Bulletin 2006-11 Filing of Underwriting Guideline Changes by Geography

TO: FROM: SUBJECT: DATE: South Carolina Department of Insurance 300 Arbor Lake Drive, Suite 1200 Columbia, South Carolina 29223 Mailing Address: P.O. Box 100105, Columbia, S.C. 29202-31 OS Telephone: (803) 737-6160 BULLETIN NUMBER 2006-11 MARK SANFORD Governor ELEANOR KITZMAN Director of Insurance All Insurers Licensed to Write Property Insurance in South Carolina and All Brokers Licensed to Place Business in the Eligible Surplus Lines Market Filing of Underwriting Guideline Changes by Geography December 21, 2006 S.C. Code Section 38-75-1240 requires all insurers to provide annually to the director: 1) a listing of underwriting restrictions based upon geography; and 2) a notice of new changes to current underwriting restrictions. These restrictions are not subject to the approval of the Depatiment and are not considered public information. See S.C. Code Ann. § 38-75-1240 (Supp. 2005). As such, they will be treated as proprietary information and afforded confidential treatment by the Department. Accordingly, each licensed insurer and broker on behalf of each surplus lines insurer represented shall provide by January 31, 2007: 1) a listing of underwriting restrictions based on geography as of 111/2005; and 2) any changes to those underwriting restrictions as of December 31, 2006. Thereafter, updated information shall be provided for the prior year by January 31st of each year. A listing of underwriting restrictions based on geography for newly licensed insurers or approved surplus lines insurers shall be provided as of the date such insurer began doing business and any changes to those restrictions as of December 31st of that year. A separate listing should be prepared for each line of business and for each company within a group transacting prope1iy insurance in South Carolina. Submit separate listings for commercial and personal lines. Do not combine this information into one document or submit an underwriting manual in lieu of the listing. Examples of underwriting restrictions based on geography include, but are not limited to: wind exclusions, proximity to water, deductibles, limits, construction type or protection class codes. Please e-mail your responses to Carla Griffin, Manager, Forms and Rates by January 3l, 2007 at cgriffin@doi.sc.gov. Please direct any questions regarding this request for information or the format to her attention at (803) 737-6230.