This rulemaking implements legislation enacted in the 2008 special session, which authorizes the Director of the Department of Consumer and Business Services, in the event the Governor issues a declaration of emergency, to issue an order addressing matters related to insurance policies issued in this state.

This rulemaking amends the Insurance Division’s rules governing annual audited financial reports of authorized insurers to incorporate recent changes to the NAIC model regulations, upon which the rules are based. Changes include a requirement that each insurer designate an audit committee, a prohibition against having an audit performed by an accountant who provides certain nonaudit services and a requirement that large insurers submit an internal control report. This rulemaking also corrects the rules governing domestic insurer proxies by repealing two redundant rules.

This rulemaking implements 2007 legislation that requires rate filings for certain health benefit plans to be available for public inspection once the filings are submitted to the Director. The requirement applies to health benefit plans for small employers and to portability and individual health benefit plans. The rulemaking provides for public inspection of the filing, states the manner and format for filing the rating information and exemptions from the filing requirement and requires a carrier to include with a rate filing an explanatory statement about the filing. This rulemaking applies to filings made on and after May 11, 2008.