{"data":{"id":"us-nc/n.c.-gen.-stat.-58-41-50","jurisdiction":"us-nc","citation":"N.C. Gen. Stat. § 58-41-50","heading":"Policy form and rate filings; punitive damages; data required to support filings.","body":"(a)\tWith the exception of inland marine insurance that is not written according to manual rates and rating plans, all policy forms must be filed with and either approved by the Commissioner or 90 days have elapsed and he has not disapproved the form before they may be used in this State. With respect to liability insurance policy forms, an insurer may exclude or limit coverage for punitive damages awarded against its insured.\n(b)\tWith the exception of inland marine insurance that is not written according to manual rates and rating plans, all rates or prospective loss cost multipliers by licensed fire and casualty companies or their designated statistical organizations must be filed with the Commissioner at least 60 days before they may be used in this State. Any filing may become effective on a date earlier than that specified in this subsection upon agreement between the Commissioner and the filer.\n(c)\tA filing that does not include the statistical and rating information required by subsections (d) and (e) of this section is not a proper filing, and will be returned to the filing insurer or organization. The filer may then remedy the defects in the filing. An otherwise defective filing thus remedied shall be deemed to be a proper filing, except that all periods of time specified in this Article will run from the date the Commissioner receives additional or amended documents necessary to remedy all material defects in the filing.\n(d)\tThe following information must be included in each policy form, rule, and rate filing:\n(1)\tA detailed list of the rates, rules, and policy forms filed, accompanied by a list of those superseded; and\n(2)\tA detailed description, properly referenced, of all changes in policy forms, rules, and rates, including the effect of each change.\n(e)\tEach policy form, rule, and rate filing that is based on statistical data must be accompanied by the following properly identified information:\n(1)\tNorth Carolina earned premiums at the actual and current rate level; losses and loss adjustment expenses, each on paid and incurred bases without trending or other modification for the experience period, including the loss ratio anticipated at the time the rates were promulgated for the experience period;\n(2)\tCredibility factor development and application;\n(3)\tLoss development factor derivation and application on both paid and incurred bases and in both numbers and dollars of claims;\n(4)\tTrending factor development and application;\n(5)\tChanges in premium base resulting from rating exposure trends;\n(6)\tLimiting factor development and application;\n(7)\tOverhead expense development and application of commission and brokerage, other acquisition expenses, general expenses, taxes, licenses, and fees;\n(8)\tPercent rate change;\n(9)\tFinal proposed rates;\n(10)\tInvestment earnings, consisting of investment income and realized plus unrealized capital gains, from loss, loss expense, and unearned premium reserves;\n(11)\tIdentification of applicable statistical plans and programs and a certification of compliance with them;\n(12)\tInvestment earnings on capital and surplus;\n(13)\tLevel of capital and surplus needed to support premium writings without endangering the solvency of the company or companies involved; and\n(14)\tSuch other information that may be required by any rule adopted by the Commissioner.\nProvided, however, that no filing may be returned or disapproved on the grounds that such information has not been furnished if the filer has not been required to collect such information pursuant to statistical plans or programs or to report such information to statistical agents, except where the Commissioner has given reasonable prior notice to the filer to begin collecting and reporting such information or except when the information is readily available to the filer.\n(f)\tIt is unlawful for an insurer to charge or collect, or attempt to charge or collect, any premium for insurance except in accordance with filings made with the Commissioner under this section and Article 40 of this Chapter.\n(g)\tAn insurer subject to this Article may develop and use an individual form or rate as a result of the uniqueness of a particular risk. The form or rate shall be developed, filed, and used in accordance with rules adopted by the Commissioner. (1985 (Reg. Sess., 1986), c. 1027, s. 14; 1987, c. 441, ss. 7, 9, 10; 1991, c. 644, s. 4; 1995, c. 193, s. 37; 2005-210, s. 20.)","path":["Chapter 58. Insurance.","Article 41. Insurance Regulatory Reform Act."],"source_url":"https://www.ncleg.gov/EnactedLegislation/Statutes/HTML/BySection/Chapter_58/GS_58-41-50.html","current_through":"S.L. 2026-30","vintage":"","retrieved_at":"2026-08-27T18:06:53Z","sha256":"28fbd8e4fc6fbd588d2be629e56b4075ed95d52f570ebc9000dda4af843e17e7","source_id":"us-nc","stale":false,"prev":"us-nc/n.c.-gen.-stat.-58-41-45","next":"us-nc/n.c.-gen.-stat.-58-41-55"},"notice":"GroundRules: Original legal text. Not legal advice."}