Pursuant to the authority of Texas Insurance Code §38.001, the Texas Department of Insurance requests all companies writing property, residential, medical malpractice, other general liability, products liability, fidelity, surety, and automobile insurance in Texas to submit information relating to disallowed expenses. Please note the addition of several insurance lines to the call.
Articles 5.13-2, Section 3(a)(1), 5.101, Section 3 and 5.142, Section 2(a)(3) of the Insurance Code, prohibit the consideration of certain incurred expenses in the determination of individual company rates for lines of insurance regulated under the flexible rating program. This call is designed to provide quantification of such "disallowed" expenses.
This call must be completed in accordance with the general instructions and returned no later than June 4, 2004. Underlying data, individual source documents and other information utilized in the development of your call response must be maintained in your records for a minimum of two years after June 4, 2004.
The MS Excel 5.0/95 & 97-2002 file (general instructions, reporting forms, and affidavit) should be downloaded from the Department's website located at www.tdi.state.tx.us. Click on the Industry Area link located in the upper right of the screen, scroll down to Data Calls, click on Property & Casualty Data Calls, then scroll down and click on Disallowed Expense Forms (the exact address is http://www.tdi.state.tx.us/bulletins/b-0019-4.html), which will bring up a copy of this bulletin. Once there, scroll down to Attachments. If you do not have internet access, have an earlier version of MS Excel, or are unable to download the forms, please contact Michael Davis at 512-322-5029 and the forms may be mailed or e-mailed.
Submissions:
Please e-mail the completed Excel file to michael.davis@tdi.state.tx.us and fax the signed, notarized (ink-stamp notary seal) affidavit to 512-463-6122. If a crimp-style notary seal is used, please send the original affidavit to the address listed below. If unable to e-mail submission, please send a copy of the Excel file on diskette or CD with the signed, notarized original affidavit to the address listed below. You do not need to submit a hard copy of the report.
Mail:
Texas Department of Insurance
Attn: Michael Davis
Data Services (MC 105-5D)
P.O. Box 149104
Austin, TX 78714-9104
Courier:
Texas Department of Insurance
Attn: Michael Davis
Data Services (MC 105-5D)
333 Guadalupe
Austin, Texas 78701
Failure to comply with the requirements of this call within the time limits specified may constitute a violation or violations of the Insurance Code and may subject the insurer to the penalties provided by law.
Questions concerning this call should be directed to Michael Davis at the Texas Department of Insurance at 512-322-5029.
Sincerely,
Clare Pramuk
Director, Data Services