Some states have been busy this year adopting new and revised requirements impacting insurers' underwriting processes. From credit scoring to hurricane deductibles to record retention, and other areas in between, these requirements need to be evaluated for potential operational impact.

Insurers writing automobile insurance in New Hampshire have had to modify their record retention schedules to accommodate the July 1 revision for automobile rating and underwriting documentation. Regulation Ins 1404.01 now requires that insurers retain all refusal to write, cancellation, and nonrenewal records, as well as all underwriting and rating documentation used to develop premiums, for five years. This is an additional year beyond the previous four-year retention period.

Tennessee's bulletin issued June 29 addresses the newly enacted Public Chapter No. 878 regarding policies issued to exempt commercial risk policyholders. Effective on July 1, 2012, commercial risk insurance policies issued to an exempt commercial risk policyholders are exempt from the pre-existing rate filing requirements. That recent bulletin also served to provide a self-certification form required to be annually submitted (at the policy origination date and/or at renewal) to the Division by a commercial risk policyholder to qualify as an “exempt commercial risk policyholder.” Applications or policies issued to an exempt commercial risk policyholder must contain disclaimer language, which is also addressed in this bulletin.