Rules of Operation

Current Version

Amendments


 

Rule Ammendments Summary


Rule Amendments Approved during Calendar Year 2018


March 29, 2018

Rule 2

Rule 2 has been amended to incorporate usage of the nerve center test to determine Principal Place of Business.
Refer to Bulletins 1047 and 1048.

May 15, 2018

Rule 11

Rule 11.C.2. has been amended to provide guidance, in the context of the current Commercial Automobile and Taxi/Limousine Servicing Carrier programs, relative to the reimbursement of specific extraordinary expenses incurred by a Servicing Carrier in performing its duties as a Servicing Carrier. The approved amendments emphasize that a Servicing Carrier seeking reimbursement must demonstrate that the expense is specific, necessary and extraordinary, and that the expense is significantly in excess of the normal additional expense expected to be incurred in performing its obligations as a Servicing Carrier such that the expense could not have been contemplated in its acceptance of the terms of the request for proposal.
Refer to Bulletins 1049 and 1051.

July 24, 2018

Rule 6

Rule 6 has been amended to restrict coverage for residual market policies written on the Business Auto Coverage Form to vehicles specifically described in the policy declarations. That is, only policies written with Coverage Auto Designation Symbols 7, 8, or 9 will be cedeable to CAR and policies written with Symbol 1 will no longer be cedeable to CAR.
Refer to Bulletins 1052 and 1056.

July 24, 2018

Rule 14

The Exclusive Representative Producer (ERP) eligibility requirements in Rule 14 have been amended to increase an ERP's requisite work experience to a minimum of 12 months with a licensed producer or Member, with the applicant's efforts primarily devoted to the Massachusetts commercial motor vehicle insurance market. Additionally, Rule 14 has been amended to indicate that it will be an ERP's ongoing responsibility to submit the appropriate certification form(s) with all new business applications for insurance.
Refer to Bulletins 1053 and 1057.
 
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