§ 27-9-18. Disapproval of filing after review period — Removal of discrimination — Hearings to
determine effect of legislation.
(a) If at any time, subsequent to the applicable review period provided for in § 27-9-16 or § 27-9-17, the commissioner finds that a rate or filing does not meet the requirements of this
chapter, the commissioner shall, after a hearing held upon not less than ten (10)
days' written notice specifying the matters to be considered at that hearing to every
insurer and rating organization that used that rate or made that filing, issue an
order specifying on what respects the commissioner finds that the rate or filing fails
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§ 27-9-18. Disapproval of filing after review period — Removal of discrimination — Hearings to
determine effect of legislation.
(a) If at any time, subsequent to the applicable review period provided for in § 27-9-16 or § 27-9-17, the commissioner finds that a rate or filing does not meet the requirements of this
chapter, the commissioner shall, after a hearing held upon not less than ten (10)
days' written notice specifying the matters to be considered at that hearing to every
insurer and rating organization that used that rate or made that filing, issue an
order specifying on what respects the commissioner finds that the rate or filing fails
to meet the requirements of this chapter, and stating when, within a reasonable period
after this, the rate shall no longer be used or the filing shall be deemed no longer
effective. That order shall not affect any contract or policy made or issued prior
to the expiration of the period set forth in the order. If the commissioner finds
that an unfair discrimination exists in the application of a rate or filing to an
individual risk, the commissioner may, after a hearing held on similar notice to the
insurer affected and to any rating organization that made the filing, issue an order
that the discrimination be removed.
(b)(1) Whenever legislation is enacted that restricts or removes common law rights of action
in tort and/or statutory rights as to causes of action or damages, within one year
after the passage of that restrictive legislation, those insurance companies underwriting
affected lines shall request hearings to be held to determine the effect of that legislation
on insurance policies, their cost and benefits;
(2) The findings of the hearings with reference to the decrease of frequency in claims
shall constitute the basis for an immediate reduction of rates and if excess profits
have been obtained, the commissioner shall order a refund of all excess profits, and
the commissioner shall annually review the continued effect of the legislation until
it is reasonably ascertained that a proper rate level has been established. Copies
of any order issued pursuant to this section shall be sent to every affected insurer
and rating organization.