Company Rating Structures

[kbell]

Do you know of any states that will allow multiple rating programs for personal automobile within the same company? In other words are there any states that allow a carrier to implement a change to their personal auto program and run it simultaneously as the old program within the same company? In most cases I see that the carriers begin the new program in a new writing company but have been told that some states allow carriers to do this within the same writing company.

[gregcw]

I think that this is what got Progressive in trouble with the FEDS when they had their Classic, Advantage and Ultra programs with different price levels AND commission levels at the agents discretion. It's the only area that I remember seeing the Feds do anything that even remotely resembled regulation of insurance. That change has cost me several thousands of dollars in commissions over the years!

The only program that I am aware of that kind of sounds like that, may be Farmers that has mutliple discount programs within Farmers. They have their Farmers Standard program, Non-Smokers discount and 30/60 discounts. Their true different rating TIER has historically has been their Mid-Century company and now Bristol West. Every other company that I am aware of has formed a new company with different underwriting for each company.