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Washington Administrative Code (Last Updated: November 23, 2016) |
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Title 284. Insurance Commissioner, Office of |
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Chapter 284-24A. Rules that apply to insurers that use credit history for personal insurance underwriting or rating. |
Section 284-24A-050. What types of information must an insurer include in a multivariate analysis?
Latest version.
- (1) A multivariate statistical analysis must evaluate the rating factors listed below (if applicable to the rating plan, and to the extent that data are credible):(a) For homeowners, dwelling property, earthquake, and personal inland marine insurance:(i) Insurance score;(ii) Territory and/or geographic area;(iii) Protection class;(iv) Amount of insurance;(v) Surcharges or discounts based on loss history;(vi) Number of family units; and(vii) Policy form relativity.(b) For private passenger automobile, personal liability and theft, and mechanical breakdown insurance:(i) Insurance score;(ii) Driver class;(iii) Multicar discount;(iv) Territory and/or geographic area;(v) Vehicle use;(vi) Rating factors related to driving record; and(vii) Surcharges or discounts based on loss history.(2) An insurer must provide a general description of the model used to perform the multivariate analysis, including the:(a) Formulas the model uses;(b) Rating factors that are included in the modeling process; and(c) Output from the model, such as indicated rates or rating factors.(3) An insurer must show how the proposed rates or rating factors are related to the multivariate analysis.[Statutory Authority: RCW 48.02.060, 48.18.545, 48.19.035, and 48.30.010. WSR 05-02-026 (Matter No. R 2004-01), § 284-24A-050, filed 12/29/04, effective 7/1/05. Statutory Authority: RCW 48.02.060, 48.18.100, 48.18.120, 48.19.080, 48.19.370, 48.30.010, 49.60.178, 48.18.545(7), 48.19.035(5). WSR 02-19-013 (Matter No. R 2001-11), § 284-24A-050, filed 9/6/02, effective 10/7/02.]
RCW 48.02.060, 48.18.545, 48.19.035, and 48.30.010. WSR 05-02-026 (Matter No. R 2004-01), § 284-24A-050, filed 12/29/04, effective 7/1/05. Statutory Authority: RCW 48.02.060, 48.18.100, 48.18.120, 48.19.080, 48.19.370, 48.30.010, 49.60.178, 48.18.545(7), 48.19.035(5). WSR 02-19-013 (Matter No. R 2001-11), § 284-24A-050, filed 9/6/02, effective 10/7/02.