1-1 By: Eiland, Seaman (Senate Sponsor - Sibley) H.B. No. 2102
1-2 (In the Senate - Received from the House May 4, 2001;
1-3 May 7, 2001, read first time and referred to Committee on Business
1-4 and Commerce; May 11, 2001, reported favorably, as amended, by the
1-5 following vote: Yeas 7, Nays 0; May 11, 2001, sent to printer.)
1-6 COMMITTEE AMENDMENT NO. 1
1-7 Amend HB 2102, Engrossed Version, as follows:
1-8 (1) In SECTION 4 of the bill, Article 21.81, strike
1-9 Subsection (j) beginning on page 4, line 55 through page 5, line
1-10 13; and
1-11 (2) Strike SECTIONS 6 through 13 of the bill and renumber
1-12 subsequent SECTIONS accordingly.
1-13 A BILL TO BE ENTITLED
1-14 AN ACT
1-15 relating to the determination of premium rates for certain lines of
1-16 insurance.
1-17 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-18 SECTION 1. Sections 3(b), (c), (d), and (o), Article 5.101,
1-19 Insurance Code, are amended to read as follows:
1-20 (b) The commissioner shall promulgate by rule a benchmark
1-21 rate for each line subject to this article after notice and hearing
1-22 [under Chapter 2001, Government Code (the Administrative Procedure
1-23 Act)]. The commissioner shall set the benchmark rate to produce a
1-24 range that:
1-25 (1) promotes stability in that line; and
1-26 (2) produces rates that are just, reasonable, adequate
1-27 and not excessive for the risks to which they apply, and not
1-28 confiscatory.
1-29 (c) In promulgating the benchmark rate, the commissioner may
1-30 give due consideration to:
1-31 (1) past and prospective loss experience within the
1-32 state and outside the state if the state data are not credible;
1-33 (2) the peculiar hazards and experience of individual
1-34 risks, past and prospective, within and outside the state;
1-35 (3) a reasonable margin for profit;
1-36 (4) expenses of operation of all insurers, excluding
1-37 only those [which may not include disallowed] expenses that are
1-38 disallowed under Subsection (o) of this section;
1-39 (5) the extent and nature of competition in that
1-40 market;
1-41 (6) the availability or lack of availability in that
1-42 market;
1-43 (7) the level and range of rates and rate changes
1-44 among insurers;
1-45 (8) investment and underwriting experience of
1-46 insurers;
1-47 (9) reinsurance availability;
1-48 (10) consumer complaints;
1-49 (11) extent of denials and restrictions of coverage;
1-50 (12) the volume of cancellations and nonrenewals; and
1-51 (13) any other factor considered appropriate by the
1-52 commissioner.
1-53 (d) Each flexibility band is based on a benchmark rate
1-54 promulgated by rule by the commissioner. The commissioner shall
1-55 conduct hearings annually to determine the benchmark rates by line
1-56 [on or before September 1 of each year]. Before each hearing
1-57 conducted under this subsection, the commissioner shall request
1-58 recommendations from insurers, trade associations, the public
1-59 insurance counsel, and any other interested person or entity
1-60 regarding changes to the benchmark rates. The recommendations must
1-61 include any supporting actuarial analyses. Notice of each hearing
1-62 proposing changes to the benchmark rates must be published in the
1-63 Texas Register. The commissioner shall receive public comment for
2-1 at least 30 days after the notice is published. The determination
2-2 of the rate shall not include disallowed expenses under Subsection
2-3 (o) of this section. An insurer, the public insurance counsel, and
2-4 any other interested person may present views, analyses, and
2-5 arguments in response to the commissioner's request for
2-6 recommendations, either before or [testimony] at the hearing, and
2-7 may file information for consideration by the commissioner. The
2-8 public insurance counsel and any insurer, trade association, or
2-9 other interested person or entity that has submitted proposed
2-10 changes or actuarial analyses may ask questions of any person
2-11 testifying at [An advisory organization which collects ratemaking
2-12 data shall not be a party to] the hearing. A trade association
2-13 that does not collect historical data and that does not provide
2-14 statistical plans, prospective loss costs, or supplementary rating
2-15 information to its members may, on behalf of its members that are
2-16 small or medium-sized insurers, as defined by the commissioner,
2-17 present rate making data and make recommendations to the
2-18 commissioner before or at the hearing. There is no immunity from
2-19 antitrust liability for a trade association that presents rate
2-20 making data or makes recommendations to the commissioner [at the
2-21 hearing]. The definition of "small and medium-sized insurers"
2-22 shall be a limitation upon the scope of the presentation to be made
2-23 by a trade association, but may not limit the participation of a
2-24 trade association because its membership includes other sized
2-25 insurers. After the hearing, the commissioner shall adopt a rule
2-26 promulgating the benchmark rates. An insurer shall use that
2-27 benchmark rate and the flexibility band to develop rates used for
2-28 the line for the year following the setting of the benchmark rate.
