38.2-1913 - Operation and control of rate service organizations.

§ 38.2-1913. Operation and control of rate service organizations.

A. No rate service organization shall provide any service relating to therates of any insurance subject to this chapter, and no insurer shall use theservice of a rate service organization for such purposes unless the rateservice organization has obtained a license under § 38.2-1914.

B. No rate service organization shall refuse to supply any services for whichit is licensed in this Commonwealth to any insurer authorized to do businessin this Commonwealth and offering to pay the fair and usual compensation forthe services.

C. Any rate service organization subject to this chapter may provide for theexamination of policies, daily reports, binders, renewal certificates,endorsements, other evidences of insurance, or evidences of the cancellationof insurance, and may make reasonable rules governing their submission andthe correction of any errors or omissions in them. This provision applies tothe classes of insurance for which the rate service organization is licensedpursuant to § 38.2-1914.

D. A rate service organization may develop a uniform policy and uniform (i)statistical plans, (ii) experience rating plans, and (iii) classificationsystems for use by its members in the provision of insurance defined in §38.2-119 and the reporting of the experience of this line of insurance. Eachrate service organization may also develop manual rules for the recording andreporting of experience data of members pursuant to its uniform plans andsystems. Such uniform plans, systems, and rules shall be filed with theCommission by the rate service organization and be approved prior to theiruse by members of the rate service organization.

E. No insurer shall be required to become a member or subscriber to any rateservice organization.

(1973, c. 504, § 38.1-279.41; 1986, c. 562; 1990, c. 596; 1993, c. 985.)