The Connecticut Insurance Department published a bulletin providing guidance on flex-rate filings for personal risk policies on the voluntary market.
A filing made by an insurer can take effect on the date it is filed if the changes result in a statewide average rate increase or decrease of 6% and no more than a 15% increase in any individual territory within a 12-month period. This applies to voluntary market personal risk insurance amended after July 1, 2006, until July 1, 2030. The provisions apply only to rate revisions and not to new filings.
Changes to an insurer’s rating plan, such as changes in class definitions, territory definitions, rating rules, or rating model variables, do not qualify as flex filings unless they are adopting a rating plan approved for use by another licensed insurer.
Only one flex-rate filing may be made within any 12-month period unless the cumulative of the filings is still within the 6% increase or decrease limit or the 15% limit. Filings must be made in SERFF and must include a statement that the filing meets the requirements.
The bulletin can be found here.