Oregon Administrative Rules › Chapter 836 - DEPARTMENT OF CONSUMER AND BUSINESS SERVICES, INSURANCE REGULATION › Division 85 - PRACTICES INJURIOUS TO PUBLIC OR FREE COMPETITION › Section 836-085-0215 - Insurer Implementation of Employer Experience Rating Modifications

Current through Register Vol. 63, No. 7, July 1, 2024
(1) An insurer may
			 apply to a policy for an individual employer as of the policy inception date,
			 or as of the normal anniversary rating date, if different, the experience
			 rating modification factors for the employer received by the insurer from the
			 rating organization within 90 days from the inception of the policy or normal
			 anniversary rating date, if the insurer has provided a tentative experience
			 modification endorsement in compliance with OAR 836-085-0210, or normal
			 anniversary rating endorsement, to the insured at policy issuance.
(2) An insurer shall not apply to a policy
			 for an individual employer the individual employer experience rating
			 modification factors received by the insurer from the rating organization or
			 produced by an insurer that produces its individual employer experience rating
			 modification factors pursuant to OAR 836-042-0015  after 90 days from the
			 inception of the policy, or normal anniversary rating date, if different, until
			 a date at least 30 days after the insurer has provided notice to the individual
			 employer of the experience rating modification factor by endorsement. Prior to
			 that date, the insurer may apply to the policy a tentative experience rating
			 endorsement issued in compliance with 836-085-0210.
(3) An insurer shall not apply to a policy of
			 an individual employer the employer experience rating modification factors
			 received by the insurer from the rating organization or produced by an insurer
			 that produces its individual employer experience rating modification factors
			 pursuant to OAR 836-042-0015  if application of the procedures in sections (1)
			 and (2) of this rule will result in implementation of the factors less than 90
			 days before the expiration date or subsequent anniversary rating date of the
			 policy. However, the insurer shall provide written notice of the inapplicable
			 experience rating modification to the employer.
(4) Notwithstanding sections (1), (2) and (3)
			 of this rule, any employer experience rating modification factors received by
			 the insurer from the rating organization or produced by an insurer that
			 produces its individual employer experience rating modification factors
			 pursuant to OAR 836-042-0015  prior to policy or rating period expiration that
			 results in a premium reduction to that employer shall be applied to the policy
			 as of the inception date of that policy or the applicable anniversary rating
			 date.
(5) This rule applies to
			 intrastate and interstate experience rating modification factors.
(6) This rule does not apply to experience
			 rating modification factors that result from changes in the ownership of the
			 insured operation.
(7) If an
			 employer is a client of a worker leasing company, as established under ORS
			 656.850, the provisions of this
			 rule are modified as follows:
(a) Sections
			 (1), (2) and (3) of this rule apply if the leasing company has filed a worker
			 leasing notice naming the client with the Workers' Compensation Division and
			 the insurer within 30 days of the date leased workers were first provided to
			 the client;
(b) When the leasing
			 company files the worker leasing notice with its insurer for an experience
			 rated client 31 or more days after the date leased workers were first provided
			 to the client, an insurer may apply an experience rating modification factor to
			 a client's premium as of the date the leased workers were first provided, if
			 the insurer receives such factors from the rating organization within 90 days
			 of the date the worker leasing notice is received by the insurer. Prior to the
			 receipt of the experience rating modification factor, the insurer may apply a
			 tentative factor to the client's premium in compliance with OAR 836-085-0210  and by giving written notice to the leasing company;
(c) An insurer may not apply an experience
			 rating modification factor to a client's premium from the date leased workers
			 were first provided if the factor is received from the rating organization more
			 than 90 days after the insurer's receipt of the client's worker leasing notice,
			 until a date at least 30 days after the insurer has provided notice to the
			 leasing company; and
(d)
			 Notwithstanding subsections (a), (b) and (c) of this section, any client
			 experience rating modification factors received by the insurer for a client
			 that results in a premium reduction to that client shall be applied as of the
			 date leased workers were first provided by the leasing company to the
			 client.