(a) This section applies to an insurer that, during an applicable calendar year, wrote any or all of the following types of insurance: commercial fire; commercial allied lines; farm and ranch owners; residential property insurance; commercial multiple peril (nonliability portion); private passenger automobile no fault (personal injury protection (PIP)); other private passenger automobile liability; private passenger automobile physical damage; commercial automobile no fault (PIP); other commercial automobile liability; or commercial automobile physical damage.
(b) On a written request from the department, an insurer must provide the department with a premium surcharge reconciliation report for the year specified by the department in its request.
(c) Reconciliation reports must be provided to the department within 15 working days after the date the request is received by the insurer.
(d) Reconciliation reports must consist of information concerning premiums written and surcharges collected, separately for each applicable surcharge period, including periods in which no premium surcharges were in effect, within the specified year for:
  (1) premium written at policy issuance for policies effective within the year, including anniversary dates within the year on multiyear policies, separately for:
    (A) premium on policies subject to a premium surcharge, including premium attributable to insured property located both in and outside of the catastrophe area; and
    (B) premium on policies not subject to a premium surcharge, including premium attributable to insured property located both in and outside of the catastrophe area;
  (2) premium written due to midterm coverage changes occurring within the specified time period separately for:
    (A) premium increases on policies subject to a premium surcharge, including premium attributable to insured property located both in and outside of the catastrophe area;
    (B) premium decreases on policies subject to a refund or credit of the premium surcharge, including premium attributable to insured property located both in and outside the catastrophe area; and
    (C) premium on policies not subject to a premium surcharge, including premium increases and decreases attributable to insured property located both in and outside of the catastrophe area;
  (3) unearned premiums returned due to midterm cancellations occurring within the specified time period separately for:
    (A) return premium on policies subject to a premium surcharge, including return premium attributable to insured property located both in and outside the catastrophe area; and
    (B) return premium on policies not subject to a premium surcharge, including return premiums attributable to insured property located both in and outside the catastrophe area;
  (4) total premium due to post term premium changes occurring within the specified time period, including adjustments caused by premium or exposure audits, retrospective rating adjustments, or other similar adjustments that occur after policy expiration, separately for:
    (A) premium on policies subject to a premium surcharge, including premium attributable to insured property located both in and outside of the catastrophe area; and
    (B) premium on policies not subject to a premium surcharge, including premium attributable to insured property located both in and outside of the catastrophe area;
  (5) separately for paragraphs (1)(A), (2)(A), and (4)(A) of this subsection, the amounts of premium surcharges collected;
  (6) separately for paragraphs (2)(B), (3)(A), and (4)(A) of this subsection, the amounts of premium surcharges refunded or credited to the policyholder;
  (7) the total amount of premium surcharges claimed as offsets by the insurer under §5.4187 of this division (relating to Offsets); and
  (8) the total amount of written premium for policies written in the State of Texas as reported in the Annual Statement, Exhibit of Premiums and Losses (Statutory Page 14), Texas.
(e) Nothing in this section limits the department's authority to obtain information from insurers under the Insurance Code.
(f) A report provided to the department under this section may be provided to the association.

Source Note: The provisions of this §5.4191 adopted to be effective February 16, 2011, 36 TexReg 784; amended to be effective June 12, 2014, 39 TexReg 4463