[Code of Federal Regulations]
[Title 49, Volume 5]
[Revised as of October 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 49CFR544.6]

[Page 123-125]
 
                        TITLE 49--TRANSPORTATION
 
                            OF TRANSPORTATION
 
PART 544--INSURER REPORTING REQUIREMENTS--Table of Contents
 
Sec. 544.6  Contents of insurer reports.

    (a)(1) In the case of insurers that issue motor vehicle insurance 
policies, provide the information specified in paragraphs (b) through 
(g) of this section for each State in which the insurer, including any 
subsidiary, did business during the reporting period if the insurer is 
listed in appendix A, or for each State listed after the insurer's name 
if the insurer is listed in appendix B.
    (2) In the case of a motor vehicle rental or leasing company listed 
in appendix C, provide the information specified in paragraphs (c), 
(d)(2)(iv), and (g) of this section for each vehicle type listed in 
paragraph (b) of this section, for each State in which the company, 
including any licensee, franchisee, or subsidiary, did business during 
the reporting period. The information for each listed company shall 
include all relevant information from any licensee, franchisee, or 
subsidiary.
    (b) For each of the following vehicle types, provide the information 
specified in paragraphs (c) through (g) of this section for all vehicles 
of that type insured by the insurer during the reporting period--
    (1) Passenger cars.
    (2) Multipurpose passenger vehicles.
    (3) Light trucks.
    (4) Heavy trucks.
    (5) Motorcycles.
    (c)(1) List the total number of vehicle thefts for vehicles 
manufactured in the 1983 or subsequent model years, subdivided into 
model year, model, make, and line, for this type of motor vehicle.

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    (2) List the total number of recoveries for vehicles manufactured in 
the 1983 or subsequent model years, subdivided into model year, model, 
make, and line, for this type of motor vehicle. Beginning with the 
report due not later than October 25, 1987, for each of these subdivided 
number of recoveries, indicate how many were:
    (i) Recoveries intact;
    (ii) Recoveries-in-whole; and
    (iii) Recoveries-in-part.
    (3) Explain how the theft and recovery data set forth in response to 
paragraphs (c) (1) and (2) of this section were obtained by the insurer, 
and the steps taken by the insurer to ensure that these data are 
accurate and timely.
    (4) Explain the use made by the insurer of the information set forth 
in response to paragraphs (c) (1) and (2) of this section, including the 
extent to which such information is reported to national, public, and 
private entities (e.g., the Federal Bureau of Investigation and State 
and local police). If such reports are made, state the frequency and 
timing of the reporting.
    (d)(1) Provide the rating characteristics used by the insurer to 
establish the premiums it charges for comprehensive insurance coverage 
for this type of motor vehicle and the premium penalties for vehicles of 
this type considered by the insurer as more likely to be stolen. This 
requirement may be satisfied by furnishing the pertinent sections of the 
insurer's rate manual(s).
    (2) Provide the loss data used by the insurer to establish the 
premiums it charges for comprehensive insurance coverage for this type 
of motor vehicle and the premium penalties it charges for vehicles of 
this type it considers as more likely to be stolen. This requirement may 
be satisfied by providing the following:
    (i) The total number of comprehensive insurance claims paid by the 
insurer during the reporting period;
    (ii)(A) The total number of claims listed in (d)(2)(i) of this 
section that arose from a theft;
    (B) The insurer's best estimate of the percentage of the number 
listed in paragraph (d)(2)(ii)(A) of this section that arose from 
vehicle thefts, and an explanation of the basis for the estimate;
    (iii) The total amount (in dollars) paid out by the insurer during 
the reporting period in response to all the comprehensive claims filed 
by its policyholders;
    (iv)(A) In the case of insurers listed in appendix A or B, provide--
    (1) The total amount (in dollars) listed under paragraph (d)(2)(iii) 
of this section paid out by the insurer as a result of theft; and
    (2) The insurer's best estimate of the percentage of the dollar 
total listed in paragraph (d)(2)(iv)(A)(1) of this section that arose 
from vehicle thefts, and an explanation of the basis for the estimate;
    (B) In the case of other insurers subject to this part, the net 
losses suffered by the insurer (in dollars) as a result of vehicle 
theft;
    (v)(A) The total amount (in dollars) recovered by the insurer from 
the sale of recovered vehicles, major parts recovered not attached to 
the vehicle superstructure, or other recovered parts, after the insurer 
had made a payment listed under paragraph (d)(2)(iv) of this section.
    (B) The insurer's best estimate of the percentage of the dollar 
total listed in paragraph (d)(2)(v)(A) of this section that arose from 
vehicle thefts, and an explanation of the basis for the estimate;
    (vi) An identification of the vehicles for which the insurer charges 
comprehensive insurance premium penalties, because the insurer considers 
such vehicles as more likely to be stolen;
    (vii) The total number of comprehensive insurance claims paid by the 
insurer for each vehicle risk grouping identified in paragraph 
(d)(2)(vi) of this section during the reporting period, and the total 
amount (in dollars) paid out by the insurer in response to each of the 
listed claims totals; and
    (viii) The maximum premium adjustments (as a percentage of the basic 
comprehensive insurance premium) made for each vehicle risk grouping 
identified in paragraph (d)(2)(vi) of this section during the reporting 
period, as a result of the insurer's determination

