Records of Meeting -4- February 15, 2001
Commercial Automobile Committee
RECORDS OF MEETING
COMMERCIAL AUTOMOBILE COMMITTEE
Records of Meeting Instructions
Records of Meeting Sample
A meeting of the Commercial Automobile Committee was held at the offices of Commonwealth Automobile Reinsurers, 100 Summer Street, Boston on
THURSDAY, FEBRUARY 15, 2001 AT 10:00 A.M.
Members present -
Mr. David J. Lane – Chairman
NetCare Services, Inc.
Ms. Kristen M. Bessette Liberty Mutual Group
Ms. Mary L. Corbett The Commerce Insurance Company
Mr. Michael A. DeConti Travelers Property Casualty Corporation
Mr. John W. Delano Pilgrim Insurance Company
Ms. Sheila M. Doherty Doherty Insurance Agency, Inc.
Mr. Michael L. Faron Norfolk and Dedham Group
Mr. Dennis L. Gerardi Fredericks & Gerardi Insurance Agency, Inc.
Mr. Leo E. Nathan The Hanover Insurance Company
Ms. Annmarie Shuster CGU
Mr. Mark R. Silva Benson, Young & Downs Ins. Agency
Commonwealth Automobile Reinsurers present -
Mr. Joseph Maher Vice President, General Counsel & Secretary
Mr. Michael Trovato Executive Vice-President & Treasurer
Commonwealth Automobile Reinsurers (continued)
Ms. Sue Basilesco Director of Financial Services
Ms. Pam Wallace Director of Data Quality Services
Ms. Natalie Hubley Sr. Manager of Actuarial & Statistical Services
Mr. Timothy Galligan Actuarial/Statistical Supervisor
Ms.Lynn Jablonski Actuarial/Statistical Analyst
Ms.Michelle Frits Actuarial/Statistical Analyst
Mr. John DePhillips Actuarial/Statistical Analyst
Ms. Cheryl Kopas Underwriting Analyst
Also present –
Mr. Charles Branstrom CGU
Mr. Kausar Bhatti Empire Insurance Company
Mr. Michael Cranney Safety Insurance Company
Mr. Robert Ireland Safety Insurance Company
Mr. John Kelly Commerce Insurance Company
Ms. Cassandra McGill AIB
Ms. Judith Beck-Rochelle CNA Insurance
Mr. Barry Tagen Pilgrim Insurance Company
Mr. Lew Verash CNA Insurance
Mr. Larry White New England Livery Association
Mr. Lawrence Willwerth New England Livery Association
Commercial Automobile Committee Chairman David Lane called the meeting to order at 10:02 a.m.
CAC
01.01 Records of Previous Meetings
A motion was made by Ms. Doherty and seconded by Mr. Silva to approve the records of the Commercial Automobile Committee meeting of October 17, 2000, as written. The motion passed unanimously.
CAC
01.02 2000 CAR Commercial Rate Filing
Ms. Hubley summarized the key issues raised by the State Rating Bureau during negotiations of the 2000 CAR Commercial Rate Filing, which included trend factors, cession rate adjustment factors, increased limit factors, and profit (see Attached CAC 01.02, Exhibit 1).
Ms. Hubley also reported on the status of the 2000 Commercial Experience Rating Plan, which was approved by the Division of Insurance on February 14, 2001. Ms. Hubley informed the Committee that the filing reflected the full transition to the discount ratios underlying Table C, Adjusted Expected Loss Ratios, and the second year of the three-year phase-in revising the methodology used for calculating
CAC
01.02 2000 CAR Commercial Rate Filing (continued)
the expected loss ratio for taxi risks. She advised the Experience Rating Plan would be available on CAR’s website next week.
CAC
01.03 2001 CAR Commercial Rate Filing
Ms. Wallace outlined the schedule for the 2001 CAR Commercial Rate Filing (see Attached 01.03, Exhibit 1). In addition, it was noted that the Committee may have to meet in mid-March to discuss issues relating to the Public Class Plan.
Next, on a motion made by Mr. Nathan and seconded by Ms. Doherty, the Committee unanimously voted to go into Executive Session in order to discuss litigation strategies related to the key issues anticipated for the 2001 CAR Commercial Rate Filing.
The Commercial Automobile Committee reconvened in open session immediately following the Executive Session.
CAC
01.04 Taxi/Limousine Program Request for Proposal Process
Mr. Delano, as an employee of Pilgrim Insurance Company, recused himself from the discussion of this agenda item.
Ms. Wallace informed the Committee that Pilgrim and Empire Insurance Company’s agreements to service ceded taxi/limousine business will expire on December 31, 2001. Accordingly, the Committee will need to either recommend a two-year extension of the agreements or initiate the Request for Proposal process. Ms. Wallace went on to say that the taxi/limousine program compliance reports will be supplied to Committee members before the upcoming April meeting to assist in the Committee’s recommendations. In addition, representatives of the servicing carriers will be prepared to give status reports at the April meeting.
CAC
01.05 Commercial Automobile Subcommittee
The Chairman appointed the Members of the Commercial Automobile Subcommittee, which is being formed to address potential modifications to the commercial excluded classifications, cession limitation, and utilization formula. Mr. DeConti (Travelers) was appointed Chairman of the Subcommittee, which will consist of four other members: Ms. Corbett (Commerce), Mr. Faron (Norfolk & Dedham), Mr. Morris (Arbella), and Mr. Silva (Benson, Young & Down Ins. Agency).
There being no further business, a motion was made by Mr. Silva and duly seconded by Mr. Doherty to adjourn the meeting.
The motion passed on a unanimous vote.
The meeting adjourned at 11:10 a.m.
JOHN DEPHILLIPS
Actuarial/Statistical Analyst
Attachment
Boston, Massachusetts
March 20, 2001
Note: These Records have not been approved. They will be considered for approval at the next Commercial Automobile Committee meeting.