Automobile and Homeowners Insurance Rate Guide

Home Bulletins bulletin04 B-0050-4 November 15, 2004 To:   ALL INSURERS WRITING AUTO AND HOMEOWNERS POLICIES IN TEXAS Re:   AUTO AND HOMEOWNERS INSURANCE RATE GUIDES This bulletin announces an upcoming call for information for the 2005 Automobile and Homeowners Insurance Rate Guides published by the Texas Department of Insurance (TDI). All companies in the top 80 percent of market share and currently writing automobile or homeowners insurance for new customers in Texas after December 1, 2004, will be required to respond to this request. For the automobile rate guide, rate estimates will be collected for liability-only coverage for seven hypothetical driver profiles. For the homeowners rate guide, rate estimates will be collected for the type of policy that a company is most likely to offer new customers for eight hypothetical homeowner profiles. You will be asked to provide rate estimates for 66 selected ZIP codes in Texas. The 66 selected ZIP codes have been grouped into nine regions. This information is requested under authority of Section 38.001 of the Texas Insurance Code . In early December, companies will be contacted by e-mail and provided with the web address and a password to access the online data collection form. In the meantime, the attached instructions and worksheets are being provided to help you compile the data required to respond to this request. The deadline for submitting your rate estimates and other information via the online data collection form will be January 14, 2005. If you have additional questions, please call Melissa Hield at 512-322-4349 or Richard Lee at 512-463-6534, or you may e-mail ConsumerProtection@tdi.state.tx.us . Sincerely, Jose Montemayor Commissioner of Insurance Texas Department of Insurance 2005 Auto and Homeowners Insurance Rate Guides AUTO RATE GUIDE INSTRUCTIONS FOR CALCULATING AND ENTERING RATES Enter premium rate estimates in the online data collection form on TDI´s website for seven hypothetical driver profiles in 66 "representative" Texas ZIP codes. Please use the following guidelines when calculating your rate information and submitting your data: Use an identical set of rating criteria (credit score and any other criteria your company uses) for each ZIP code. Calculate the annual premium that will be in effect on December 1, 2004, for personal liability insurance only (BI + PD) for each driver profile in each of the ZIP codes listed. Calculate premiums based on the policy type used by the company that meets the state´s minimum 20/40/15 liability coverage requirements and that the company is most likely to offer new customers. Assume the driver drives to work, except where stated. Add any monthly installment fees normally charged to the premium. Provide the base rate only - do not include any discounts. Multiply the monthly or semiannual premium amount by the appropriate number to calculate a 12-month premium. Check "NA" on the data entry form if the company does not offer coverage to new customers in a particular driver profile or ZIP code. Driver Profiles: Driver 1: Single male age 18 with no tickets or accidents Driver 2: Married male age 18 with no tickets or accidents Driver 3: Male or female, age 25, single or married, with no tickets or accidents Driver 4: Male or female, age 35, single or married, with no tickets or accidents Driver 5: Male or female, age 55, single or married, with no tickets or accidents Driver 6: Male or female over age 64 with no tickets or accidents who drives for pleasure and errands only Driver 7: Male or female over age 64 with no tickets or accidents 2005 Auto Insurance Rate Guide ZIP Codes List ZIP REGION COUNTY PLACE (County if rural) 78737 Central Texas Hays/Travis Bear Creek 78723 Central Texas Travis Austin 76541 Central Texas Bell Killeen 76705 