MAIP Rules
Rule Amendments Approved during Calendar Year 2011
December 19, 2011 | Rules 21, 26, 29, 36 |
| Amendments filed relative to voluntary and take-out quota share credits for policies effective April 1, 2012 and later (Rules 29.E.2. and E.3.), constraints on the non-renewal of clean-in-three risks (Rule 21.D.) and the elimination of the LADA assignment volume example and the addition of references to Rule 29.B. market share (Rule 36.C.iii., D.1. and D.2.) were disapproved. The remainder of the proposed amendments were approved as filed. | |
| Refer to Bulletins 950 and 953. | |
December 15, 2011 | Rule 29 |
| Rules 29.D.1. has been amended to state that for policies whose assignment period ends on March 31, 2012 and prior, an ARC may continue an assignment beyond three years by offering a third renewal, writing the policy on a voluntary basis or non-renewing the policy. For policies whose assignment period ends on April 1, 2012 and subsequent, an ARC may only offer to write the policy on a voluntary basis or non-renew the policy. Rule 29.D.2. has been amended to clarify that the previously approved non-renewal procedures apply to those policies whose three-year assignment period ends effective January 1, 2012 and subsequent and the ARC intends to non-renew the policy at the end of the assignment period. | |
| Refer to Bulletins 949 and 952. | |
July 18, 2011 | Rules 21, 28, 29, 30, 31, 36 |
| Procedures have been established to address the handling of assigned policies which an ARC intends to non-renew as a result of the expiration of the three-year assignment period (Rule 29.D.). For policies effective September 1 through December 31, 2011, a 20% down payment will be required for new business applications submitted as a result of the non-renewal of an assigned policy due to the expiration of the three-year assignment period (Rule 21.C.). In order to assure accurate premium calculation at the time of assignment, ARCs must provide a form to request additional or supplemental information (Rules 28.B., 30.B., 31.B.). ARC minimum service levels have been added for policies assigned through the MAIP (Rule 30.B.1.). A 90-day written notification to MAIP is required if a LADA is terminated by either the Member or the ARC and the terms and conditions of the contract between the Member and the ARC shall include provisions for servicing MAIP business until the expiration of the three-year assignment period (Rule 36.J.). | |
| Refer to Bulletins 944 and 945. | |
May 19, 2011 | Rule 36 |
| Description: Calendar year references contained in Rule 36.I. have been eliminated and this section has been updated to establish that LADA contracts are renewable by agreement of the Member and the Assigned Risk Company. The filed amendments to Rule 36.J. and K. were disapproved. | |
| Refer to Bulletins 941 and 943. | |