95-02: All Form, Rate, and Rule Filings/Filing Fees/Monthly Billing
From: Jay Angoff, Director
Re: All Form, Rate, and Rule Filings -- Filing Fees -- Monthly Billing
Date: October 6, 1995
Effective January 1, 1996, the filing fees for policy form, rate, and rule filings will not be accepted with the filing submission. After this date, the filing fee amounts will be billed on a monthly basis. Each insurance company making filings during the month will receive one invoice at the end of the month which will detail the filings submitted for the month, and the corresponding filing fee amount for each submission.
These monthly invoices will be generated only for those insurance companies that submit one or more filings during the month. This invoice will be forwarded to ONE ADDRESS ONLY, therefore, it is important that you refer to the attached exhibits (EXHIBIT A & EXHIBIT B) which describe these new procedures in detail and provide an example of the Property & Casualty Section's new Transmittal Document (TD-2).
This new filing fee billing system will become operational on November 1, 1995, on an optional basis. This should help to smooth the transition. We would recommend that you take advantage of this opportunity to learn this new system before it becomes mandatory on January 1, 1996.
If you have any questions, you may contact the Property & Casualty Section at 314-751-3365.
PLEASE REVIEW THE ATTACHED EXHIBITS FOR DETAILED INSTRUCTIONS.
PLEASE NOTE: The Property & Casualty Section's Transmittal Document (TD-2) has been modified significantly to facilitate this new fee billing system. The use of this new TD-2 filing form is mandatory for all filing submissions made on or after January 1, 1996 and for those submission made on an optional basis after November 1, 1995.
The Missouri Department of Insurance (MDI) has decided to modify the current system for collecting the fees associated with filing policy form, rate, and rule changes -- where appropriate -- in an effort to make this process more efficient for both the MDI and the regulated industry. The collection of filing fees is authorized by Administrative Rule 20 CSR 500-8.100.
The Department is initiating this change for the following reasons:
- This should make the processing and payment of filing fees significantly more convenient for both MDI and insurers.
- It should also save a substantial amount of money for both MDI and insurers by eliminating the need to process or write a check for each individual filing.
- Rather than continue the current practice of requiring the fee to be included with the filing submission, the Department will send an invoice to each insurance company for all filings made for each month. Under this system, ALL filings submitted by a particular insurance company during a month will be included on ONE invoice. This invoice will list ALL filings regardless of filing person or company location.
The following are the key provisions of this new system:
- ALL filings for the month will be billed to ONE ADDRESS ONLY. It is important that each insurer provide the Department with one address where billings are to be mailed.
- Your invoice will be mailed to the address listed with your original Certificate of Authority if the insurer fails to provide the Department with a specific billing address.
Each filing must be given a unique fourteen-digit filing ID number to identify individual filings listed on the invoice. This number will allow for recognition by both the insurer and the Department; therefore, it is imperative that the insurer assign each submission with a unique fourteen-digit ID number beginning with the company's 8-digit NAIC number, followed by a 2-digit year identifier, and ending with a 4-digit sequential filing number as per the following example:
[8-digit NAIC #] / [Year] / [Sequence #] = Filing ID #
12345678 95 0001 = 12345678 / 95 / 0001
The 8-digit NAIC # is supply the NAIC number of the filing company; Year, is the year in which the filing is submitted; and the Sequence # is the number assigned to the filing to identify its order or sequence for filings submitted throughout the year. For example, if it is the 5th filing submitted by that company during the year, the last four digits should be (0005).
- Separate invoices will be issued for Life and Health filings and Property and Casualty filings.
- Several changes have been made to the Transmittal Document (TD-2). The new form shall be printed in a single-page format (ONE WHITE COPY ONLY), eliminating the canary and pink copies. You may reproduce or laser print the TD-2 form as your needs require. See EXHIBIT B.
In an effort to make the successful transition to this system, we are allowing a period of time in which compliance will not be mandatory. Beginning on November 1, 1995, insurers may use this new system, on an optional basis. Effective January 1, 1996, compliance win this system will be mandatory.
If you have any questions, please contact the Property and Casualty Section at (314) 751-3365.