If two agents promotion code victoria's secret use the same admitted carrier and the same filed rate, but one offers a service worth 1,000 and the other offers a cash back rebate of 1,000, is the filing still valid in either case?
Loss of competition is an issue, as is using an E O term, invariable practice.
Insurance laws are designed to insure insurance companies set actuarially sound rates, thereby minimizing using loss-leader prices to capture a market and in turn protect the public from carrier insolvency.
First, if some agents home decorators coupon code 10 off 50 can afford rebated services, then do companies need to file rates including the cost of these rebates or should companies reduce rates for all?
The National buy designer jeans wholesale Association of Insurance Commissioners promulgated the model "Act Relating to Unfair Methods of Competition and Unfair and Deceptive Acts and Practices in the Business of Insurance" (Model Act).The definition of what constitutes rebating varies from state to state.However, since the last hard market, the true value and the quality of these services have been increasing and improving.If some consumers get a lower price through rebates, this means discrimination, not of an accepted underwriting nature, arguably occurs.You are currently not signed.
Insolvency would not necessarily be the result (but it is not excluded either if alternative markets are involved, which in itself is an entirely different issue, at times, with vertical integration).
Although a lower California court upheld the validity of anti-rebating statutes, the decision was rendered moot with the passage of Proposition 103 in 1988.
The Office of General Counsel has issued the following informal opinion on March 10, 2000, representing the position of the New York State Insurance Department.
Whether the rebate is cash, gifts or services makes a key difference in many peoples and some regulators minds.However, the rebating practice of returning part of an agent's commission to a prospective insured is prohibited in all states with the exception of Florida and California.The industry might want to get in front of this rebating issue before the regulators again throw the baby out with the bathwater, and definitely before new entrants with millions, and even hundreds of millions, to burn put a lot of traditional agencies out.Yes, an attorney violates the Insurance Law when she waives legal fees for attorney work in exchange for a clients life insurance business and receives a commission from the sale of such life insurance in lieu of a commission.Does the policyholder violate the Insurance Law when he accepts an inducement on the purchase of a life insurance policy that is not specified in the policy?California, Florida and, michigan have regulations which specifically allow insurance rebating.