| REVIEW REQUIREMENTS |
REFERENCE |
DESCRIPTION OF REVIEW
STANDARDS REQUIREMENTS |
LOCATION OF
STANDARD IN FILING |
GENERAL REQUIREMENTS
FOR ALL FILINGS |
|
|
|
| ELECTRONIC FILINGS |
Insurance Bulletin 360
Title
24-A § 2304-A. Rate filings
Title
24-A § 2412. Filings, approval of forms |
Bureau of Insurance Bulletin 360 Electronic Submission of Rate and Form Filings |
|
| COVER LETTER |
|
Cover letters may be attached to the Supporting Documentation Tab or the text entered under the Filing Description located under the General Information tab in SERFF |
|
| EFFECTIVE DATE |
|
Policies effective at 12:01 AM Standard Time
Include proposed effective date on SERFF General Information |
|
| LIMITATIONS/RESTRICTIONS ON TRANSACTING BUSINESS |
Title
24-A - §404. Certificate of authority required; enforcement; penalty |
Must have certificate of authority to transact business |
|
| LINE OF AUTHORITY |
Multi Peril |
Must have requisite certificate of authority to transact
business before submitting rate/rule/form filings |
|
| FILING EXEMPTIONS |
Title
24-A - §2412-A. Large commercial contracts |
Large commercial risks exempt from filing—refer
to statute for criteria and definition of large commercial risk |
|
| THIRD PARTY FILERS AUTHORITY |
Title
24-A - §2412. Filing, approval of forms
Title
24-A - §2304-A. Rate filings |
Must include authorization to communicate directly with third party filers |
|
FORMS--POLICY
PROVISIONS |
REFERENCE |
DESCRIPTION OF REVIEW
STANDARDS REQUIREMENTS |
LOCATION OF STANDARD IN FILING |
| ACCESS TO COURTS |
Title
24-A - §2433. Jurisdiction of courts, limitation of actions |
Maine courts have jurisdiction |
|
| AMBIGUOUS & MISLEADING |
Title
24-A - §2413. Grounds for disapproval |
Forms shall be disapproved by the superintendent if
they contain or incorporate by reference any inconsistent, ambiguous
or misleading clauses. |
|
| APPLICATIONS |
Title
24-A - §2411. Representations in applications
Title
24-A - §2412. Filing, approval of forms
Title
24-A - §2186. Insurance fraud prevention |
All statements are considered representations not warranties.
Must file applications only if to be made part of the policy.
The Maine Fraud Warning must appear permanently affixed on all applications (i.e. new business, renewal, supplemental, etc…). |
|
| ARBITRATION |
Title
24-A - §2433. Jurisdiction of courts, limitation of actions |
Binding arbitration is not permitted |
|
| BLANK ENDORSEMENTS |
Title
24-A - §2412. Filing, approval of forms |
Blank endorsements are considered manuscript forms and generally not acceptable. Each manuscripted change is subject to review and can be filed as a consent to form filing pursuant to 24-A § 2308(2). |
|
| CANCELLATION & NON-RENEWAL |
Title
24-A - §3007. Cancellation and nonrenewal
Title
24-A - §2908. Cancellation and nonrenewal |
Maine amendatory endorsement must include statutory
grounds for mid-term cancellation; statutory notice required for both
cancellation & nonrenewal; Maine amendatory endorsement must include
mailing time language |
|
| Notice of Cancellation |
Title
24-A §2908. Casualty insurance contracts.
Title
24-A §3007. Property insurance contracts.
Insurance - Bulletin 201 |
Minimum 10 days advance notice required for cancellation
& must allow for 3 days mail time, i.e., proof of mailing is not
proof of receipt until the third calendar day after mailing; Also,
notice must inform insured of right to request a hearing within 45
days of receipt of notice |
|
| Notice of Non-renewal |
Title
24-A §2908. Casualty insurance contracts.
Title
24-A §3007. Property insurance contracts.
