515F.1 Purpose of chapter. 1. The purpose of this chapter is to promote the public welfare by regulating insurance rates so they are not excessive, inadequate, or unfairly discriminatory, and to authorize and regulate limited cooperative action among insurers in ratemaking-related activities and in other matters within the scope of this chapter. This chapter is […]
515F.10 Advisory organizations — prohibited activity. In addition to the other prohibitions contained in this chapter, except as specifically permitted under section 515F.11, an advisory organization shall not compile or distribute recommendations relating to rates that include profit or expenses, other than loss adjustment expenses. 90 Acts, ch 1234, §54 Referred to in §515F.2, 515F.23
515F.11 Advisory organizations — permitted activity. An advisory organization, in addition to other activities not prohibited, may, on behalf of its members and subscribers, do any or all of the following: 1. Develop statistical plans including territorial and class definitions. 2. Collect statistical data from members, subscribers, or any other source. 3. Prepare and distribute […]
515F.12 Advisory organizations — filing requirements. An advisory organization shall file with the commissioner for approval all prospective loss costs and all supplementary rating information and every change or amendment or modification of any of the foregoing proposed for use in this state. The filings are subject to sections 515F.5 and 515F.6 and other provisions […]
515F.13 Pool and residual market activities. 1. Authorization. Notwithstanding section 515F.9, rating organizations, advisory organizations, and insurers participating in joint underwriting, joint reinsurance pools, or residual market mechanisms may in connection with such activity act in cooperation with each other in the making of rates, rating systems, policy forms, underwriting rules, surveys, inspections, and investigations, […]
515F.14 Examinations. The commissioner may, as often as deemed expedient, make or cause to be made an examination of each advisory organization referred to in section 515F.8 and of each group, association, or other organization referred to in section 515F.13. The reasonable costs of an examination shall be paid by the advisory organization or group, […]
515F.15 Rate administration. 1. Recording and reporting of loss and expense experience. a. The commissioner may adopt reasonable rules for use by companies to record and report to the commissioner their rates and other information determined by the commissioner to be necessary or appropriate for the administration of this chapter and the effectuation of its […]
515F.16 False or misleading information. A person, including an insurer, or advisory organization, shall not willfully withhold information which will affect the rates or premiums chargeable under this chapter from, or knowingly give false or misleading information to, the commissioner, a statistical agency designated by the commissioner, an advisory organization, or an insurer. A violation […]
515F.17 Assigned risks. Agreements may be made among 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, the insurance through ordinary methods, and the insurers may agree among themselves on the use of reasonable rate […]
515F.18 Exemptions. The commissioner may, upon the commissioner’s own initiative or upon request of any person, by rule, exempt a market from any or all of the provisions of this chapter, if and to the extent that the exemption is necessary to achieve the purposes of this chapter. 90 Acts, ch 1234, §62 Referred to […]
515F.19 Penalties. 1. The commissioner may, upon a finding that a person or organization has violated a provision of this chapter, impose a civil penalty of not more than ten thousand dollars for each violation, but if the violation is found to be willful, a penalty of not more than twenty-five thousand dollars may be […]
515F.2 Definitions. As used in this chapter, unless the context otherwise requires: 1. “Advisory organization” means an entity, including its affiliates or subsidiaries, which either has two or more member insurers or is controlled either directly or indirectly by two or more insurers, and which assists insurers in ratemaking-related activities such as enumerated in sections […]
515F.20 Definitions. As used in sections 515F.21 through 515F.25 unless the context otherwise requires: 1. “Competitive market” means a market for which an order is in effect pursuant to section 515F.22 that a reasonable degree of competition does exist. 2. “Market” means the interaction between buyers and sellers consisting of a product market component and […]
515F.21 Scope of application. Section 515F.20 and sections 515F.22 through 515F.25 apply to all forms of casualty insurance except joint underwriting and joint reinsurance, assigned risks, and those excluded by section 515F.3. 87 Acts, ch 132, §7 CS87, §515A.21 90 Acts, ch 1234, §65, 77 C91, §515F.21 Referred to in §515F.20
515F.22 Competitive market. 1. A noncompetitive market is presumed to exist unless the commissioner determines after a hearing that a reasonable degree of competition exists in the market and the commissioner issues an order to that effect. Such an order shall not become effective until sixty days after the date of the order and shall […]
515F.23 Noncompetitive market. Unless the commissioner has determined a market to be competitive, the provisions of sections 515F.1 through 515F.19 apply. 87 Acts, ch 132, §9 CS87, §515A.23 90 Acts, ch 1234, §66, 77 C91, §515F.23 Referred to in §515F.20, 515F.21
515F.24 Filing of rates in a competitive market. 1. Subject to the inland marine exception specified in section 515F.5, subsection 1, a competitive filing shall become effective when filed and shall be deemed to meet the requirements of section 515F.4 as long as the filing remains in effect unless it is disapproved upon review by […]
515F.25 Disapproval of a rate filing in a competitive market. 1. If the commissioner believes that an insurer’s rate filing in a competitive market violates the requirements of sections 515F.4 and 515F.5, the commissioner may require the insurer to file supporting information. If after reviewing the supporting information the commissioner continues to believe that the […]
515F.3 Scope of chapter. 1. This chapter applies to all forms of casualty insurance, including fidelity, surety, and guaranty bonds, including but not limited to all forms of fire and inland marine insurance, and to any combination of any of the foregoing, on risks or operations located in this state. 2. Except as otherwise provided […]
515F.30 Short title. This subchapter may be cited as the “Fair Access to Insurance Requirements Plan Act”, or the “FAIR Plan Act”. 2003 Acts, ch 119, §1, 11; 2017 Acts, ch 54, §76
