The Commissioner of Insurance is required by the Massachusetts General Laws to bill assessments to insurance companies for various purposes. The Division of Insurance excludes from assessment the following entities: Fraternal Organizations, Surplus Lines Carriers, Reinsurers, Accredited Reinsurers, and Risk Retention Groups. Companies in a court ordered receivership are also excluded. Unless otherwise noted, the Division of Insurance shall utilize the premium data reported in the 2010 Annual Statement. Payment is due within 30 days of receipt of the invoice. Assessment Payments should be mailed to:
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State Rating Bureau Medical Malpractice Unit Assessment | |
State Rating Bureau Medical Malpractice Unit AssessmentStatutory Cite: MGL C. 26, §8E Purpose: The commissioner is authorized to make an assessment against medical malpractice insurers licensed, admitted, authorized or approved by the commissioner to pay for the State Rating Bureau's expenses as they relate to medical malpractice insurance. Funds collected under this section may be used to compensate consultants retained by the rating bureau and to defray its reasonable operating expenses and administrative overhead costs. Basis: Such assessment shall be made at a rate sufficient to produce three hundred thousand dollars in the first twelve months, and may be increased annually thereafter by a rate not to exceed the most recent annual consumer price index calculated by the Bureau of Labor Statistics of the United States Department of Labor for the northeast region for all urban consumers. In addition to such assessment, the commissioner of insurance shall also collect, for the persons within the rating bureau who perform the duties relating to medical malpractice liability insurance, an amount equal to the cost of fringe benefits as established by the commissioner of administration pursuant to section five D of chapter twenty-nine to be credited to the General Fund. Said amount shall be expended, without appropriation, to pay for such persons' fringe benefits. If the commissioner shall fail to expend any money collected under this paragraph in any fiscal year, such unexpended amount shall be credited against the assessment to be made in the following year and the assessment in the following year shall be reduced accordingly. Medical malpractice insurer shall mean a medical malpractice insurer as defined in MGL. C. 175, §193U | |
http://www.malegislature.gov/Laws/GeneralLaws/PartI/TitleII/Chapter26/Section8I Statutory Cite: MGL C. 26, §8I 78,811.48 Purpose: The Commissioner of Insurance is authorized to make and collect an assessment against medical malpractice insurers licensed, admitted, authorized or approved by the commissioner to pay for the expenses of the bureau. The funds shall be expended by the Division, in addition to any other funds that may be appropriated, to assist in defraying the general operating expenses of the bureau, and may be used to compensate consultants retained by said bureau. Basis: The commissioner shall allocate the assessment on a fair and reasonable basis among all medical malpractice insurers licensed, admitted, authorized or approved. The assessment shall be made at a rate sufficient to produce five hundred thousand dollars annually. In addition to said amount, the assessment shall also include an amount, to be credited to the General Fund, equal to the total amount of funds estimated by the secretary for administration and finance to be expended from the General Fund for indirect and fringe benefit costs attributable to the personnel costs of the bureau. However, if the commissioner fails to expend for the costs and expenses of the bureau in any fiscal year, any amount unexpended in such fiscal year shall be credited against the assessment to be made in the following year, and the assessment in the following year shall be reduced by such unexpended amount. For the purposes of this section, the term medical malpractice insurer shall mean a medical malpractice insurer as defined in MGL. C. 175, §193U. | |
State Rating Bureau Workers' Compensation Unit AssessmentStatutory Cite: MGL C. 26, §8E Purpose: The Commissioner of Insurance may make an assessment against any corporation, unincorporated association, partnership, or individual licensed as a rating organization pursuant to section 52C of chapter 152 and against any company authorized to write workers' compensation insurance that is not a member of any rating organization licensed pursuant to said section 52C to pay for the rating bureau's expenses as they relate to workers' compensation. Funds collected under this assessment may be used to compensate consultants retained by the rating bureau and to defray its reasonable operating expenses and administrative overhead costs. Basis: The assessment shall be apportioned on the basis of