Central Texas McLennan Bellmead/Hallsburg 76527 Central Texas Williamson/Bell/Burnet Williamson/Bell/Burnet Counties 78660 Central Texas Travis Pflugerville 78613 Central Texas Williamson Cedar Park 76624 Central Texas McLennan/Limestone McLennan/Limestone Counties 78575 Coastal Texas Cameron Rancho Viejo 78405 Coastal Texas Nueces Corpus Christi 78343 Coastal Texas Nueces Bishop 77627 Coastal Texas Jefferson/Orange Nederland 78336 Coastal Texas San Patricio/Aransas Aransas Pass 78592 Coastal Texas Cameron Cameron County 75040 North Texas Dallas Garland 75270 North Texas Dallas Dallas County 75602 North Texas Harrison/Gregg Longview 75052 North Texas Dallas/Tarrant Grand Prairie 75848 North Texas Freestone Freestone County 76036 North Texas Tarrant/Johnson Crowley 75074 North Texas Collin Plano 75159 North Texas Dallas/Kaufman Seagoville/Combine 76226 North Texas Denton Denton County 79401 Panhandle/Plains Lubbock Lubbock 79104 Panhandle/Plains Potter Amarillo 79323 Panhandle/Plains Yoakum/Gaines Denver City 79366 Panhandle/Plains Lubbock Lubbock County 79072 Panhandle/Plains Hale Plainview 79010 Panhandle/Plains Oldham/Potter Oldham/Potter Counties 79764 Permian Basin/Concho Valley Ector Odessa 79703 Permian Basin/Concho Valley Midland Midland 76904 Permian Basin/Concho Valley Tom Green Tankersley 79731 Permian Basin/Concho Valley Crane Crane 79359 Permian Basin/Concho Valley Gaines/Terry/Yoakum Gaines County 79720 Permian Basin/Concho Valley Howard/Glasscock Big Spring 79758 Permian Basin/Concho Valley Ector Ector County 76903 Permian Basin/Concho Valley Tom Green San Angelo 78255 South Texas/Rio Grande Valley Bexar Bexar County 78207 South Texas/Rio Grande Valley Bexar San Antonio 78263 South Texas/Rio Grande Valley Bexar China Grove 78582 South Texas/Rio Grande Valley Starr Rio Grande City 77962 South Texas/Rio Grande Valley Jackson Jackson County 78148 South Texas/Rio Grande Valley Bexar Universal City 78109 South Texas/Rio Grande Valley Bexar Converse 78019 South Texas/Rio Grande Valley Webb Webb County 77007 Southeast Texas Harris Houston 77073 Southeast Texas Harris Westfield 77507 Southeast Texas Harris Harris County 77536 Southeast Texas Harris Deer Park 77094 Southeast Texas Harris Suburban Houston 77630 Southeast Texas Orange Orange 77064 Southeast Texas Harris North Houston 77336 Southeast Texas Harris Huffman 75937 Southeast Texas Nacogdoches Nacogdoches County 79602 Texas Big Country Taylor/Callahan Abilene 76801 Texas Big Country Brown Brownwood 76351 Texas Big Country Archer Archer County 76311 Texas Big Country Wichita Wichita Falls 76367 Texas Big Country Wichita Iowa Park 79530 Texas Big Country Taylor Taylor County 79912 West Texas El Paso El Paso 79934 West Texas El Paso Vinton 79908 West Texas El Paso El Paso County 79849 West Texas El Paso San Elizario 79821 West Texas El Paso Anthony 79831 West Texas Brewster Brewster County Texas Department of Insurance 2005 Auto and Homeowners Insurance Rate Guides HOMEOWNERS RATE GUIDE INSTRUCTIONS FOR CALCULATING AND ENTERING RATES Enter premium rate estimates in the online data collection form on TDI´s website for eight hypothetical homeowner profiles in 66 "representative" Texas ZIP codes. Please use the following guidelines when calculating your rate information and submitting your data: Use an identical set of rating criteria (credit score and any other criteria the company uses) for each ZIP code. For each ZIP code, use the PPC code shown on the list provided by TDI. Enter the annual premium that will be in effect on December 1, 2004, in each of the ZIP codes listed. Calculate premiums based on the policy type used by the company that you are most likely to offer new customers. Enter the policy type in the field provided. Calculate premiums based on a policy with $100,000 coverage on the house, $40,000 on its