Every 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 the provisions of
this chapter relating to filings made by insurers.
26.1-25-10.5. Joint underwriting, joint reinsurance pool, and residual market
activities.
1.Notwithstanding subdivision a of subsection 2 of section 26.1-25-10.2, 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, the furn
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Every 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 the provisions of
this chapter relating to filings made by insurers.
26.1-25-10.5. Joint underwriting, joint reinsurance pool, and residual market
activities.
1. Notwithstanding subdivision a of subsection 2 of section 26.1-25-10.2, 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, the furnishing of loss and expense statistics or other
information, or carrying on research. Joint underwriting, joint reinsurance pools, and
residual market mechanisms may not be deemed an advisory organization.
2. Regulation.
a. Except to the extent modified by this section, insurers, joint underwriting, joint
reinsurance pool, and residual market mechanism activities are subject to the
other provisions of this chapter.
b. If, after hearing, the commissioner finds that any activity or practice of an insurer
participating in joint underwriting or a pool is unfair, is unreasonable, will tend to
lessen competition in any market, or is otherwise inconsistent with the provisions
or purposes of this chapter, the commissioner may issue a written order and
require the discontinuance of such activity or practice.
c. Every pool shall file with the commissioner a copy of its constitution; its articles of
incorporation, agreement, or association; its bylaws, rules, and regulations
governing its activities; its members; the name and address of a resident of this
state upon whom notices or orders of the commissioner or process may be
served; and any changes in amendments or changes in the foregoing.
d. Any residual market mechanism, plan, or agreement to implement such a
mechanism, and any changes or amendments thereto, must be submitted in
writing to the commissioner for consideration and approval, together with such
information as may be reasonably required. The commissioner may approve only
such agreements as are found to contemplate:
(1) The use of rates that meet the standards prescribed by this chapter; and
(2) Activities and practices that are not unfair, unreasonable, or otherwise
inconsistent with the provisions of this chapter.
At any time after such agreements are in effect, the commissioner may review the
practices and activities of the adherents to such agreements and if, after a
hearing, the commissioner finds that any such practice or activity is unfair or
unreasonable, or is otherwise inconsistent with the provisions of this chapter, the
commissioner may issue a written order to the parties and either require the
discontinuance of such acts or revoke approval of any such agreement.