Insurance - Bulletin 201 |
Minimum 30 days advance notice required for nonrenewal
& must allow for 3 days mail time, i.e., proof of mailing is not
proof of receipt until the third calendar day after mailing |
|
| Privacy notice |
Title
24-A - §2206. Notice of insurance information practices |
See Title 24-A, Ch. 24 generally for insurance information
and privacy protection. |
|
| Credit Scoring |
Title
24-A - §2169-B. Use of consumer reports in insurance underwriting
Insurance - Bulletin 329 |
Insurance Bulletin 329 and statute contain provisions
relating to the use of credit information and credit insurance scores. |
|
| CONTENT OF POLICIES |
Title 24-A - § 3003 Combination coverage
Title
24-A - §3001. Contracts subject to general provisions
Title
24-A - §2901. Contracts subject to general provisions
Title
24-A - Chapter 27, THE INSURANCE CONTRACT
Title
24-A - MAINE INSURANCE CODE
Title
24-A - Chapter 39, Casualty Insurance Contracts |
Property & Casualty contracts are subject to provisions of Chapter
41, Chapter 39 and other applicable provisions of Title 24-A (The Maine Insurance Code) |
|
| DISCRIMINATION |
Title
24-A - §2162. Unfair discrimination, rebates prohibited -- property,
casualty, surety insurance |
Restrictions on policy provisions relating to benefits
not associated with loss and reductions in premium associated with
savings and expenses. |
|
| Lead |
Title
24-A - §2413. Grounds for disapproval
Title 22 - Chapter 252, LEAD POISONING CONTROL ACT |
Maine permits the lead exclusion which begins ≥ 31 days after State of Maine Department of Health and Human Services or a DHHS licensed lead inspector has given insured notice of environmental lead hazard & insured failed to remove the lead hazard. However, Total or Absolute lead exclusions are only permitted on Commercial Umbrella, Commercial Excess Liability, D & O, Professional Liability and by Consent to form. |
|
| Terrorism |
Insurance Bulletin 348 |
Permitted on this line of business but cannot exclude Standard Fire Policy |
|
| FICTITIOUS GROUPS |
Title
24-A - §2172. Fictitious groups prohibited |
Prohibited. |
|
| FRAUD WARNING |
Title
24-A - §2186. Insurance fraud prevention |
Statutory (or substantially similar) wording must be
included on all applications (i.e. new business, renewal, supplemental, etc…) and claim forms |
|
| GROUP POLICIES |
Title
24-A §2951. Group property and casualty insurance |
Not Permitted. |
|
| LOSS PAYEE |
Title 24-A §3003. Combination coverage
Insurance Bulletin 372
Title 24-A Ch. 41: Property Insurance Contracts - Subchapter 3: LIEN OF MORTGAGEES ON POLICIES |
Mortgagee notification must be consistent with Standard Fire Policy |
|
| LOSS SETTLEMENTS |
Title 24-A §3003. Combination coverage
Title 24-A - §3004-A. Actual cash value
Title 24-A §2436. Interest on overdue payments |
Statutory definition of ACV |
|
| Action Against Company |
Title
24-A - §2433. Jurisdiction of courts, limitation of actions |
Insured must be given two years from date of loss to bring suit against insurer |
|
| Loss Valuation |
Title
24-A - §3004-A. Actual cash value |
Actual Cash Value defined as replacement cost less depreciation |
|
| Payment of Loss Time Period |
Title
24-A §2436. Interest on overdue payments |
Payment within thirty days and interest on overdue payments of 1.5% per month. |
|
| MINIMUM STANDARDS FOR CONTENT (POLICIES AND STANDARD FORMS) |
Title 24-A §3003. Combination coverage
Title
24-A §2414. Standard provisions, in general
Title
24-A - §2901. Contracts subject to general provisions
Title
24-A - §3001. Contracts subject to general provisions
Title
24-A - §3004-A. Actual cash value
Title
24-A - Chapter 27, THE INSURANCE CONTRACT
Title
24-A - Chapter 39, Casualty Insurance Contracts
Title
24-A - MAINE INSURANCE CODE |
Statutory definition of ACV applies
Property & Casualty contracts are subject to provisions of Chapter
