Shields’ Last Rate Review Bill Moves Out of Committee

Lund Report:

Senate Bill 718 requires the director of the Department of Consumer and Business Services to give an insurance carrier written notice of approving or disapproving a rate filing no later than 10 days after the close of a 30-day public comment period. The director would need to provide a public “detailed rationale” for approving rate increases that would be posted on the department’s website.

Monroe’s amendment removes an ex-parte contact provision in the bill that would have prohibited the Insurance Division from having closed door meetings with insurance carriers to discuss rate reviews.

Keeping such meetings public, Shields argued in prior public hearings, would make the rate review process more transparent and give small businesses the ability to participate.

Shields says the heart of the legislation has been left intact. “I'm comfortable with [the amendment],” he said.

Read the full article here. Discuss below.