Hearing Scheduled for January 9, 2008

In accordance with the authority granted to the Commissioner of Insurance under Chapter 175E, Section 7 of the Massachusetts General Laws, the Division of Insurance will hold a hearing at 10:00 a.m. on January 9, 2008 at its offices at One South Station, Boston, MA, at the request of the Attorney General, regarding the private passenger motor vehicle rate filing of the Commerce Insurance Company ("Commerce") dated November 19, 2007. This hearing will be conducted day-to-day until the hearing is complete.

The purpose of this hearing is to afford the Parties, who are the Attorney General and Commerce, an opportunity to provide testimony and documents relating to Commerce's proposed rates so that the Commissioner may determine whether such rates are excessive or unfairly discriminatory in violation of Chapters 175A and 175E of the Massachusetts General Laws. Specifically, the Commissioner will determine whether the following provisions of Commerce's rate filing, as challenges by the Attorney General, are excessive: (1) the profit provision; (2) the expense provision; (3) the acquisition provision; and (4) the loss provision. The Commissioner also will determine whether Commerce's risk rating factor is unfairly discriminatory and whether any of the rating components used by Commerce violates the rating prohibitions identified in 211 C.M.R. 79.00, et seq.

The operation of Commerce's rate filing currently has not been suspended pending this hearing.

A pre-hearing conference will take place on December 19, 2007, at 10:00 a.m. at the Division. The Division will issue a separate notice for this conference in which the issues to be addressed at the conference are identified.

This proceeding is designated as Docket R2007-04 and shall be conducted pursuant to 211 CMR 79.00, et seq. All papers relating to this proceeding shall refer to Docket No. R2007-04 and shall be addressed to the Division of Insurance, Docket Clerk, Hearings and Appeals, One South Station, Boston, MA 02110-2208.

Dated: December 12, 2007

Nonnie S. Burnes
Commissioner of Insurance