The Authority to Assess Member Insurers separately for each account (WC, Auto, and All Other) those amounts necessary to pay the obligation of the Association as defined within the Act is found under§ 58-48-35. Powers and duties of the Association. (a) (3)
The authority to refund to the member insurers their proportionate share of assessments made when the assets exceed liabilities is found under § 58-48-35. Powers and duties of the Association. (b) (6)
Key components pertaining to assessments from the statutory cite are:
- Assess member insurers separately for each account amounts necessary to pay the obligation of the Association ……
- Assessments of each member insurer shall be in the proportion that the net direct written premiums of the member insurer for the preceding calendar year on the kinds of insurance in the account bears to the net direct written premiums of all member insurers for the preceding calendar year
- Each member insurer shall be notified of the assessment not later than 30 days before it is due.
- No member insurer may be assessed in any year on any account an amount greater than two percent (2%) of that member insurer's net direct written premiums for the preceding calendar year on the kinds of insurance in the account
Assessment & Refund Information