Section 230-RICR-20-05-8.4 - Allocation of Plan Expenses and LossesA. R.I. Gen. Laws § 27-9-4 provides in relevant part that, in making of rates, past and prospective loss experience and past and prospective expenses shall be given due consideration. This includes the amounts assessed by the Plan to provide the Plan's operating expenses and to cover any net losses sustained by the Plan in the issuance of assigned risk insurance as authorized by this Part. B. Assessments by the Plan for operating expenses or to cover any net losses, paid by Insurers, are considered as an expense of doing business in Rhode Island, and such expense may be considered in the development of rates for voluntary business.C. The Plan of Operation will identify how the Plan will apportion the expenses of operation and losses of assigned risk policies among licensed Insurers writing in the Rhode Island market. All Insurers must pay their apportionment to continue to issue automobile insurance in Rhode Island.230 R.I. Code R. 230-RICR-20-05-8.4
Adopted effective 1/1/2019
Amended effective 2/3/2022