2-29 (o) For the purposes of this section, "disallowed expenses"
2-30 include:
2-31 (1) administrative expenses, not including acquisition
2-32 expenses, not including acquisition, loss control and safety
2-33 engineering expenses, that exceed 110 percent of the industry
2-34 median for those expenses;
2-35 (2) lobbying expenses;
2-36 (3) advertising expenses, other than advertising that
2-37 is directly related to the services or products provided by the
2-38 insurer, advertising designed and directed at loss prevention, or
2-39 advertising the promotion of organizations exempt from federal
2-40 taxation under Section 501(c)(3) of the Internal Revenue Code;
2-41 (4) amounts paid by an insurer as damages in a suit
2-42 against the insurer for bad faith or as fines or penalties for
2-43 violation of law;
2-44 (5) contributions to organizations engaged in
2-45 legislative advocacy;
2-46 (6) fees and penalties imposed on the insurer for
2-47 civil or criminal violations of law;
2-48 (7) contributions to social, religious, political, or
2-49 fraternal organizations;
2-50 (8) fees and assessments paid to advisory
2-51 organizations; and
2-52 (9) any unreasonably incurred expenses, as determined
2-53 by the commissioner after notice and hearing in a proceeding
2-54 separate from the benchmark hearing under this article.
2-55 SECTION 2. Section 5, Article 5.101, Insurance Code, is
2-56 amended to read as follows:
2-57 Sec. 5. APPLICABILITY OF CERTAIN GOVERNMENT CODE
2-58 REQUIREMENTS [ADMINISTRATIVE PROCEDURE ACT APPLICABLE; BENCHMARK
2-59 RATE HEARINGS]. (a) Subject to Chapter 40 of this code, Chapter
2-60 2001, Government Code [(the Administrative Procedure Act)], applies
2-61 to all rate hearings conducted under this article, other than a
2-62 benchmark rate hearing conducted under Section 3(d) of this article
2-63 [subject to Article 1.33B of this code and Subsections (b)-(d) of
2-64 this section].
2-65 (b) Subchapter A, Chapter 2006, Government Code, does not
2-66 apply to a benchmark rate hearing conducted under Section 3(d) of
2-67 this article. [In a hearing on benchmark rates conducted under this
2-68 article, discovery directed to any party to the proceeding
2-69 concerning that party's premium, loss, expense, profit, or rate of
3-1 return experience or its operations is prohibited, except to the
3-2 extent that the party presents evidence, relies on, or provides to
3-3 another party its own individual insurer data in the benchmark rate
3-4 hearing. This subsection does not deny or restrict any party's
3-5 right to produce or rely on relevant information concerning an
3-6 individual insurer as evidence in a benchmark rate hearing.]
3-7 [(c) As part of a benchmark rate hearing, any party may
3-8 present evidence regarding, and the administrative law judge shall
3-9 make proposed findings concerning, any adjustments or amendments
3-10 that should be made to the statistical reporting rules and
3-11 statistical plans to aid in presenting a case at future benchmark
3-12 rate hearings.]
3-13 [(d) If the record indicates evidence under Subsection (c)
3-14 of this section, the commissioner may initiate a proceeding under
3-15 Article 5.96 of this code to determine and make adjustments and
3-16 amendments to the rules and statistical plans as necessary to
3-17 further aid in determining whether rates and rating systems in use
3-18 under this article comply with the regulatory standards imposed
3-19 under this article. The commissioner shall consider the evidence
3-20 taken at the benchmark rate hearings under Subsection (c) of this
3-21 section, and shall address that evidence in any order or action
3-22 taken as a result of the proceeding.]
