BUREAU FILING No. 1105
RESIDUAL MARKET RATE AND VOLUNTARY MARKET LOSS COST FILING
PROPOSED EFFECTIVE DECEMBER 1, 2011

On August 12, 2011 the Bureau submitted a residual market rate and voluntary market loss cost filing to the Delaware Insurance Department. That filing, designated as Bureau filing No. 1105, proposed revisions to residual market rates, voluntary market loss costs, related rating values and Manual rules effective December 1, 2011.

A complete listing of the proposals and supporting information comprising the Bureau’s December 1, 2011 loss cost filing appears below. Clicking on each listed item will allow you to review and/or download the filing materials as needed.

Copies of the filing material may be printed once the item(s) in question have been accessed. (Note: In total the filing is quite voluminous. Before printing be sure that you understand the magnitude of the file(s) you will be printing and how your system and equipment will respond to and/or be affected by a print command.)

You must have an installed copy of the Adobe Acrobat Reader in order to view this material. Download the Free Acrobat Reader.

	Filing Letter
	Record of meeting - Actuarial and Classification & Rating Committees, August 8, 2011
	Summary of Material for Modification of Experience ("Brown Book")
	Class Book
	Exhibit 1 - Limited Losses	Table I - Summary of Financial Call Data
	Exhibit 1a	Excess Loss Factor and Policy Year Loss Limitations
	Exhibit 1b	Reported Losses in Excess of Loss Limitations
	Exhibit 2 - Limited Losses	Paid and Incurred Loss Development and Trend
	Exhibit 2a - Limited Losses	Graphs of Selected Loss Development Projections
	Exhibit 3 - Limited Losses	Measures of Goodness of Fit in Trend Calculations Using Severity Ratios
	Exhibit 5	Graphs of Ultimate and Trended Experience Components
	Exhibit 6 - Limited Losses	Retrospective Test of Trend Projections for Severity Ratios
	Exhibit 7	Closure Rates, Payout Ratios and Average Claim Costs
	Exhibit 8	Expense Study
	Exhibit 9	Internal Rate of Return Model
	Exhibit 10	Effect of 7/1/12 Benefit Change
	Exhibit 11	Expense Loading
	Exhibit 12	Indicated Change in Residual Market Rate and Voluntary Market Loss Costs
	Exhibit 13	Experience Rating Plan Performance
	Exhibit 14	DCCPAP
	Exhibit 15	Rate and Loss Cost Formulae
	Exhibit 16	Small Deductible Program
	Exhibit 17a	Empirical Delaware Loss Distribution
	Exhibit 17b	Excess Loss (Pure Premium) Factors
	Exhibit 17c	Excess Loss (Pure Premium) Factors with Adjustment for ALAE
	Exhibit 17d	Excess Loss Premium Factors
	Exhibit 17e	Excess Loss Premium Factors with Adjustment for ALAE
	Exhibit 19	Delaware Insurance Plan
	Exhibit 20	Review of Experience Rating Plan Parameters
	Exhibit 21	Table B
	Exhibit 22a	Table II - Unit Statistical Data
	Exhibit 22b	Table III - Unit Statistical Data
	Exhibit 22c	Table IV - Unit Statistical Data
	Exhibit 23	Claim Frequencies
	Exhibit 24	Retrospective Development Factors
	Exhibit 25	Tax Multiplier
	Exhibit 27	Manual Rates, Loss Costs and Expected Loss Rates
	Exhibit 28	Index and Supporting Classification Exhibits
	Exhibit 29	Delaware Workplace Safety Program & Merit Rating Program
	Exhibit 30	Distribution of Residual Market Rate Changes
	Exhibit 31a	Summary of Indicated and Proposed Residual Market Rates by Class Code
	Exhibit 31b	Summary of Indicated and Proposed Residual Market Rates by Percentage Change
	Exhibit 41	Manual Rates, Loss Costs and Expected Loss Rates (including 5 percent reductions required by Court of Chancery Decision).
	Exhibit 43	5 Percent reductions to voluntary market loss costs, residual market rates and residual market minimum premiums reflecting Court of Chancery Decision.
	Exhibit 45	Voluntary market reductions for selected exemption levels applied to the 5 percent annual reductions.
	Exhibit 46	Percentage differences between December 1, 2010 rates and loss costs including and excluding effects of Court of Chancery Decision.
	Exhibit 47	Percentage changes from current rates and loss costs by classification. Both the current and proposed rating values reflect the Court ordered reductions.
	Exhibit 1 - Unlimited Losses	Table I - Summary of Financial Call Data
	Exhibit 2 - Unlimited Losses	Paid and Incurred Loss Development and Trend
	Exhibit 2a - Unlimited Losses	Graphs of Selected Loss Development Projections
	Exhibit 3 - Unlimited Losses	Measures of Goodness of Fit in Trend Calculations Using Severity Ratios
	Exhibit 6 - Unlimited Losses	Retrospective Test of Trend Projections for Severity Ratios
	Manual Language: Delaware Construction Classification Premium Adjustment Program - Calendar Quarters for Qualifying Wages
	Manual Language Pertaining to Auditable Payrolls
	Completed Copies of the Following Property & Casualty Filing Forms:                    Filing Fee Form                    State Specific Requirements                    Property & Casualty Transmittal Document                    Property & Casualty Rate / Rule Filing Schedule
Filing No. 1105 - Amendment of October 28, 2011
	Filing Letter
	Summary of Material for Modification of Experience ("Brown Book")
	Class book
	Exhibit 12	Indicated Change in Residual Market Rate and Voluntary Market Loss Costs.
	Exhibit 20	Review of Experience Rating Plan Parameters.
	Exhibit 27	Manual Rates, Loss Costs and Expected Loss Rates Note: See October 28, 2011 Amendment, Exhibit 41 for Final Rating Values.
	Exhibit 28	Index and Supporting Classification Exhibits.
	Exhibit 30	Distribution of Residual Market Rate Changes.
	Exhibit 31a	Summary of Indicated and Proposed Residual Market Rates by Class Code.
	Exhibit 31b	Summary of Indicated and Proposed Residual Market Rates by Percentage Change.
	Exhibit 41	Manual Rates, Loss Costs and Expected Loss Rates (including 5 percent reductions required by Court of Chancery Decision).
	Exhibit 46	Percentage changes in rates and loss costs between December 1, 2011 Compromise Rating Values and December 1, 2011 final Rating Values Reflecting Court Ordered Reductions.
	Exhibit 47	Percentage changes from current rates and loss costs by classification. Both the current and proposed rating values reflect the Court ordered reductions.
	Completed Copies of the Following Property & Casualty Filing Forms:                    Filing Fee Form                    State Specific Requirements                    Property & Casualty Transmittal Document                    Property & Casualty Rate / Rule Filing Schedule

| Top |