41, Chapter 39 and other applicable provisions of Title 24-A (The
Maine Insurance Code) |
|
| MORTGAGEE/LIENHOLDER |
Title 24-A §3003. Combination coverage
Insurance Bulletin 372 |
Must be consistent with Standard Fire Policy. |
|
| POST JUDGMENT INTEREST |
Insurance Bulletin 353
Title 14 § 1602-C Interest after judgment |
Maine statutory law provides for the payment of post-judgment interest and case law has held that an insurer must pay post-judgment interest as a supplemental payment without regard to the policy terms (i.e. policy limit, sub-limits, exclusions, deductibles, retentions, etc…). |
|
| PRIOR APPROVAL |
Title
24-A - §2412. Filing, approval of forms |
Statute contains a deemer provision. |
|
| REBATES |
Title
24-A §2162. Unfair discrimination, rebates prohibited -- property,
casualty, surety insurance
Title 24-A §2163. Receipt of rebate, illegal inducement prohibited
Insurance Bulletin 233 |
Sales inducements rebates prohibited unless contained in policy |
|
| STANDARD FIRE POLICY |
Title 24-A §3003. Combination coverage |
Property coverage must include Standard Fire Policy provisions |
|
| SUBROGATION |
Title
24-A - §2910-A. Subrogation; medical payments coverage |
|
|
| Suit |
Title
24-A - §2433. Jurisdiction of courts, limitation of actions |
Insured must be given two years from date of loss to bring suit against insurer |
|
| TERRORISM |
Insurance Bulletin 348 |
Permitted on this line of business but cannot exclude Standard Fire Policy perils Insurance - Bulletin 348 |
|
| VICARIOUS LIABILITY |
Title
14 - §304. Liability of parents or legal guardians for damage by children |
Parents/legal guardians liable for action of minor children up to $800 |
|
| VOIDANCE |
Title
24-A - §2411. Representations in applications |
Do not allow insurers to void coverage for concealment,
misrepresentation or fraud except in compliance with Maine case law.
See American Home Assurance Co. v. Ingeneri, 479 A.2d 897
(Me. 1984). |
|
| WARRANTIES |
Title
24-A - §2411. Representations in applications |
Statements on applications are deemed to be representations, not warranties. |
|
| RATE, RULE, RATING PLAN, CLASSIFICATION,
AND TERRITORY FILING REQUIREMENTS |
|
|
|
| ADOPTIONS OF RATE SERVICE ORGANIZATIONS (RSO) FILINGS |
Title
24-A - §2304-B. Reference filings
Insurance - Bulletin 176 |
Insurer may satisfy rate filing requirements by adopting
advisory organization filings and filing loss costs multiplier. |
|
| "A" RATED RISKS |
Title
24-A - §2304-A. Rate filings |
“a” rates and ranges must be filed along with any rates designated as “refer to company” or similar phrasing. |
|
| Loss Costs |
Title
24-A - §2304-B. Reference filings
Insurance - Bulletin 176 |
Insurer may satisfy rate filing requirements by adopting
advisory organization filings and filing loss costs multiplier |
|
| Billing Fees (installments, late, NSF & reinstatement) |
Title 24-A - §2304-A. Rate filings |
Considered part of rating plan. |
|
| CONSENT-TO-RATE |
Title
24-A - §2308. Excess rates |
Permitted if rating manual filing previously filed
does not contemplate the specific risk being assumed. |
|
| CREDIT SCORING AND REPORTS |
Title
24-A - §2169-B. Use of consumer reports in insurance underwriting
Insurance - Bulletin 329 |
Insurance Bulletin 329 and statute contain provisions relating to the use of credit information and credit insurance scores |
|
| CATASTROPHE HAZARDS |
Title
24-A - §2303. Making of rates
Title
24-A - §2304-A. Rate filings |
Rate provisions must be supported by experience or
relevant catastrophe models. |
|
| CREDIBILITY |
Title
24-A - §2303. Making of rates
Title
24-A - §2304-A. Rate filings |
Credibility standard must be supported. |
|
| DISCOUNTS |
Title
24-A - §2304-A. Rate filings
Title
24-A - §2303. Making of rates |
Credits must be supported. |
|
| GROUP POLICIES |
Title
24-A §2951. Group property and casualty insurance |
Not permited. |
|
| LOSS COST MULTIPLIERS |