3-23 SECTION 3. Article 5.101, Insurance Code, is amended by
3-24 adding Section 6 to read as follows:
3-25 Sec. 6. APPEAL. A person aggrieved by an order of the
3-26 commissioner setting benchmark rates may, not later than the 30th
3-27 day after the date on which the commissioner issued the order,
3-28 appeal the order. An appeal of an order of the commissioner
3-29 setting benchmark rates under this article must be made in
3-30 accordance with Subchapter D, Chapter 36, of this code.
3-31 SECTION 4. Section 5, Article 21.81, Insurance Code, is
3-32 amended to read as follows:
3-33 Sec. 5. RATES FOR INSURANCE; HEARING. (a) [At least
3-34 annually, the commissioner shall conduct a hearing for the purpose
3-35 of determining appropriate rates to be charged for insurance
3-36 provided through the association. The association may appear as a
3-37 matter of right, shall be admitted as a party to present testimony
3-38 at the hearing, and may file information for consideration by the
3-39 commissioner.] The commissioner shall determine and prescribe
3-40 appropriate rates to be charged for insurance provided through the
3-41 association [rates] that are just, reasonable, adequate, not
3-42 excessive, not confiscatory, and not unfairly discriminatory for
3-43 the risks to which they apply. Rates shall be set in an amount
3-44 sufficient to carry all claims to maturity and to meet the expenses
3-45 incurred in the writing and servicing of the business. In making a
3-46 determination, the commissioner shall consider the reports of
3-47 aggregated premiums earned and losses and expenses incurred in the
3-48 writing of motor vehicle insurance through the plan collected under
3-49 the statistical plan provided for by Subsection (b) of this
3-50 section.
3-51 (b) The commissioner shall promulgate reasonable rules and
3-52 statistical plans to be used by each insurer in the recording and
3-53 reporting of its premium, loss, and expense experience which must
3-54 be reported separately for business assigned to it and other data
3-55 required by the commissioner.
3-56 (c) The association shall file annually with the department
3-57 for approval by the commissioner rates to be charged for insurance
3-58 provided through the association. The association may not make
3-59 such a filing more than once in any 12-month period. Subchapter B,
3-60 Chapter 40, of this code does not apply to:
3-61 (1) a filing made under this subsection;
3-62 (2) Subsections (d)-(h) of this section; or
3-63 (3) a department action with respect to such a filing.
3-64 (d) Before approving, disapproving, or modifying a filing
3-65 made under Subsection (c) of this section, the commissioner shall
3-66 provide all interested persons a reasonable opportunity to:
3-67 (1) review the filing;
3-68 (2) obtain copies of the filing on payment of any
3-69 legally required copying cost; and
4-1 (3) submit to the commissioner written comments,
4-2 analyses, or information related to the filing.
4-3 (e) Not later than the 45th day after the date on which the
4-4 department receives the filing required under Subsection (c) of
4-5 this section, the commissioner shall schedule a hearing at which
4-6 interested persons may present written or oral comments relating to
4-7 the filing. A hearing under this subsection is not a contested
4-8 case hearing under Chapter 2001, Government Code. The association,
4-9 the public insurance counsel, and any other interested person or
4-10 entity that has submitted proposed changes or actuarial analyses
4-11 may ask questions of any person testifying at the hearing.
4-12 (f) The department shall file with the Texas Register notice
4-13 that a filing has been made under Subsection (c) of this section
4-14 not later than the seventh day after the date the filing is
4-15 received by the department. The notice must include information
4-16 relating to:
4-17 (1) the availability of the filing for public
4-18 inspection at the department during regular business hours and the
4-19 procedures for obtaining copies of the filing;
4-20 (2) procedures for making written comments related to
4-21 the filing; and
4-22 (3) the time, place, and date of the hearing scheduled
4-23 under Subsection (e) of this section.
4-24 (g) After the conclusion of the hearing, the commissioner
4-25 shall approve, disapprove, or modify the filing in writing. If the
4-26 commissioner disapproves a filing, the commissioner shall state in
4-27 writing the reasons for the disapproval and the criteria to be met
4-28 by the association to obtain approval. The association may file
4-29 with the commissioner, not later than the 10th day after the date
4-30 on which the association receives the commissioner's written
4-31 disapproval, an amended filing to comply with the commissioner's
4-32 comments.
