Texas to Add New Fee to Insurance Form Filings Starting in September

There will be an additional $20.50 fee on insurance form filings beginning Sept. 1 in Texas, the state insurance department has reported.

The Texas Department of Insurance said fee will support a technology project that uses artificial intelligence and increased automation to improve and speed review of forms. One fee covers all forms on a filing.

“Insurers file tens of thousands of policies for our review every year, and the legacy system is outdated. We needed to modernize,” Texas Insurance Commissioner Kent Sullivan said in a media release. “Cutting edge technology will allow us to complete reviews faster and help our staff focus on the issues that most need their attention and analysis.”

The initial phase of the project allows a comparison of each newly filed property/casualty form with every policy and endorsement approved by TDI since April 2014. It also checks that key information on a form is complete and consistent with other information in the filing.

Companies filed more than 26,000 property/casualty forms with the agency last year.

The initial phase of the project allows a comparison of each newly filed property/casualty form with every policy and endorsement approved by TDI since April 2014. It also checks that key information on a form is complete and consistent with other information in the filing.

In September, life/health policy forms will be added to the project. Soon after, TDI staff will begin using the technology’s artificial intelligence, or machine learning, capabilities to search polices for insurance concepts that require questions or objections during review. It also will look for legally required language and highlight differences.

Source: TDI

Topics Texas Property Casualty