RS 22:1093 Disclosure of rating practices and renewability provisions - Louisiana Statutes

§1093.  Disclosure of rating practices and renewability provisions

A.  Each carrier shall make reasonable disclosure in solicitation and sales materials provided to small employers of the following:

(1)  The extent to which premium rates for a specific small employer are established or adjusted due to the claim experience, health status or duration of coverage of the employees or dependents of the small employer.

(2)  The provisions concerning the carrier's right to change premium rates and the factors, including case characteristics, which affect changes in premium rates.

(3)  A description of the class of business in which the small employer is or will be included, including the applicable grouping of plans.

(4)  The provisions relating to renewability of coverage.

B.  Each carrier shall provide  a reasonable explanation of any rate increase no less than forty-five days prior to the effective date of such increase.  Such explanation shall indicate the contributing factors resulting in an increased premium, which may include but not be limited to experience, medical cost, and demographic factors.

Acts 1991, No. 777, §2, eff. Sept. 30, 1992; Acts 2001, No. 272, §1, eff. Jan. 1, 2002; Redesignated from R.S. 22:228.4 by Acts 2008, No. 415, §1, eff. Jan. 1, 2009.