4-33 (h) Before approving or disapproving an amended filing, the
4-34 commissioner shall provide all interested persons a reasonable
4-35 opportunity to review the amended filing, obtain copies of the
4-36 amended filing on payment of any legally required copying cost, and
4-37 submit to the commissioner written comments or information related
4-38 to the amended filing in the manner provided by Subsection (d) of
4-39 this section, and may hold a hearing not later than the 20th day
4-40 after the date on which the department receives the amended filing
4-41 in the manner provided by Subsection (e) of this section. Not
4-42 later than the 10th day after the date on which the hearing on the
4-43 amended filing is concluded, the commissioner shall approve or
4-44 disapprove the amended filing. Not later than the 30th day after
4-45 the date on which the amended filing is received by the department,
4-46 the commissioner shall disapprove the amended filing or it is
4-47 considered approved. The requirements adopted under Subsections
4-48 (f) and (g) of this section apply to a hearing conducted under this
4-49 subsection.
4-50 (i) A person aggrieved by a decision of the commissioner
4-51 under this section may, not later than the 30th day after the date
4-52 of the commissioner's decision, appeal the decision. An appeal of a
4-53 commissioner's decision under this section must be made in
4-54 accordance with Subchapter D, Chapter 36, of this code.
4-55 (j) Notwithstanding Subsections (a)-(h) of this section or
4-56 any other provision of this article, an applicant is eligible for
4-57 insurance through the association if the applicant and the
4-58 servicing agent certify that the applicant is unable to find
4-59 coverage at a rate that is within the benchmark flexibility band
4-60 adopted under Article 5.101 of this code and that the applicant is
4-61 a good driver. The applicant shall be charged a rate for coverage
4-62 that does not exceed a rate that is greater than the midway point
4-63 between 115 percent of the benchmark rate adopted under Article
4-64 5.101 of this code and the rate adopted under this section. The
4-65 commissioner may adopt rules as necessary to implement this
4-66 subsection. In this subsection, "good driver" means an individual
4-67 who:
4-68 (1) is over the age of:
4-69 (A) if male, 25 years of age; and
5-1 (B) if female, 21 years of age;
5-2 (2) has been licensed for at least three years to
5-3 drive the type of motor vehicle to be insured;
5-4 (3) during the previous three years, has not:
5-5 (A) been at fault in a motor vehicle accident
5-6 that resulted in bodily injury, death, or property damage;
5-7 (B) been convicted of a violation of a traffic
5-8 safety regulation that involved a moving vehicle; or
5-9 (C) been convicted of an offense under Section
5-10 49.04, Penal Code, or Section 106.041, Alcoholic Beverage Code;
5-11 (4) has never made a fraudulent insurance claim; and
5-12 (5) does not drive a sports car or other
5-13 high-performance vehicle.
5-14 SECTION 5. Subchapter B, Chapter 40, Insurance Code, is
5-15 amended by adding Section 40.061 to read as follows:
5-16 Sec. 40.061. FLEXIBLE RATING PROGRAM. Notwithstanding
5-17 Sections 40.051-40.060, hearings for benchmark rates for all lines
5-18 of insurance subject to Article 5.101 of this code are conducted as
5-19 provided by Section 3(d) of that article.
5-20 SECTION 6. The heading to Article 5.131, Insurance Code, is
5-21 amended to read as follows:
5-22 Art. 5.131. [TEMPORARY] RATE ROLLBACK FOR CERTAIN LINES OF
5-23 INSURANCE.
5-24 SECTION 7. Section 1, Article 5.131, Insurance Code, is
5-25 amended to read as follows:
5-26 Sec. 1. FINDINGS. The legislature finds that:
5-27 (1) the cost of litigation against insureds and their
5-28 insurers, the possibility of large and unjust judgments, and the
5-29 uncertainty created by a litigious environment within this state
5-30 have been significant factors in the high cost of certain lines of
5-31 insurance;
5-32 (2) legislation enacted by regular sessions of the
5-33 75th, 76th, and 77th [73rd and 74th] legislatures, and legislation
5-34 passed by or pending in [which may be aided by legislation under
5-35 consideration by] the [104th] Congress of the United States, is
5-36 intended to meaningfully reform the civil justice system of this
5-37 state and this nation and will result in reductions in the cost of
5-38 litigation and in the size of judgments;
5-39 (3) certain decisions by the Supreme Court of Texas
5-40 and federal appellate courts during the years 1995-2001 have
5-41 resulted in reductions in the size of certain judgments;
5-42 (4) it can be reasonably anticipated that there will
5-43 be additional legislation and court decisions in the future that
5-44 will result in reductions in the cost of litigation and in the size
5-45 of judgments;
5-46 (5) while the monetary effect of the legislative
5-47 changes can be actuarially determined within a reasonable degree of
5-48 certainty, insurers will delay implementation of rate reductions
5-49 until they have data evidencing actual loss experience;
5-50 (6) [(4)] the delay described by Subdivision (5) [(3)]
5-51 of this section will result in a windfall for the insurers
5-52 benefited by the changes [legislation] described by Subdivisions
5-53 [Subdivision] (2), (3), and (4) of this section, and this benefit
5-54 should be passed on to their insureds; and
5-55 (7) [(5)] legislative action in the public interest
5-56 and within the police power of the state is required to eliminate
5-57 unnecessary delays to pass these benefits on to the insured public
5-58 of this state.