contents, and a 1 percent ($1,000) deductible. Add any monthly fees you normally charge to the premium. Only include discounts pertaining to the age of the house. Multiply the monthly or semiannual premium amount by the appropriate number to calculate a 12-month premium. Check "NA" on the data entry form if the company does not offer coverage to new customers in a particular homeowner profile or ZIP code. Homeowner profiles: Homeowner 1: Owns a new brick veneer home Homeowner 2: Owns a new frame home Homeowner 3: Owns a 6-year-old brick veneer home Homeowner 4: Owns a 6-year-old frame home Homeowner 5: Owns a 15-year-old brick veneer home Homeowner 6: Owns a 15-year-old frame home Homeowner 7: Owns a 25-year-old brick veneer home Homeowner 8: Owns a 25-year-old frame home 2005 Homeowners Insurance Rate Guide ZIP and PPC Codes List ZIP REGION PPC CODE COUNTY PLACE (County if rural) 78737 Central Texas 2 Hays/Travis Bear Creek 78723 Central Texas 2 Travis Austin 76541 Central Texas 4 Bell Killeen 76705 Central Texas 6 McLennan Bellmead/Hallsburg 76527 Central Texas 7 Williamson/Bell/Burnet Williamson/Bell/Burnet Counties 78660 Central Texas 9 Travis Pflugerville 78613 Central Texas 9 Williamson Cedar Park 76624 Central Texas 10 McLennan/Limestone McLennan/Limestone Counties 78575 Coastal Texas 4 Cameron Rancho Viejo 78405 Coastal Texas 4 Nueces Corpus Christi 78343 Coastal Texas 6 Nueces Bishop 77627 Coastal Texas 9 Jefferson/Orange Nederland 78336 Coastal Texas 9 San Patricio/Aransas Aransas Pass 78592 Coastal Texas 10 Cameron Cameron County 75040 North Texas 2 Dallas Garland 75270 North Texas 2 Dallas Dallas County 75602 North Texas 2 Harrison/Gregg Longview 75052 North Texas 4 Dallas/Tarrant Grand Prairie 75848 North Texas 5 Freestone Freestone County 76036 North Texas 5 Tarrant/Johnson Crowley 75074 North Texas 9 Collin Plano 75159 North Texas 9 Dallas/Kaufman Seagoville/Combine 76226 North Texas 9 Denton Denton County 79401 Panhandle/Plains 3 Lubbock Lubbock 79104 Panhandle/Plains 3 Potter Amarillo 79323 Panhandle/Plains 6 Yoakum/Gaines Denver City 79366 Panhandle/Plains 7 Lubbock Lubbock County 79072 Panhandle/Plains 9 Hale Plainview 79010 Panhandle/Plains 10 Oldham/Potter Oldham/Potter Counties 79764 Permian Basin/Concho Valley 2 Ector Odessa 79703 Permian Basin/Concho Valley 3 Midland Midland 76904 Permian Basin/Concho Valley 4 Tom Green Tankersley 79731 Permian Basin/Concho Valley 6 Crane Crane 79359 Permian Basin/Concho Valley 7 Gaines/Terry/Yoakum Gaines County 79720 Permian Basin/Concho Valley 9 Howard/Glasscock Big Spring 79758 Permian Basin/Concho Valley 10 Ector Ector County 76903 Permian Basin/Concho Valley 10 Tom Green San Angelo 78255 South Texas/Rio Grande Valley 3 Bexar Bexar County 78207 South Texas/Rio Grande Valley 3 Bexar San Antonio 78263 South Texas/Rio Grande Valley 3 Bexar China Grove 78582 South Texas/Rio Grande Valley 6 Starr Rio Grande City 77962 South Texas/Rio Grande Valley 7 Jackson Jackson County 78148 South Texas/Rio Grande Valley 9 Bexar Universal City 78109 South Texas/Rio Grande Valley 9 Bexar Converse 78019 South Texas/Rio Grande Valley 10 Webb Webb County 77007 Southeast Texas 1 Harris Houston 77073 Southeast Texas 1 Harris Westfield 77507 Southeast Texas 3 Harris Harris County 77536 Southeast Texas 4 Harris Deer Park 77094 Southeast Texas 4 Harris Suburban Houston 77630 Southeast Texas 6 Orange Orange 77064 Southeast Texas 9 Harris North Houston 77336 Southeast Texas 9 Harris Huffman 75937 Southeast Texas 10 Nacogdoches Nacogdoches County 79602 Texas Big Country 3 Taylor/Callahan Abilene 76801 Texas Big Country 6 Brown Brownwood 76351 Texas Big Country 7 Archer Archer County 76311 Texas Big Country 9 Wichita Wichita Falls 76367 Texas Big Country 9 Wichita Iowa Park 79530 Texas Big Country 10 Taylor Taylor County 79912 West Texas 1 El Paso El Paso 