owner-occupied homeowners rate filings;
(9) historical premium and loss information,
					 if the filing changes or replaces existing rates;
(10) expense information;
(11) profit provision information;
(12) third-party data information;
					 and
(13) third-party model
					 information.