Commissioner's Order No. 02-0954 issued on September 13, 2002, adopted amendments to the Texas Statistical Plan for Residential Risks (Stat Plan) as proposed by the staff of the Texas Department of Insurance. The amendments include additional options in the Policy Forms field, two additional new fields, edits to existing fields, and miscellaneous other amendments.
The Commissioner adopted proposed amendments to add options to the Policy Forms field of the Stat Plan. The new options for this field are:
A FP-7955 TX (State Farm Homeowners Policy Form).
B FP-7954 TX (State Farm Renters Policy Form).
C FP-7956 TX (State Farm Condo Policy Form).
D HO-3RTX (USAA Homeowners policy Form).
E HO-6RTX (USAA Condo Policy Form).
F HO 00 02 (ISO Homeowners 2-Broad Form).
G HO 00 03 (ISO Homeowners 3-Special Form).
H HO 00 04 (ISO Homeowners 4-Contents Broad Form).
I HO 00 05 (ISO Homeowners 5-Comprehensive Form).
J HO 00 06 (ISO Homeowners 6-Unit Owners Form).
K HO 00 08 (ISO Homeowners 8-Modified Coverage Form).
Additional adopted amendments add two new fields: one field is to report the actual dollar amount of the deductible associated with a particular policy and the other is to indicate whether wind coverage is included. These new fields are available for both the recently approved policy forms mentioned above as well as for existing policy forms. The current deductible field will remain in place for companies that are not able to make system changes necessary to report the actual dollar amount of a deductible.
Another amendment edits existing fields to allow for reporting buy-back endorsements pertaining to foundation, water, and other specified coverage and for reporting the amount of coverage purchased.
Finally, adopted amendments to the Stat Plan eliminate the Protection Key Rate field, delete invalid Deductible Type Codes, correct Type of Loss Codes, and expand the types of submission media to include electronic media types that are currently available.
A commenter inquired about the reporting of "flex" fields relating to the use of approved policy forms that do not have a promulgated benchmark rate. In response the flex field instructions are amended to include the following: "If there is not a promulgated benchmark rate, code 100".
The adopted changes are necessary in order to allow the reporting of experience relating to the use of recently approved residential policy forms. All amendments and associated changes to the Stat Plan reporting requirements are effective for 4th quarter 2002 experience reporting. Please replace the current same-numbered pages with the attached revised pages in the Stat Plan. Changes are noted with strike-through or underline marks as applicable. A complete copy of the Stat Plan can be downloaded at www.tdi.state.tx.us.
Questions relating to this bulletin should be directed to the undersigned at 512-475-3026.
Special Projects Director
Property & Casualty (MC 105-5S)