5-59 SECTION 8. Section 2(c), Article 5.131, Insurance Code, is
5-60 amended to read as follows:
5-61 (c) This article applies only to policies or coverages in
5-62 the following lines or sublines that are issued, issued for
5-63 delivery, or renewed on and after January 1, 2002 [1996]:
5-64 (1) professional liability insurance for a physician,
5-65 other health care provider, or hospital;
5-66 (2) commercial liability insurance for damages arising
5-67 out of the manufacture, design, importation, distribution,
5-68 packaging, labeling, lease, or sale of a product or for completed
5-69 operations coverage;
6-1 (3) private passenger automobile liability insurance
6-2 for bodily injury;
6-3 (4) commercial automobile liability insurance for
6-4 bodily injury;
6-5 (5) private umbrella and excess liability insurance;
6-6 (6) the liability portion of commercial multi-peril
6-7 insurance;
6-8 (7) the liability portion of homeowner's, farm and
6-9 ranch owner's, and renter's insurance;
6-10 (8) the employer's liability portion of workers'
6-11 compensation insurance; and
6-12 (9) other commercial liability insurance, including
6-13 the following lines and sublines:
6-14 (A) premises medical;
6-15 (B) fire legal liability;
6-16 (C) personal advertising injury;
6-17 (D) contractual liability;
6-18 (E) liability for all premises;
6-19 (F) pollution liability;
6-20 (G) owners and contractors protective liability;
6-21 (H) railroad protective liability;
6-22 (I) liquor liability;
6-23 (J) farm liability;
6-24 (K) commercial umbrella and excess liability;
6-25 (L) professional liability other than insurance
6-26 described by Subdivision (1) of this subsection; and
6-27 (M) garage liability.
6-28 SECTION 9. Sections 3(a), (b), (d), and (e), Article 5.131,
6-29 Insurance Code, are amended to read as follows:
6-30 (a) Notwithstanding Chapter 40 [Article 1.33B] of this code,
6-31 on or before September 1 of each year, the commissioner shall hold
6-32 a rulemaking hearing under Chapter 2001, Government Code, to
6-33 determine the percentage of equitable across-the-board reductions
6-34 in insurance rates required of insurers writing the lines and
6-35 sublines of liability coverage described by Section 2(c) of this
6-36 article.
6-37 (b) Not later than October 1, 2001 [1995], the commissioner
6-38 shall issue rules mandating the appropriate rate reductions to
6-39 rates for the lines and sublines of liability coverage described by
6-40 Section 2(c) of this article and developed without consideration of
6-41 the effect of the changes [legislation] described by Section 1 of
6-42 this article.
6-43 (d) The rate reductions adopted under this section are
6-44 applicable to each policy or coverage issued, issued for delivery,
6-45 or renewed on and after January 1, 2002 [1996], and to each policy
6-46 or coverage issued, issued for delivery, or renewed on and after
6-47 the 90th day after the date of each subsequent rule adopted under
6-48 Subsection (a) of this section.
