WSR 15-21-051
[Insurance Commissioner Matter No. R 2015-15—Filed October 16, 2015, 2:25 p.m.]
Subject of Possible Rule Making: Clarifying data use for setting P&C premiums.
Statutes Authorizing the Agency to Adopt Rules on this Subject: RCW 48.02.060, 48.19.035, and 48.19.080.
Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: In light of expenses associated with updating credit scores and potential market disruption arising from rescoring, the office of insurance commissioner (OIC) has been willing to approve rate filings that provided for reordering credit scores at least once every three years. One insurer is requesting that OIC adopt a rule to ensure that all insurers are held to the same standard.
This proposed rule will add a new section to chapter 284-24 WAC, requiring each insurer that uses credit history for rating personal lines of property/casualty insurance to update the credit history and resulting insurance score no less often than once every three years. It would also permit insurers writing usage-based insurance to collect data on a policyholder's driving behavior for only a specific period of time and then continue to use the same data for premium calculation at each successive policy renewal.
Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: None.
Process for Developing New Rule: Submit written comments by December 4, 2015, to Stacy Middleton, P.O. [Box] 40258, Olympia, WA 98504-0258,, fax (360) 586-3109.
Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting Stacy Middleton, P.O. [Box] 40258, Olympia, WA 98504-0258,, fax (360) 586-3109.
October 16, 2015
Mike Kreidler
Insurance Commissioner