CIRCULAR LETTER 2851 – JUNE 21, 2000

 

TO: MEMBERS OF THE BUREAU

Minutes of the Wisconsin Rating Committee meeting held in the premises of the Cherry Hills Lodge and Golf Course, 5905 Dunn Road, Sturgeon Bay, WI 54235 on Thursday, June 15, 2000. The meeting was called to order at 9:00 A.M. with the following members present:

ORGANIZATION REPRESENTATIVE

Fireman’s Fund Insurance Company, Chair Tom Vanderbusch

Continental Casualty Insurance Company Pat Williams

Employers Insurance of Wausau A Mutual Company Steve Ginsburg

Employers Mutual Casualty Company Bob Cascioli

Jim Pousha

Sentry Insurance A Mutual Company Bill Swarthout

Society Insurance A Mutual Company Rick Levin

United Wisconsin Insurance Company Emil Pfenninger

Wisconsin Compensation Rating Bureau Ralph Herrmann

Richard Colvin

Christine Siekierski

Nancy Kierzek

Donna Knepper

Members Absent or Excused:

Travelers Insurance Company

Wisconsin Manufacturers & Commerce

Also Present:

Fire & Casualty Insurance Company Michael Smith

Liberty Mutual Insurance Company Charlie Echols

Michael Best & Friedrich Paul Riegel

National Council on Compensation Insurance Larry Hochstetler

Secura Insurance Company Gary Gudex

State of Wisconsin

Office of the Commissioner of Insurance Jo LeDuc

Tri-State Insurance of Company of MN Gregg Murray

West Bend Mutual Insurance Company Pam Allison

CIRCULAR LETTER 2851 – JUNE 21, 2000 – PAGE 2

Also Present for Part of Meeting:

Wisconsin Compensation Rating Bureau Lou Hannes

 

The Chairperson read the following opening statement before convening the meeting:

"This Committee meeting has been called to discuss the items of mutual interest and concern to the members of the Wisconsin Compensation Rating Bureau. In accordance with both Federal and Wisconsin State Anti-trust Laws, this Committee is prohibited from any discussion or action which constitutes any form of boycott, coercion or intimidation."

UNFINISHED BUSINESS

ITEM NUMBER 3748 CONTRACTOR PREMIUM ADJUSTMENT PROGRAM

Vice President Colvin provided an update on activity the under the Contractor Premium Adjustment Program. The Program is being reviewed as a decision whether to continue or amend the program must be made by the end of 2000.

ITEM NUMBER 3783 NCCI PROPOSAL ITEM B-1351 WORKERS

COMPENSATION PREMIUM ALGORITHM

The Committee was advised that the Bureau is reviewing needed changes to the proposed algorithm. This item is continued.

ITEM NUMBER 3769 LARGE RISK ALTERNATIVE RATING OPTION/MULTIPLE

LINES

With all business complete, this item is removed from the agenda.

ITEM NUMBER 3798 NCCI PROPOSAL ITEM B-1361 BASIC MANUAL UPDATES

Each member of the Committee was furnished with proposed amendments to this filing creating a Wisconsin Exception to Rule IV. D. 10. Farm Operations and Rule VII Premium Discount. Also included was a list of industry classification code symbols assigned to the Wisconsin Special Classifications. This item is being filed with the Office of the Commissioner of Insurance, to be effective upon approval.

ITEM NUMBER 3799 CORPORATE OFFICER NON-ELECTION OF COVERAGE

AND ITS EFFECT ON PREMIUM COLLECTION FOR

CLAIMS ARISING UNDER THE JONES ACT AND

LONGSHORE AND HARBOR ACT

Legal Counsel, Paul Riegel, reported that he has requested that this item be added to the Advisory Council’s agenda. This item is continued.

CIRCULAR LETTER 2851 – JUNE 21, 2000 – PAGE 3

ITEM NUMBER 3800 WISCONSIN NOTICE OF TERMINATION

With all business complete, this item is removed from the agenda.

ITEM NUMBER 3801 NCCI PROPOSAL ITEM B-1362 – CODE 5551 – ROOFING

AMENDED PHRASEOLOGY

With all business complete, this item is removed from the agenda.

ITEM NUMBER 3802 NCCI PROPOSAL ITEM B-1363 – CODES 7403, 7405, 7423,

AND 7431 – AIR CARRIER CLASSIFICATIONS –

AMENDED PHRASEOLOGIES

With all business complete, this item is removed from the agenda.

ITEM NUMBER 3803 NCCI PROPOSAL ITEM B-1364 BASIC MANUAL RULE

IV.D.4.: ASSIGNMENT OF ADDITIONAL BASIC

CLASSIFICATIONS

With all business complete, this item is removed from the agenda.

ITEM NUMBER 3804 NCCI PROPOSAL ITEM R-1365 – 2000 UPDATE TO

RETROSPECTIVE RATING PLAN PARAMETERS

With all business complete, this item is removed from the agenda.

ITEM NUMBER 3805 NCCI PROPOSAL ITEM B-1366 REVISIONS TO

ADMIRALTY AND FEDERAL EMPLOYERS’ LIABILITY

ACT CLASSIFICATIONS

This item is being reviewed by the Office of the Commissioner of Insurance.

ITEM NUMBER 3806 AMENDMENT TO MANUAL RULE VI.F.

With all business complete, this item is removed from the agenda.

NEW BUSINESS

ITEM NUMBER 3770 INSTALLMENT FEES

The Bureau will meet with the Office of the Commissioner of Insurance and the NCCI to develop a proposed filing for the Committee’s review at the next Rating Committee meeting.

CIRCULAR LETTER 2851 – JUNE 21, 2000 – PAGE 4

ITEM NUMBER 3807 JULY 1, 2000 RATE REVISION

This item is continued with no action taken.

ITEM NUMBER 3808 WISCONSIN LAW ENDORSEMENT

The Committee reviewed the proposed change to the Wisconsin Law Endorsement and requested that it be further amended to clarify the renewal language. This item is continued.

ITEM NUMBER 3809 PROPOSED ELIMINATION OF CODES 9054 AND 9056

The Committee adopted the proposal to eliminate classification codes 9054 and 9056 and reassign the exposure to code 9052 for filing with the Office of the Commissioner of Insurance. This filing is proposed to be effective July 1, 2001.

ITEM NUMBER 3810 PROPOSED ELIMINATION OF CODE 4417

The Committee reviewed the proposed elimination of Code 4417. This change affects one employer in Wisconsin. The Bureau was directed to contact the employer for their input. This item is continued.

Donna Knepper

Executive Secretary