Ala. Admin. Code r. 482-1-117-.09

Current through Register Vol. 43, No. 1, October 31, 2024

Section 482-1-117-.09 - Filing, Approval And Withdrawal Of Forms

(1) All policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements and riders delivered or issued for delivery in this state, and the schedules of premium rates pertaining thereto, shall be filed with the Commissioner before being used. It is not necessary to file for approval any form of election of coverage contained in or constituting a part of the documents evidencing the credit transaction. In addition to bearing the designations of Group Credit or Individual Credit, the description "Creditor-Debtor Insurance Only" shall also be placed on the face of each such policy or group certificate.

(2) The Commissioner shall within thirty (30) days after the filing of any such policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements and riders, disapprove any such form if it is determined that the benefits provided are not consistent with the provisions of this chapter, or if the form contains provisions which are unjust, unfair, inequitable, misleading, deceptive or encourage misrepresentation of the coverage, or are contrary to any provision of the Insurance Code or of any rule or regulation promulgated thereunder or of the provisions of Section 5-19-20(b)(2), Code of Alabama 1975. If the Commissioner does not disapprove a filing within thirty (30) days, it shall be deemed approved.

(3) If the Commissioner disapproves the form in accordance with Paragraph (2), the Commissioner shall promptly notify the insurer in writing of the disapproval, and it is unlawful for the insurer to issue or use the form. In the notice, the Commissioner shall specify the reasons for disapproval and state that a hearing will be granted upon written request by the insurer.

(4) The Commissioner may withdraw approval of any approved form when the Commissioner would be required to disapprove the form if it were filed at the time of the action of withdrawal. The withdrawal shall be in writing and shall specify the reasons for the withdrawal and the effective date of the withdrawal. Any insurer adversely affected by such withdrawal may, within thirty (30) days after receiving the written notification of the withdrawal, request a hearing to determine whether the withdrawal should be annulled, modified, or confirmed. Unless the Commissioner, in writing in the withdrawal or subsequent thereto, grants an extension, the withdrawal shall, in the absence of a request for a hearing, become effective, prospectively and not retroactively, on the ninety-first (91st) day following the delivery of the notice of withdrawal, and, if request for hearing is filed, on the ninety-first (91st) day following delivery of written notice of the Commissioner's determination. Policies and group certificates issued prior to the effective date of the withdrawal shall continue in force and effect and shall not be affected by the withdrawal.

(5) It is not lawful for the insurer to issue forms or use them after the effective date of such withdrawal.

(6) The Commissioner's approval of any consumer credit insurance form prior to the effective date of this chapter remains valid notwithstanding the provisions of this rule, except to the extent such form is not in compliance with this chapter, in which case the approval shall be deemed withdrawn as of one hundred eighty (180) days following the effective date of this chapter.

(7) Forms filed and approved in accordance with this rule shall be deemed to be in compliance in all respects with the laws of this state.

Author: Reyn Norman, Associate Counsel

Ala. Admin. Code r. 482-1-117-.09

New Rule: October 14, 1999; effective November 1, 1999. Filed for codification in the Alabama Administrative Code by the Department of Insurance on January 17, 2003, pursuant to the Code of Ala. 1975, § 27-7-43.

Statutory Authority:Code of Ala. 1975, § 27-2-17.