79934 West Texas 1 El Paso Vinton 79908 West Texas 5 El Paso El Paso County 79849 West Texas 9 El Paso San Elizario 79821 West Texas 9 El Paso Anthony 79831 West Texas 10 Brewster Brewster County DISCOUNTS OFFERED You will be asked to indicate the discounts your company offers to your auto and homeowners policyholders. Following are the discounts which will be listed in the online data collection form. AUTO INSURANCE DISCOUNTS Worksheet Company Name Airbags Anti-lock brakes Daytime lights Driver´s ed Claims Driving record Low mileage Multiple policies Young driver Good grades Multiple vehicles HOMEOWNERS INSURANCE DISCOUNTS Worksheet Company Name Automatic sprinklers Alarm Systems Fire extinguishers Claims Full replacement Impact resistant root Noncombustible roof Property marked Good condition Multiple policies Senior Texas Department of Insurance 2005 Auto and Homeowners Insurance Rate Guides AUTO RATE GUIDE WORKSHEET Central Texas ZIP CODE DRIVER 1 DRIVER 2 DRIVER 3 DRIVER 4 DRIVER 5 DRIVER 6 DRIVER 7 78737 78723 76541 76705 76527 78660 78613 76624 Coastal Texas ZIP CODE DRIVER 1 DRIVER 2 DRIVER 3 DRIVER 4 DRIVER 5 DRIVER 6 DRIVER 7 78575 78405 78343 77627 78336 78592 North Texas ZIP CODE DRIVER 1 DRIVER 2 DRIVER 3 DRIVER 4 DRIVER 5 DRIVER 6 DRIVER 7 75040 75270 75602 75052 75848 76036 75074 75159 76226 Panhandle/Plains ZIP CODE DRIVER 1 DRIVER 2 DRIVER 3 DRIVER 4 DRIVER 5 DRIVER 6 DRIVER 7 79401 79104 79323 79366 79072 79010 Permian Basin/Concho Valley ZIP CODE DRIVER 1 DRIVER 2 DRIVER 3 DRIVER 4 DRIVER 5 DRIVER 6 DRIVER 7 79764 79703 76904 79731 79359 79720 79758 76903 South Texas/Rio Grande Valley ZIP CODE DRIVER 1 DRIVER 2 DRIVER 3 DRIVER 4 DRIVER 5 DRIVER 6 DRIVER 7 78255 78207 78263 78582 77962 78148 78109 78019 Southeast Texas ZIP CODE DRIVER 1 DRIVER 2 DRIVER 3 DRIVER 4 DRIVER 5 DRIVER 6 DRIVER 7 77007 77073 77507 77536 77094 77630 77064 77336 75937 Texas Big Country ZIP CODE DRIVER 1 DRIVER 2 DRIVER 3 DRIVER 4 DRIVER 5 DRIVER 6 DRIVER 7 79602 76801 76351 76311 76367 79530 West Texas ZIP CODE DRIVER 1 DRIVER 2 DRIVER 3 DRIVER 4 DRIVER 5 DRIVER 6 DRIVER 7 79912 79934 79908 79849 79821 79831 Texas Department of Insurance 2005 Auto and Homeowners Insurance Rate Guides HOMEOWNERS RATE GUIDE WORKSHEET Central Texas ZIP PPC CODE Home owner 1 Home owner 2 Home owner 3 Home owner 4 Home owner 5 Home owner 6 Home owner 7 Home owner 8 78737 78723 76541 76705 76527 78660 78613 76624 Coastal Texas ZIP PPC CODE Home owner 1 Home owner 2 Home owner 3 Home owner 4 Home owner 5 Home owner 6 Home owner 7 Home owner 8 78575 78405 78343 77627 78336 78592 North Texas ZIP PPC CODE Home owner 1 Home owner 2 Home owner 3 Home owner 4 Home owner 5 Home owner 6 Home owner 7 Home owner 8 75040 75270 75602 75052 75848 76036 75074 75159 76226 Panhandle/Plains ZIP PPC CODE Home owner 1 Home owner 2 Home owner 3 Home owner 4 Home owner 5 Home owner 6 Home owner 7 Home owner 8 79401 79104 79323 79366 79072 79010 Permian Basin/Concho Valley ZIP PPC CODE Home owner 1 Home owner 2 Home owner 3 Home owner 4 Home owner 5 Home owner 6 Home owner 7 Home owner 8 79764 79703 76904 79731 79359 79720 79758 76903 South Texas/Rio Grande Valley ZIP PPC CODE Home owner 1 Home owner 2 Home owner 3 Home owner 4 Home owner 5 Home owner 6 Home owner 7 Home owner 8 78255 78207 78263 78582 77962 78148 78109 78019 Southeast Texas ZIP PPC CODE Home owner 1 Home owner 2 Home owner 3 Home owner 4 Home owner 5 Home owner 6 Home owner 7 Home owner 8 77007 77073 77507 77536 77094 77630 77064 77336 75937 Texas Big Country ZIP PPC CODE Home owner 1 Home owner 2 Home owner 3 Home owner 4 Home owner 5 Home owner 6 Home owner 7 Home owner 8 79602 76801 76351 76311 76367 79530 West Texas ZIP PPC CODE Home owner 1 Home owner 2 Home owner 3 Home owner 4 Home owner 5 Home owner 6 Home owner 7 Home owner 8 79912 79934 79908 79849 79821 79831