California Insurance Code

§ 10236.11

INS § 10236.11 Effective Jan 1, 2020Div. 2 · Part 2 · Ch. 2.6 · Art. 4

Statute text

The premium rate schedules for all individual and group long-term care insurance policies issued in this state shall be filed with and receive the prior approval of the commissioner before the policy may be offered, sold, issued, or delivered to a resident of this state. All initial rate filings shall be subject to the following:

(a)An approval for an initial premium schedule shall not be granted unless the actuary performing the review for the commissioner certifies that the initial premium rate schedule is sufficient to cover anticipated costs under moderately adverse experience and that the premium rate schedule is reasonably expected to be sustainable over the life of the form with no future premium increases anticipated. The certification may rely on supporting data in the filing. The actuary performing the review may request an actuarial demonstration that the assumptions the insurer has used are reasonable. The actuarial demonstration shall include either premium and claim experience on similar policy forms, adjusted for any premium or benefit differences, relevant and creditable data from other studies, or both.

(b)The insurer shall submit to the commissioner for approval a rate filing for each policy form that includes at least all of the following information:

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Legislative history

Amended by Stats. 2019, Ch. 625, Sec. 3. (AB 1209) Effective January 1, 2020.