Bulletin 2006-07 Notice of Tentative Credit Prop. Insurance Rates and Opportunity to Request Hearing

TO: South Carolina D(~partment of Insurance 300 Arbor Lake Drive, Suite 1200 Columbia, South Carolina 29223 Mailing Address: F'.O. Box 100105, Columbia, S.C. 29202·3'105 Telephone: (803) 737-6 '160 BULLETIN NUMBER 2006-07 Insurers Writing Credit Property Insurance in South Carolina MARK SANFORD Governor ELEANOR KITZIVIAN Director of Insurance in Conjunction with Consumer Credit Transactions subject to Act 988 of 1966 (the Consumer Finance Law) FROM: Eleanor Kitzman Director fk_.; SUBJECT: Notice of Tentative Credit Property Insurance Rates and Opportunity to Request a Hearing DATE: August 1, 2006 I. Notice of Tentative Credit Property Insurance Rates Regulation 69-11 requires the Department to promulgate tentative rates for credit property insurance by August 1 of each year. The tentative rates are those the Department believes may reasonably be expected to produce a loss ratio of not less than 50% in the following calendar year. This bulletin constitutes official notice of the tentative rates for 2007. The South Carolina Department of Insurance has reviewed the loss experience for 2005 for the above described credit property insurance. In light of this review, the tentative rates proposed for 2007 are unchanged from the 2006 rates. The tentative rates expressed as a percentage of the total amount of the loan are as follows: Coverage Automobile, Fire and Theft- Single Interest Automobile Collision- Single Interest Household Goods - Single Interest Household Goods -Dual Interest Approved Rates .032 percent .120 percent .031 percent .163 percent II. Opportunity for a Hearing S.C. Code Ann. Reg. 69-11.1 (1989) provides that "every insurer which feels aggrieved by any of the rates so promulgated may request a public hearing with respect to such rate or rates" within 15 days. See S.C. Code Ann. Reg. 69-11.1 C (4) (1989). Accordingly, all requests for a hearing must be filed with the Department on or before August 16, 2006. Please direct your requests for a hearing to the attention of Jeffrey Jacobs, Chief Legal Counsel. Attach to your request for a hearing documentation supporting your position that the tentative rates for credit accident and health rates need to be changed. After all such hearings have been held, the final rate or an affirmation of the tentative rate shall be sent to all companies before October 1, 2006. Please direct any questions regarding this bulletin to the attention of Carla Lachance at the address and number listed below. Carla Lachance Manager Forms and Rates South Carolina Department of Insurance 300 Arbor Lake Drive, Suite 1200 Columbia, South Carolina 29223 Telephone: (803) 737-6230 Facsimile: (803) 737-6233 E-mail: clachance@doi.sc.gov