HB 22-1357

House Bill 22-1357, which has been signed into law, requires insurance companies to get approval from regulators before they can increase rates for homeowner's and auto insurance. This means that if an insurance company wants to raise prices, it must first file a request with the state’s insurance commissioner who will review it over 60 days. During this period, there might be public hearings where people can voice their opinions. If the commissioner doesn’t act within those 60 days, the rate increase automatically goes into effect unless a hearing is deemed necessary by the commissioner. This law aims to protect homeowners and auto insurance customers from sudden and unexpected rate hikes.

Official Summary

The bill reclassifies private passenger motor vehicle insurance and homeowner's insurance as type I kinds of insurance for rate filing increases, thereby requiring insurers to file and obtain prior approval of requests for rate increases before implementing increased rates for those lines of insurance. The rate filings remain on file for 60 days and must not be approved or disapproved, and must not become effective, during the 60-day period except after a public hearing. If the commissioner of insurance fails to make a determination on the rate filing within the 60-day period, the rate filing is deemed approved as of 12:01 a.m. on the sixty-first day, unless during the 60-day period the commissioner determines that a public hearing is in the public interest.(Note: This summary applies to this bill as introduced.)