ORDERS:
ORDER AND DECISION
This matter comes before me on the application of TIG Premier Insurance Company for a rate
increase on its lenders' security property and casualty insurance premium rate pursuant to S.C.
Code Ann. § 38-73-910 (Supp. 1994) and S.C. Code Ann. § 38-73-920 (Supp. 1994). After
notice to the parties, a public hearing was conducted on June 20, 1995 at the Administrative Law
Judge Division. The request was not contested by the Department of Insurance or any member of
the public. Upon the review of the testimony and evidence submitted, the rate increase request is
approved.
FINDINGS OF FACT
I make the following findings of fact, taking into consideration the burden on the parties to
establish their cases by a preponderance of the evidence and taking into account the credibility of
the witnesses:
1. TIG Premier Insurance filed an application with the Department of Insurance on March 20,
1995 for a lenders' security property and casualty insurance premium rate increase. The overall
increase requested is 20 percent. Lender's security is a line of insurance purchased to protect the
lender by insuring the collateral itself against loss or damage.
2. The filing contains information to support the proposed increase and details various changes.
3. The Department of Insurance conducted an independent investigation of the filing and its Chief
Actuary, Martin Simons, represented that the rate increase will produce rates that are not
excessive, inadequate, or unfairly discriminatory.
4. The last rate increase for Petitioner was July 1, 1991. In its filing, Petitioner requested an
effective date of August 1, 1995.
5. By notice dated May 17, 18, and 19, 1995, in various newspapers throughout the State, the
public was advised that an application for a rate increase by Petitioner had been made and that a
hearing would be held on June 20, 1995. No member of the public appeared at the hearing.
CONCLUSIONS OF LAW
1. The Administrative Law Judge Division is empowered to hear this case pursuant to S.C. Code
Ann. § 38-73-910 (Supp. 1994) and Chapter 23 of Title 1, as amended, of the 1976 Code.
2. A request for an insurance rate increased is governed by S.C. Code Ann. § 38-73-10 et seq.
(Supp. 1994).
3. Pursuant to S. C. Code Ann. § 38-73-910 (Supp. 1994), notice of the filing and of the public
hearing was published in all newspapers of statewide circulation at least 30 days in advance of the
hearing.
4. Petitioner has established that the increase in premium rates would not be excessive, inadequate
or unfairly discriminatory. See S. C. Code Ann. § 38-73-10 (a)(1) (Supp. 1994).
5. S.C. Code Ann.§ 38-73-920 (Supp. 1994) prohibits an insurer from receiving an insurance
premium rate increase in any line of insurance or in any type of insurance for which a rate increase
has been granted within the preceding twelve months. Petitioner received a premium rate increase
on July 1, 1991. Therefore, any increase proposed by the current filing may take effect after the
date of this Order.
ORDER
IT IS THEREFORE ORDERED that the insurance rate increase requested by TIG
Premier Insurance Company is approved. The effective date of the proposed rate increase shall
not occur before July 1, 1995.
AND IT IS SO ORDERED.
_______________________
ALISON RENEE LEE
Administrative Law Judge
June ____, 1995
Columbia, South Carolina. |
