1997 Minnesota Statutes

     62S.26 Loss ratio. 

    The minimum loss ratio must be at least 60 percent, 
 calculated in a manner which provides for adequate reserving of 
 the long-term care insurance risk.  In evaluating the expected 
 loss ratio, the commissioner shall give consideration to all 
 relevant factors, including: 

    (1) statistical credibility of incurred claims experience 
 and earned premiums; 

    (2) the period for which rates are computed to provide 
 coverage; 

    (3) experienced and projected trends; 

    (4) concentration of experience within early policy 
 duration; 

    (5) expected claim fluctuation; 

    (6) experience refunds, adjustments, or dividends; 

    (7) renewability features; 

    (8) all appropriate expense factors; 

    (9) interest; 

    (10) experimental nature of the coverage; 

    (11) policy reserves; 

    (12) mix of business by risk classification; and 

    (13) product features such as long elimination periods, 
 high deductibles, and high maximum limits. 

    HIST: 1997 c 71 art 1 s 26