Laserfiche WebLink
POLICYHOLDER NOTICE <br />CALIFORNIA WORKERS' COMPENSATION <br />INSURANCE RATING LAWS <br />PursuanttoSection11752.8oftheCaliforniaInsurancepremiumtoreflectyourclaimhistory.Abetterclaim <br />Code,weareprovidingyouwithanexplanationofthehistorygenerallyresultsinalowerexperiencerating <br />California workers' compensation rating laws.modification;moreclaims,ormoreexpensive <br />claims,generallyresultinahigherexperiencerating <br />modification.Theuniformexperienceratingplan, <br />1.Weestablishourownratesforworkers’ <br />whichisdevelopedbytheinsurancerating <br />compensation.Ourrates,ratingplans,andrelated <br />organizationdesignatedbytheinsurance <br />informationarefiledwiththeinsurance <br />commissioner,issubjecttoapprovalbythe <br />commissioner and are open for public inspection. <br />insurance commissioner. <br />2.Theinsurancecommissionercandisapproveour <br />5.Astandardclassificationsystem,developedbythe <br />rates,ratingplans,orclassificationsonlyifheorshe <br />insuranceratingorganizationdesignatedbythe <br />hasdeterminedafterpublichearingthatourrates <br />insurancecommissioner,issubjecttoapprovalby <br />mightjeopardizeourabilitytopayclaimsorcreatea <br />theinsurancecommissioner.Thestandard <br />monopolyinthemarket.Amonopolyisdefinedby <br />classificationsystemisamethodofrecognizingand <br />lawasamarketwhereoneinsurerwrites20%or <br />separatingpolicyholdersintoindustryor <br />moreofthatpartoftheCaliforniaworkers' <br />occupationalgroupsaccordingtotheirsimilarities <br />compensationinsurancethatisnotwrittenbythe <br />and/ordifferences.Wecanadoptandapplythe <br />StateCompensationInsuranceFund.Ifthe <br />standardclassificationsystemordevelopandapply <br />insurancecommissionerdisapprovesourrates, <br />ourownclassificationsystem,providedwecan <br />ratingplans,orclassifications,heorshemayorder <br />reportthepayroll,expenses,andothercostsof <br />anincreaseintheratesapplicabletooutstanding <br />claimsinawaythatisconsistentwiththeuniform <br />policies. <br />statistical plan or the standard classification system. <br />3.Ratingorganizationsmaydeveloppurepremium <br />6.Ourratesandclassificationsmaynotviolatethe <br />ratesthataresubjecttotheinsurance <br />Unruh Civil Rights Act or be unfairly discriminatory. <br />commissioner'sapproval.Apurepremiumrate <br />reflectstheanticipatedcostandexpensesofclaims <br />per$100ofpayrollforagivenclassification.Pure7.Wewillprovideanappealprocessforyoutoappeal <br />premiumratesareadvisoryonly,aswearenotthewaywerateyourinsurancepolicy.Theprocess <br />requiredtousethepurepremiumratesdevelopedbyrequiresustorespondtoyourwrittenappealwithin <br />any rating organization in establishing our own rates.30days.Ifyouarenotsatisfiedwiththeresultof <br />yourappeal,youmayappealourdecisiontothe <br />insurance commissioner. <br />4.Wemustadheretoasingle,uniformexperience <br />ratingplan.Ifyouareeligibleforexperiencerating <br />under the plan, we will berequired toadjust your <br />Form PN 04 99 02 B (Ed. 5-02)Printed in U.S.A.Page1 of2 <br /> <br />