Utah Code 31A-19a-404. Designated rate service organization
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(1) For purposes of workers’ compensation insurance, the commissioner shall designate one rate service organization to:
Terms Used In Utah Code 31A-19a-404
- classification: means the process of grouping risks with similar risk characteristics so that differences in anticipated costs may be recognized. See Utah Code 31A-19a-102
- Equitable: Pertaining to civil suits in "equity" rather than in "law." In English legal history, the courts of "law" could order the payment of damages and could afford no other remedy. See damages. A separate court of "equity" could order someone to do something or to cease to do something. See, e.g., injunction. In American jurisprudence, the federal courts have both legal and equitable power, but the distinction is still an important one. For example, a trial by jury is normally available in "law" cases but not in "equity" cases. Source: U.S. Courts
- Experience rating: means a rating procedure that:(5)(a) uses the past insurance experience of an individual policyholder to forecast the future losses of the policyholder by measuring the policyholder's loss experience against the loss experience of policyholders in the same classification; and(5)(b) produces a prospective premium credit, debit, or unity modification. See Utah Code 31A-19a-102
- Filed: means that a filing is:
(69)(a)(i) submitted to the department as required by and in accordance with applicable statute, rule, or filing order;(69)(a)(ii) received by the department within the time period provided in applicable statute, rule, or filing order; and(69)(a)(iii) accompanied by the appropriate fee in accordance with:(69)(a)(iii)(A) Section31A-3-103 ; or(69)(a)(iii)(B) rule. See Utah Code 31A-1-301- Insurance: includes :
(96)(b)(i) a risk distributing arrangement providing for compensation or replacement for damages or loss through the provision of a service or a benefit in kind;(96)(b)(ii) a contract of guaranty or suretyship entered into by the guarantor or surety as a business and not as merely incidental to a business transaction; and(96)(b)(iii) a plan in which the risk does not rest upon the person who makes an arrangement, but with a class of persons who have agreed to share the risk. See Utah Code 31A-1-301- Premium: includes , however designated:
(156)(b)(i) an assessment;(156)(b)(ii) a membership fee;(156)(b)(iii) a required contribution; or(156)(b)(iv) monetary consideration. See Utah Code 31A-1-301- Rate: means that cost of insurance per exposure unit either expressed as:
(12)(a)(i) a single number; or(12)(a)(ii) as a pure premium rate, adjusted before any application of individual risk variations, based on loss or expense considerations to account for the treatment of:(12)(a)(ii)(A) expenses;(12)(a)(ii)(B) profit; and(12)(a)(ii)(C) individual insurer variation in loss experience. See Utah Code 31A-19a-102- Rate service organization: means a person who assists an insurer in rate making or filing by:
(164)(a)(i) collecting, compiling, and furnishing loss or expense statistics;(164)(a)(ii) recommending, making, or filing rates or supplementary rate information; or(164)(a)(iii) advising about rate questions, except as an attorney giving legal advice. See Utah Code 31A-1-301- Uniform experience rating plan: means a plan that is consistent between all insurers for experience rating entities insured for workers' compensation insurance. See Utah Code 31A-19a-403
- Uniform statistical plan: means a plan that is consistent between all insurers that is used for the reporting of workers' compensation insurance statistical data. See Utah Code 31A-19a-403
- Writing: includes :
(48)(a) printing;(48)(b) handwriting; and(48)(c) information stored in an electronic or other medium if the information is retrievable in a perceivable format. See Utah Code 68-3-12.5(1)(a) develop and administer the uniform statistical plan, uniform classification plan, and uniform experience rating plan filed with and approved by the commissioner;(1)(b) assist the commissioner in gathering, compiling, and reporting relevant statistical information on an aggregate basis;(1)(c) develop and file manual rules, subject to the approval of the commissioner, that are reasonably related to the recording and reporting of data pursuant to the uniform statistical plan, uniform experience rating plan, and the uniform classification plan; and(1)(d) develop and file the advisory loss costs pursuant to Section 31A-19a-406.(2) The uniform experience rating plan shall:(2)(a) contain reasonable eligibility standards;(2)(b) provide adequate incentives for loss prevention; and(2)(c) provide for sufficient premium differentials so as to encourage safety.(3) Each workers’ compensation insurer, directly or through its selected rate service organization, shall:(3)(a) record and report its workers’ compensation experience to the designated rate service organization as set forth in the uniform statistical plan approved by the commissioner; and(3)(b) adhere to a uniform classification plan and uniform experience rating plan filed with the commissioner by the rate service organization designated by the commissioner.(4) The commissioner may adopt rules for:(4)(a) the development and administration by the designated rate service organization of the:(4)(a)(i) uniform statistical plan;(4)(a)(ii) uniform experience rating plan; and(4)(a)(iii) uniform classification plan;(4)(b) the recording and reporting of statistical data and experience rating data by the various insurers writing workers’ compensation insurance;(4)(c) the selection, retention, and termination of the designated rate service organization; and(4)(d) providing for the equitable sharing and recovery of the expense of the designated rate service organization to develop, maintain, and provide the plans, services, and filings that are used by the various insurers writing workers’ compensation insurance.(5)(5)(a) Notwithstanding Subsection (3), an insurer may develop directly or through its selected rate service organization subclassifications of the uniform classification system upon which a rate may be made.(5)(b) A subclassification shall be filed with the commissioner 30 days before its use.(5)(c) The commissioner shall disapprove subclassifications if the insurer fails to demonstrate that the data produced by the subclassifications can be reported consistently with the uniform statistical plan and uniform classification plan.(6) Notwithstanding Subsection (3), an insurer may, directly or though its selected rate service organization, develop its own experience modifications based on the uniform statistical plan, uniform classification plan, and uniform rating plan filed by the rate service organization designated by the commissioner under Subsection (1). - Filed: means that a filing is: