1.2 State Regulation Flashcards
(12 cards)
What is the Chief Insurance Officer of the state called?
The director of Insurance in some states, they are known as Insurance Commissioner.
What is the director of insurance in charge with?
In charge of all of the insurance-related activities of their state.
In SC, the director position is:
*Appointed by the Government
*With the advice and consent of the senate
*A full-time paid position
*With no set term
*And serves at the governor’s pleasure
*With the power of a circuit Court Judge
* The state pays for a $50,000 surety bond.
Who is the head of the insurance department?
The Director of Insurance
Who enforces the laws governing the insurance business in SC?
South Carolina Department of Insurance (SCDOI)
The director has the power to:
Page 10
The director must uphold a ___________ to discuss the rates, territory, and other issues regarding the South Carolina Wind and Hail Underwriting Association.
A public hearing annually along the sea cost, and also must provide publicized notice of the hearing at least 30 days before the date of the hearing.
The director must submit a report to the Senate and the House by-
No later than January 31st of each year regarding the status, including any recommended modifications to statutory or regulatory law regarding the operation of the association.
The directors report to the house, and the sentate also must be posted where?
On the departments website within 5 days of submission to the general assembly.
The Department of Insurance is required to post helpful information on their website for the consumer; it includes:
*information regarding homeowners insurance policies
*Info on mitigation discount and credits, including a summary of those offered by the twenty largest property insurers
*provide premium comparison info
*Provide assistance to consumers regarding identifying insurers with property insurance coverage in their area
*Providing a listing of licensed property and casualty insurance producers (agents) in a consumers area
*Providing info on catastrophe savings accounts available under SC Law.
Regulation of Rates:
The director approves the premium rate set by the insurers and establishes standards and practices for insurers to follow when setting rates. Rates must be fair. They must not be excessive, inadequate, or unfairly discriminatory. Property and casualty must be filed and may be used if not disapproved by the department within 30 days. PNC rate changes of 7% or more, (increase or decrease), require prior approval.”
