11 NCAC 16 .0207             COMMON BLOCK

(a)  As used in this Rule, "Common Block" means a grouping of similar policy form types for which the pooling of experience is actuarially justified and for which the rate revisions are based upon the common experience. A Common Block may include both open and closed policy form types.

(b)  If a company establishes a Common Block for compliance with G.S. 58-51-95(h), with respect to all future rate revision filings, the company shall request a common uniform rate revision to apply to all policy forms in the Common Block and shall not request an apportionment by form. If policy forms are grouped into a Common Block, they shall remain grouped for future rate filings. Actuarially justified apportionments of the common rate increase, due to differences in benefits between forms, shall be allowed.

(c)  If a company establishes a Common Block for compliance with G.S. 58-51-95(h), the Closed Block portion of policy forms that make up the Common Block shall comply with G.S. 58-3-275.

History Note:        Authority G.S. 58‑2‑40; 58-3-275; 58‑51‑95; 58‑63‑15(7)b;

Eff. July 1, 2006;

Readopted Eff. October 1, 2018.