New York State Seal
STATE OF NEW YORK
INSURANCE DEPARTMENT
25 BEAVER STREET
NEW YORK, NEW YORK 10004

The office of General Counsel issued the following informal opinion on August 14, 2001, representing the position of the New York State Insurance Department.

Re: Medical and Professional Liability Insurance Rates

Question Presented

Is there an administrative process under the New York Insurance Law permitting an insured covered under medical or professional liability insurance to appeal to the Superintendent the new rates filed or implemented by the insurer?

Conclusion

No. There is no procedure under the New York Insurance Law that permits an insured to appeal to the Superintendent the new rates filed or implemented by the insurer. However, pursuant to N.Y. Ins. Law § 2319 (McKinney 2000), there is a procedure for any person aggrieved by the application of an insurer's rating system to be heard upon written request for review of the manner in which such rating system has been applied by an insurer or rate service organization to that person in connection with the insurance afforded or offered.

Facts

Specific facts were not provided.

Analysis

Depending on the type of insurance, different procedures are involved in the regulation of rates. Some rates are subject to prior approval, some are subject to file and use, some are subject to flex-rating, and some are exempt from filing requirements. See generally N.Y. Insurance Law Articles 23 and 63 (McKinney 2000). There is no provision under the New York Insurance Law allowing an insured to appeal to the Superintendent the new rates filed or implemented by the insurer.

However, pursuant to N.Y. Ins. Law § 2319 (McKinney 2000), there is a procedure for any person aggrieved by the application of an insurer's rating system to be heard upon written request for review of the manner in which such rating system has been applied by an insurer or rate service organization to that person in connection with the insurance afforded or offered.

For further information you may contact Senior Attorney Robert Freedman at the New York City Office.