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that such vehicles are more likely to be stolen.
    (3) Identify any other rating rules and plans used by the insurer to 
establish its comprehensive insurance premiums and premium penalties for 
motor vehicles it considers as more likely to be stolen, and explain how 
such rating rules and plans are used to establish the premiums and 
premium penalties.
    (4) Explain the basis for the insurer's comprehensive insurance 
premiums and the premium penalties charged for motor vehicles it 
considers as more likely to be stolen. This requirement may be satisfied 
by providing the pertinent sections of materials filed with State 
insurance regulatory officials and clearly indicating which information 
in those sections is being submitted in compliance with this paragraph.
    (e) List each action taken by the insurer to reduce the premiums it 
charges for comprehensive insurance coverage because of a reduction in 
thefts of this type of motor vehicle. For each action:
    (1) State the conditions that must be satisfied to receive such a 
reduction (e.g., installation of antitheft device, marking of vehicle in 
accordance with theft prevention standard, etc.);
    (2) State the number of the insurer's policyholders and the total 
number of vehicles insured by the insurer that received this reduction; 
and
    (3) State the difference in average comprehensive insurance premiums 
for those policyholders that received this reduction versus those 
policyholders that did not receive the reduction.
    (f) In the case of an insurer that offered a reduction in its 
comprehensive insurance premiums for vehicles equipped with antitheft 
devices, provide:
    (1) The specific criteria used by the insurer to determine whether a 
vehicle is eligible for the reduction (original equipment antitheft 
device, passive antitheft device, etc.);
    (2) The total number of vehicle thefts for vehicles manufactured in 
the 1983 or subsequent model years that received a reduction under each 
listed criterion; and
    (3) The total number of recoveries of vehicles manufactured in the 
1983 or subsequent model years that received a reduction under each 
listed criterion. Beginning with the report due not later than October 
25, 1987, indicate how many of the total number of recoveries were--
    (i) Recoveries intact;
    (ii) Recoveries-in-whole; and
    (iii) Recoveries-in-part.
    (g)(1) List each action taken by the insurer to assist in deterring 
or reducing thefts of motor vehicles. For each action, describe the 
action and explain why the insurer believed it would be effective in 
deterring or reducing motor vehicle thefts.
    (2)(i) State the insurer's policy regarding the use of used parts to 
effect repairs paid for by the insurer on vehicles it insures. Indicate 
whether the insurer required, promoted, allowed, or forbade the use of 
used parts in those repairs.
    (ii) In the case of insurers requiring, promoting, or allowing the 
use of used parts to make repairs paid for by the insurer on vehicles it 
insures, indicate the precautions taken by or on behalf of the insurer 
to identify the origin of those used parts.

[52 FR 76, Jan. 2, 1987, as amended at 55 FR 25610, June 22, 1990]