By the Division of Insurance
TO: All Insurers Writing Credit Life and Credit Accident and Health Insurance in Massachusetts that is sold by Motor Vehicle Dealers
FROM: Daniel R. Judson, Commissioner of Insurance
DATE: November 29, 2016
RE: Deviated Case Rates for Credit Life and Credit Accident and Health Insurance Sold by Motor Vehicle Dealers Effective Between January 1, 2017 and December 31, 2019
Pursuant to M.G.L. c. 175, s. 117C (b) (c) (4) (iii), the Commissioner shall review the combined experience of all insurers writing credit life and credit accident and health insurance in Massachusetts for the motor vehicle dealer class of business and compute the deviated case rates for credit life and credit accident and health insurance sold through motor vehicle dealers, for policies issued or renewed between January 1, 2017 through December 31, 2019.
The deviated case rates for January 1, 2017 through December 31, 2019 for the motor vehicle dealer class of business are as follows:
- Credit Life Insurance - The rates per one thousand dollars of insurance in force per month shall be forty five cents for single life insurance and one hundred and sixty percent of said single life insurance rate for joint life insurance, or seventy two nine cents.
- Credit Accident and Health Insurance - The single premium rates for each one hundred dollars of initial indebtedness shall be forty two cents for each of the first four years of the term of coverage, thirty cents per annum for each of the next three years of the term of coverage and fifteen cents per annum for each year thereafter.
Any questions concerning this Bulletin should be directed to Chester Lewandowski, at email@example.com