Section 3.11. Multiple peril insurance contracts.

 

(1)   Purpose and scope.

(a) This rule implements and interprets s. Ins 6.70 and chs. 625 and 631 , Stats., by enumerating the minimum requirements for the writing of multiple peril insurance contracts. Nothing herein contained is intended to prohibit insurers or groups of insurers from justifying rates or premiums in the manner provided for by the rating laws.

(b) This rule shall apply to multiple peril insurance contracts permitted by s. Ins 6.70 , and which include a type or types of coverage or a kind or kinds of insurance subject to ch. 625 , Stats.

(c) Types of coverage or kinds of insurance which are not subject to ch. 625 , Stats. , or to the filing requirement provisions thereof, may not be included in multiple peril insurance contracts otherwise subject to said sections unless such entire multiple peril insurance contract is filed as being subject to this rule and said sections and the filing requirements thereof.

(2)   Definition. Multiple peril insurance contracts are contracts combining 2 or more types of coverage or kinds of insurance included in any one or more than one paragraph of s. Ins 6.75 . Such contracts may be on the divisible or single (indivisible) rate or premium basis.

(3)   Rate making.

(a) When underwriting experience is not available to support a filing, the information set forth in s. 625.12 , Stats., may be furnished as supporting information.

(b) Premiums or rates may be modified for demonstrated, measurable, or anticipated variation from normal of the loss or expense experience resulting from the combination or types of coverage or kinds of insurance or other factors of the multiple peril insurance contract. Multiple peril contracts may be filed or revised on the basis of sufficient underwriting experience developed by the contract or such experience may be used in support of such filing.

(c) In the event that more than one rating organization cooperates in a single (indivisible) rate or premium multiple peril insurance filing, one of such cooperating rating organizations shall be designated as the sponsoring organization for such filing by each of the other cooperating rating organizations and evidence of such designation included with the filing.

(4)   Standard policy. The requirements of s. Ins 6.76 shall apply to any multiple peril insurance contract which includes insurance against loss or damage by fire.

Cr. Register, July, 1958, No. 31 , eff. 8-1-58; am. (3) (a), Register, November, 1960, No. 59 , eff. 12-1-60; emerg. am. (1), (2), (3) (a) and (4), eff. 6-22-76; am. (1), (2), (3) (a) and (4), Register, September, 1976, No. 249 , eff. 10-1-76; am. (1) (a) and (b), (2) and (4), Register, March, 1979, No. 279 , eff. 4-1-79.