6-49 (e) Notwithstanding Subsection (d) of this section, if, on
6-50 January 1, 2002 [1996], the commissioner has not issued an order
6-51 establishing rate reductions for a line or subline under this
6-52 section, the following reductions, as measured from the base rates
6-53 in effect on April 1, 2001 [1995], apply to each insurer for each
6-54 affected policy or coverage issued, issued for delivery, or renewed
6-55 on and after January 1, 2002 [1996]:
6-56 LINE or SUBLINE PERCENTAGE REDUCTION
6-57 (1) professional liability insurance for
6-58 physician, other health care provider,
6-59 or hospital: 30%
6-60 (2) commercial liability insurance for
6-61 damages arising out of the manufacture,
6-62 design, importation, distribution,
6-63 packaging, labeling, lease, or sale
6-64 of a product or for
6-65 completed operations coverage: 25%
6-66 (3) private passenger automobile liability
6-67 insurance for bodily injury: 15%
6-68 (4) commercial automobile liability
6-69 insurance for bodily injury: 20%
7-1 (5) private umbrella and excess liability
7-2 insurance: 20%
7-3 (6) the liability portion of commercial
7-4 multi-peril insurance: 10%
7-5 (7) the liability portion of homeowner's,
7-6 farm and ranch owner's,
7-7 and renter's insurance: 5%
7-8 (8) the employer's liability portion
7-9 of workers' compensation
7-10 insurance: 10%
7-11 (9) all lines and sublines of other
7-12 commercial liability insurance: 15%
7-13 SECTION 10. Section 4(a), Article 5.131, Insurance Code, is
7-14 amended to read as follows:
7-15 (a) Except as provided by Subsection (b) of this section, a
7-16 rate filed as to a line or subline of insurance coverage affected
7-17 by this article on and after January 1, 2002 [1996], and a rate
7-18 filed on and after the 90th day following the effective date of a
7-19 subsequent rule adopted under Section 3(a) of this article, shall
7-20 reflect the rate reduction imposed by Section 3 of this article.
7-21 The commissioner shall disapprove a rate, subject to the procedures
7-22 established by Section 7, Article 5.13-2, of this code if the
7-23 commissioner finds that the filed rate does not reflect that
7-24 reduction.
7-25 SECTION 11. Section 6, Article 5.131, Insurance Code, is
7-26 amended to read as follows:
7-27 Sec. 6. CONTINUATION [DURATION] OF REDUCTION. After the
7-28 conclusion of each regular biennial legislative session, beginning
7-29 with the 78th legislative session, the commissioner shall conduct a
7-30 review of state and federal legislation and court decisions
7-31 analogous to that conducted under Section 3 of this article to
7-32 determine if that legislation and those court decisions can
7-33 reasonably be anticipated to reduce the cost of litigation or the
7-34 amount of damages. If the commissioner finds that those reductions
7-35 are likely, the commissioner shall order an additional rate
7-36 rollback, as provided by this article, to begin on January 1 of
7-37 each even-numbered year. [Unless the commissioner grants relief
7-38 under Section 4 or 5 of this article, each rate resulting from the
7-39 reduction required under Section 3 of this article remains in
7-40 effect until January 1, 2001.]
7-41 SECTION 12. Section 8, Article 5.131, Insurance Code, is
7-42 amended to read as follows:
7-43 Sec. 8. HEARINGS AND ORDERS. Notwithstanding Chapter 40
7-44 [Article 1.33B] of this code, a rulemaking hearing under this
7-45 article shall be held before the commissioner or the commissioner's
7-46 designee. [Article 1.09-5 of this code does not apply to hearings
7-47 under this article.] The rulemaking procedures established by this
7-48 section do not apply to any other rate promulgation proceeding.
7-49 SECTION 13. Section 9, Article 5.131, Insurance Code, is
7-50 amended to read as follows:
7-51 Sec. 9. PENDING RATE MATTERS. A rate filed pursuant to a
7-52 commissioner's order issued before May 1, 2001 [1995], is not
7-53 subject to the rate reductions required by this article before
7-54 January 1, 2002 [1996].
7-55 SECTION 14. Section 37.052(d), Insurance Code, is amended to
7-56 read as follows:
7-57 (d) The department may appear as a matter of right as a
7-58 party, present evidence, or question a witness in a proceeding
7-59 before the commissioner or the designated hearings officer in which
7-60 insurance rates are set under this code. [This subsection expires
7-61 September 1, 2001.]
7-62 SECTION 15. This Act applies only to premium rates for an
7-63 insurance policy delivered, issued for delivery, or renewed on or
7-64 after January 1, 2002. Rates for a policy delivered, issued for
7-65 delivery, or renewed before January 1, 2002, are governed by the
7-66 law as it existed immediately before the effective date of this
7-67 Act, and that law is continued in effect for that purpose.
7-68 SECTION 16. This Act takes effect September 1, 2001.
8-1 * * * * *