Workers Compensation Rate Regulation Implementation

BULLETIN 96-11: Implementation TO: Company Workers Compensation Underwriting Managers FROM: The Iowa Insurance Division RE: Implementation of Bulletin 96-11 DATE: February 6, 1997 The division has received inquiries regarding the implementation of the above captioned bulletin. Specifically, the question is whether the new rules may be applied mid-term to existing policies effective April 1, 1997. Rule I, G.2 of the Basic Manual for Workers Compensation and Employers Liability Insurance (page R2 of the 1996 Edition) states: "If a policy is canceled and rewritten by the same or another carrier, all rules, classifications and rates of the rewriting carrier which were in effect as of the anniversary rating date shall apply to the rewritten policy until the next anniversary rating date, as established by the rating organization, has been reached." No exception to the above rule has been or will be granted. Thus, no policy may be canceled or rewritten to take advantage of the new rules. Any questions or comments regarding this letter should be directed to the Casualty Actuary, Iowa Insurance Division, 330 E. Maple St., Des Moines, IA 50319. Last updated February 7, 1997.