Title
24-A - §2304-B. Reference filings
Insurance - Bulletin 176 |
Insurer may satisfy rate filing requirements by adopting
advisory organization filings and filing loss costs multiplier. |
|
| PRICING |
Title
24-A - §2302-A. Definitions
Title
24-A - §2303. Making of rates
Title
24-A - §2304-A. Rate filings
Title
24-A - §2304-B. Reference filings
Insurance - Bulletin 176 |
All aspects of pricing must be filed and supported
and/or may adopt advisory organization reference filing and file loss costs multiplier. |
|
| Minimum Premium Rules |
|
Considered part of rating plan. |
|
| Multi-tier |
|
Considered part of rating plan. |
|
| Payment Plans |
|
Considered part of rating plan. |
|
| Premiums |
|
Considered part of rating plan. |
|
| Service Charges |
|
Considered part of rating plan. |
|
| Surcharges |
|
Considered part of rating plan. |
|
| Other Fees |
|
Considered part of rating plan. |
|
| RATING PLAN REQUIREMENTS |
Title
24-A - §2304-A. Rate filings |
All aspects of pricing must be filed and supported
and/or may adopt advisory organization reference filing and file loss
costs multiplier |
|
| Expense Modification Plan |
|
Considered part of rating plan. |
|
| Experience Rating |
|
Considered part of rating plan. |
|
| IRPM |
|
Considered part of rating plan. |
|
| Large Deductible |
|
Considered part of rating plan. |
|
| Retrospective Rating |
|
Considered part of rating plan. |
|
| Schedule Rating |
|
Considered part of rating plan. |
|
| Small Deductible |
|
Considered part of rating plan. |
|
| RATE/LOSS COST SUPPORTING INFORMATION |
Title
24-A - §2302-A. Definitions
Title
24-A - §2303. Making of rates
Title
24-A - §2304-A. Rate filings
Title
24-A - §2304-B. Reference filings
Insurance - Bulletin 176 |
All aspects of pricing must be filed and supported
and/or may adopt advisory organization reference filing and file loss
costs multiplier |
|
| Competition |
Title
24-A - §2306. Disapproval of filing |
May support filing by citing specific competitor filing |
|
| Expenses |
Title
24-A - §2303. Making of rates |
Rate or loss cost multiplier calculation should reflect expenses of insurer |
|
| Experience |
Title
24-A - §2303. Making of rates |
Rate or loss cost multiplier calculation should reflect experience of insurer |
|
| Judgment |
Title
24-A - §2303. Making of rates |
Rate or loss cost multiplier calculation may reflect judgment of insurer |
|
| Credibility and Other Factors |
Title
24-A - §2303. Making of rates |
Rate or loss cost multiplier calculation should reflect
credibility and other factors |
|
| Profit Loading |
Title
24-A - §2303. Making of rates |
Rate or loss cost multiplier calculation may reflect
profit loading and must include consideration for investment income |
|
| RETURN ON EQUITY/INVESTMENT INCOME |
Title
24-A - §2303. Making of rates
Title
24-A - §2304-A. Rate filings |
Profit must give consideration to investment income |
|
| RISK CLASSIFICATION |
Title
24-A - §2303. Making of rates |
Risks may be grouped by classifications for the establishment of rates and minimum premiums |
|
| SUPPORTING DATA |
Title
24-A - §2302-A. Definitions
Title
24-A - §2303. Making of rates
Title
24-A - §2304-A. Rate filings
Title
24-A - §2304-B. Reference filings
Insurance - Bulletin 176 |
All aspects of pricing must be filed and supported
and/or may adopt advisory organization reference filing and file loss
costs multiplier |
|
| TRENDING |
Title
24-A - §2303. Making of rates
Title
24-A - §2304-A. Rate filings |
All aspects of pricing must be supported by experience
and/or may adopt advisory organization reference filing and file loss costs multiplier |
|
| OTHER—Large Commercial Risks |
Title
24-A - §2412-A. Large commercial contracts |
Insurers exempt from filing rate/rule/forms to be
issued specifically to large commercial risks; refer to statute for
qualifying size criteria of risks in this category. |
|
