AL HB93

Rate filings for private personal automobile insurance with overall statewide increases or decreases of no more than 15 percent in the aggregate may take effect on the date filed, rather than requiring prior Commissioner approval.

Individual insureds cannot be subjected to rate increases exceeding 25 percent at renewal, though this cap does not apply to changes from symbol updates, policy changes, driver age classification changes, or other unaltered risk factors.

Filings are presumed compliant with state law unless the Insurance Commissioner determines within 30 days that the filing is unreasonably high, inadequate, or unfairly discriminatory; orders issued after 30 days are prospective only.

Insurers may make only one expedited rate filing per individual line of insurance within any 12-month period unless combined filings do not exceed the 15 percent limitation, and all rate increases must be supported by actuarial indications.

Rate increases must be applied at policy renewal with at least 30 days' advance written notice to the insured; payment of premium constitutes consent to the rate change.