ORDERS:
ORDER OF DISMISSAL
This matter comes before me pursuant to S.C. Code Ann. § 38-73-10, et seq.,
(Supp. 1994) and S.C. Code Ann. §§ 1-23-310, et seq. (Rev. 1986 & Supp. 1994) upon a request
for a property and casualty commercial package insurance rate increase. A hearing was
conducted May 10, 1995. The request was not contested by the South Carolina Department of
Insurance or any member of the public. Upon review of the testimony and evidence submitted,
the rate increase request is approved.
FINDINGS OF FACT
By a preponderance of the evidence, I find:
(1) Petitioner submitted on December 22, 1994 (amended January 23, 1995 and
March 16, 1995) to the South Carolina Department of Insurance a formal filing for revision of its
Commercial Package Policy eligibility rules, having an overall premium increase impact of 0.5%
on its property and casualty commercial package insurance rates.
(2) By notice dated March 7, 1995, the public was advised that an application for a rate increase
by Petitioners had been made and that a hearing would be held on May 12, 1995.
(3) The filing details miscellaneous revisions to Petitioner's market classifications of commercial
businesses to determine eligibility for specially filed package modifications applicable to various
business policies.
(4) The South Carolina Department of Insurance conducted an independent investigation of the
filing.
(5) The South Carolina Department of Insurance, through its Assistant Chief Casualty Actuary,
Mr. Dean Kruger, testifying as an expert witness, represents that the rate increase request will
produce rates that are not excessive, inadequate, or unfairly discriminatory.
(6) The rate increase request was not contested by the State Consumer Advocate or any member
of the public.
(7) The date of Petitioner's last rate revision for this line of insurance was September 30, 1993.
CONCLUSIONS OF LAW
Based upon the foregoing Findings of Fact, I conclude, as a matter of law, the following:
(1) The South Carolina Administrative Law Judge Division is empowered to hear this case
pursuant to S.C. Code Ann. § 38-73-910 (Rev. 1989) and Chapter 23 of Title I of the 1976 Code,
as amended.
(2) Generally, a request for an insurance rate increase is governed by S.C. Code Ann.
§§ 38-73-10, et seq. (Rev. 1989 & Supp. 1994).
(3) Pursuant to S.C. Code Ann. § 38-73-910 (Rev. 1989), notice of the filing and of the public
hearing was given in newspapers of statewide circulation at least 30 days in advance of the
hearing.
(4) Petitioner met the burden of proof in a rate increase request by establishing that the revised
rates would not be excessive, inadequate, or unfairly discriminatory. See, S.C. Code Ann. §
38-73-10(a)(1) (Supp. 1994).
ORDER
IT IS THEREFORE ORDERED that the insurance rate increase requested by Petitioner is
approved. The effective date of the revisions shall be on or after the date of this Order.
Petitioner shall inform the South Carolina Department of Insurance of the date of implementation
of the new rates.
______________________________________
STEPHEN P. BATES
ADMINISTRATIVE LAW JUDGE
May _____, 1995
Columbia, South Carolina |