§ 58-36-1. North Carolina Rate Bureau created.
Article 36.
North Carolina RateBureau.
§ 58‑36‑1. NorthCarolina Rate Bureau created.
There is hereby created aBureau to be known as the "North Carolina Rate Bureau," with thefollowing objects and functions:
(1) To assume thefunctions formerly performed by the North Carolina Fire Insurance RatingBureau, the North Carolina Automobile Rate Administrative Office, and theCompensation Rating and Inspection Bureau of North Carolina, with regard to thepromulgation of rates, for insurance against loss to residential real propertywith not more than four housing units located in this State and any contentsthereof and valuable interest therein and other insurance coverages written inconnection with the sale of such property insurance; except as provided in G.S.58‑36‑3(a)(6), for theft of and physical damage to nonfleet privatepassenger motor vehicles; for liability insurance for such motor vehicles,automobile medical payments insurance, uninsured motorists coverage and otherinsurance coverages written in connection with the sale of such liabilityinsurance; and for workers' compensation and employers' liability insurancewritten in connection therewith except for insurance excluded from the Bureau'sjurisdiction in G.S. 58‑36‑1(3).
(2) The Bureau shall providereasonable means to be approved by the Commissioner whereby any person affectedby a rate or loss costs made by it may be heard in person or by the person'sauthorized representative before the governing committee or other properexecutive of the Bureau.
(3) The Bureau shallpromulgate and propose rates for insurance against loss to residential realproperty with not more than four housing units located in this State and anycontents thereof or valuable interest therein and other insurance coverages writtenin connection with the sale of such property insurance; for insurance againsttheft of or physical damage to nonfleet private passenger motor vehicles; forliability insurance for such motor vehicles, automobile medical paymentsinsurance, uninsured and underinsured motorists coverage and other insurancecoverages written in connection with the sale of such liability insurance; and,as provided in G.S. 58‑36‑100, for loss costs and residual marketrate filings for workers' compensation and employers' liability insurancewritten in connection therewith. This subdivision does not apply to motorvehicles operated under certificates of authority from the UtilitiesCommission, the Interstate Commerce Commission, or their successor agencies,where insurance or other proof of financial responsibility is required by lawor by regulations specifically applicable to such certificated vehicles.
(4) Agreements may bemade between or among members with respect to equitable apportionment amongthem of insurance which may be afforded applicants who are in good faithentitled to but who are unable to procure such insurance through ordinarymethods. The members may agree between or among themselves on the use ofreasonable rate modifications for such insurance, agreements, and ratemodifications to be subject to the approval of the Commissioner.
(5) a. Itis the duty of every insurer that writes workers' compensation insurance inthis State and is a member of the Bureau, as defined in this section and G.S.58‑36‑5 to insure and accept any workers' compensation insurancerisk that has been certified to be "difficult to place" by any fireand casualty insurance agent who is licensed in this State. When any such riskis called to the attention of the Bureau by receipt of an application with anestimated or deposit premium payment and it appears that the risk is in goodfaith entitled to such coverage, the Bureau will bind coverage for 30 days andwill designate a member who must issue a standard workers' compensation policy ofinsurance that contains the usual and customary provisions found in thosepolicies. Multiple coordinated policies, as defined by the Bureau and approvedby the Commissioner, may be used for the issuance of coverage under thissubdivision for risks involved in employee leasing arrangements. Coverage willbe bound at 12:01 A.M. on the first day following the postmark time and date onthe envelope in which the application is mailed including the estimated annualor deposit premium, or the expiration of existing coverage, whichever is later.If there should be no postmark, coverage will be effective 12:01 A.M. on thedate of receipt by the Bureau unless a later date is requested. Thoseapplications hand delivered to the Bureau will be effective as of 12:01 A.M. ofthe date following receipt by the Bureau unless a later date is requested. TheBureau will make and adopt such rules as are necessary to carry this sectioninto effect, subject to final approval of the Commissioner. As a prerequisiteto the transaction of workers' compensation insurance in this State, everymember of the Bureau that writes such insurance must file with the Bureauwritten authority permitting the Bureau to act in its behalf, as provided inthis section, and an agreement to accept risks that are assigned to the memberby the Bureau, as provided in this section.
b. The Bureau shallmaintain a compendium of employers refused voluntary coverage, which shall bemade available by the Bureau to all insurers, licensed agents, and self‑insureds'administrators doing business in this State. It shall be stored and indexed toallow access to information by industry, primary classifications of employees,geography, experience modification, and in any other manner the Bureaudetermines is commercially useful to facilitate voluntary coverage of listedemployers. The Bureau shall be immune from civil liability for erroneousinformation released by the Bureau pursuant to this section, provided that theBureau acted in good faith and without malicious or willful intent to harm inreleasing the erroneous information.
c. Failure or refusalby any assigned employer risk to make full disclosure to the Bureau, servicingcarrier, or insurer writing a policy of information regarding the employer'strue ownership, change of ownership, operations, or payroll, or any otherfailure to disclose fully any records pertaining to workers' compensationinsurance shall be sufficient grounds for the termination of the policy of thatemployer.
(6) The Bureau shallmaintain and furnish to the Commissioner on an annual basis the statistics onearnings derived by member companies from the investment of unearned premium,loss, and loss expense reserves on nonfleet private passenger motor vehicleinsurance policies written in this State. Whenever the Bureau proposes ratesunder this Article, it shall prepare a separate exhibit for the experienceyears in question showing the combined earnings realized from the investment ofsuch reserves on policies written in this State. The amount of earnings may inan equitable manner be included in the ratemaking formula to arrive at a fairand equitable rate. The Commissioner may require further information as to suchearnings and may require calculations of the Bureau bearing on such earnings.
(7) Member companiesshall furnish, upon request of any person carrying nonfleet private passengermotor vehicle insurance in the State upon whose risk a rate has beenpromulgated, information as to rating, including the method of calculation. (1977, c. 828, s. 6; 1981, c.888, ss. 1‑3; 1983, c. 416, s. 5; 1985 (Reg. Sess., 1986), c. 1027, s.5.1; 1991, c. 339, s. 1; 1993, c. 409, s. 27; 1993 (Reg. Sess., 1994), c. 679,s. 8.5; 1995, c. 505, s. 1; c. 517, s. 18; 1999‑132, ss. 3.1, 3.2; 1999‑219,s. 11; 2001‑236, s. 2; 2001‑389, ss. 1, 2; 2001‑423, s. 3.)