the direct written premium of each insurance company in the most recent calendar year. Such assessment shall be deposited into the Rating Bureau's Workers' Compensation Trust Fund. All monies deposited into the trust fund shall be expended, without appropriation, exclusively by the rating bureau. Such assessment shall be made at a rate sufficient to produce five hundred thousand dollars in nineteen hundred and ninety-two, and may be increased annually thereafter by a rate not to exceed the most recent annual consumer price index calculated by the Bureau of Labor Statistics of the United States Department of Labor for the northeast region for all urban consumers. In addition to such assessment, the commissioner of insurance shall also collect an amount equal to indirect costs as determined by the commissioner for administration and for the persons within the rating bureau, for the persons within the rating bureau who perform the duties relating to workers' compensation insurance, an amount equal to the cost of fringe benefits as established by the commissioner of administration to be credited to the General Fund. The assessment shall be apportioned on the basis of the direct written premium of each insurance company in the most recent calendar year. | |
State Rating Bureau AssessmentStatutory Cite: MGL C. 26, §8E Purpose: The Commissioner of Insurance shall assess liability insurance companies doing business in the Commonwealth on a fair and reasonable basis for all costs of administration and operation of the State Rating Bureau. Basis: The State Rating Bureau assessment is based on the direct written premium written by licensed property and casualty companies, as reported on all lines of the Annual Statement state page, except lines 13 through 15.7. The liability insurance companies obligated to pay are defined as companies that issue policies for the purposes listed below: | |
Statutory Cite: General Appropriations Act, Chapter 139 of the Acts of 2012, (line item 7006-0020) Purpose: 100 percent of the amount appropriated to the Division of Insurance in the General Appropriations Act of 2011, plus associated fringe benefit costs shall be assessed upon the institutions that the Division currently regulates except for licensed business entity producers. Basis: This assessment is against entities regulated by the Division of Insurance, whether or not they reported direct written premium in the previous year. The assessment is a flat dollar calculation and not a proportional calculation based on premium. | |
M.G.L. c. 26, §7A http://www.malegislature.gov/Laws/GeneralLaws/PartI/TitleII/Chapter26/Section7A General Appropriations Act, Chapter 139 of the Acts of 2012 (line item 7006-0029) http://www.malegislature.gov/Laws/SessionLaws/Acts/2012/Chapter139 FY13 Amount: $901,610.78 Anticipated Billing Date: January 2013 Purpose: To assist in defraying the general operating expenses of the Health Care Access Bureau, and to compensate consultants retained by the bureau. | |
Statutory Cite: General Appropriations Act, Chapter 139 of the Acts of 2012 (line item 8324-0000) Purpose: The costs to be paid shall be for the following purposes: (1) the operation of state fire training facilities and curriculum for firefighting personnel; (2) implementing sections 26G1/2 and 34A to 34D, inclusive, of chapter 148, and chapter 304 of the acts of 2004; (3) student awareness of fire education programs; (4) the firefighting equipment grant program; and (5) capital improvements to state fire service facilities, including reimbursing the General Fund for debt service on bonds issued to pay for these capital improvements. Basis: Sums for the estimated expenses for the purposes specified in subsection shall be paid to the commonwealth by insurance companies writing fire, homeowners multiple peril or commercial multiple peril policies on property situated in the commonwealth within 30 days after notice from the commissioner of such estimated expenses. The commissioner shall apportion such estimated charges among all such companies and shall assess them for the same on a fair and reasonable basis. Additionally the line item language further reads that “provided further, that notwithstanding any general or special law to the contrary, 100 per cent of the amount appropriated in this item for hazardous materials emergency response shall be assessed upon insurance companies writing commercial multiple peril, non-liability portion, policies on property situated in the commonwealth and commercial auto liability policies as referenced in line 5.1 and line 19.4, respectively, in the most recent annual statement on file with the commissioner of insurance; ” Outside Section 67 of the FY2009 General Appropriations Act (GAA), amended the statutory provisions for the assessment. Therefore, in FY2013, $3,939,022.33 is the estimated expense for this assessment area.
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Statutory Cite: MGL C.139, acts of 2012 http://www.malegislature.gov/Laws/GeneralLaws/PartI/TitleII/Chapter139 Acts of 2012
Purpose: The board may expend for expenses and for legal, investigative, clerical and other assistance such sums as may be appropriated therefor; provided, however, that all costs of administration and operation of said board shall be borne by insurance companies doing motor vehicle insurance business within the commonwealth. Basis: The commissioner of insurance shall apportion estimated costs among all such companies and shall assess them for the same on a fair and reasonable basis. Said estimated costs shall be paid to the commissioner within thirty days after the date of the notice from the commissioner of such estimated costs. The commissioner shall subsequently apportion actual costs among all such companies and shall make assessment adjustments for any variation between estimated and actual costs on a fair and reasonable basis. Such estimated and actual costs shall include an amount equal to indirect costs as determined by the commissioner of administration and finance and shall also include the cost of fringe benefits as established by the commissioner of administration and finance. | |
Special Maintenance (Life) AssessmentStatutory Cite: MGL C. 26, §8J Purpose: The Commissioner of Insurance shall make a special division of insurance maintenance assessment in each fiscal year against each life insurer licensed to do business in the commonwealth. Basis: The assessment is made proportionately against each life insurer based on the percentage of so much of the premium as is reported on line twenty-two, columns three, four, and five of schedule T of the life insurer's most recent annual statement as compared to the total premium reported in line twenty-two, columns three, four and five of schedule T. | |
Attorney General's Office - Automobile Fraud AssessmentStatutory Cite: Section 3 of Chapter 399 of the Acts of 1991, as amended by section 210 of Chapter 38 of the Acts of 1995, as amended by section 4 of Chapter 279 of the Acts of 2002; Chapter 61 of the Acts of 2007 (line item 0810-0338) http://www.malegislature.gov/Laws/SessionLaws/Acts/2012/Chapter139
Purpose: The assessment shall be used by the Attorney General for the purpose of the investigation and prosecution of automobile insurance fraud matters. Basis: The commissioner of insurance shall make an annual assessment to be paid by members of the Automobile Insurers Bureau and the companies authorized to write private or commercial automobile insurance that are not members of the Bureau. | |
Attorney General's Office - Workers' Compensation Fraud AssessmentStatutory Cite: Section 3 of Chapter 399 of the Acts of 1991, as amended by section 210 of Chapter 38 of the Acts of 1995, as amended by section 4 of Chapter 279 of the Acts of 2002; Chapter 139 of the Acts of 2012 (Line item 0810-0399) http://www.malegislature.gov/Laws/SessionLaws/Acts/2011/Chapter68 Anticipated Billing Date: March 2013 Purpose: The assessment shall be used by the Attorney General for the purpose of the investigation and prosecution of workers' compensation insurance fraud matters. Basis: The commissioner of insurance shall make an annual assessment to be paid by members of the Automobile Insurers Bureau and the companies authorized to write workers' compensation insurance that are not members of the Bureau. | |
Statutory Cite: MGL C. 26, §8F http://www.malegislature.gov/Laws/GeneralLaws/PartI/TitleII/Chapter26/Section8F http://www.malegislature.gov/Laws/SessionLaws/Acts/2012/Chapter 139(line item 0810-0201)
Purpose: For the costs incurred in administrative or judicial proceedings on insurance as authorized by section 11F of chapter 12 of the General Laws; provided, that funds made available in this item may be used to supplement the automobile insurance fraud unit and the workers' compensation fraud unit of the office of the attorney general provided further, that notwithstanding any general or special law to the contrary, the amount assessed for these costs shall be equal to the amount expended from this item and the associated fringe benefits costs for personnel paid from this item; and provided further, that funds may be expended for costs associated with health insurance rate hearings Basis: Said assessment shall be such amounts as shall be determined and certified annually by the commissioner of insurance as sufficient to produce one million one hundred fifty-one thousand five hundred and forty-two dollars in revenue to the commonwealth, plus the total amount of funds estimated by the secretary of administration and finance to be expended from the general fund for indirect and fringe benefit costs, including but not limited to group life and health insurance, retirement benefits, paid vacations and holidays, and sick leave, attributable to personnel costs of the attorney general's office related to the purposes for which this assessment is collected, and shall be assessed as determined by the commissioner against each private passenger motor vehicle liability policy issued in the commonwealth. NOTE: Line item language in the General Appropriation Acts of 2012 sets the assessment for 0810-0201 at $1,502,039.00 plus indirect and fringe costs less any unexpended balance from FY12.
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Please contact Ilene Bither at Ilene.Bither@state.ma.us with billing questions. Complementary Content© 2013 Commonwealth of Massachusetts. |
