Bill > SB505

This bill, titled the "Georgia Prior Approval for Consumer Insurance Rates Act," mandates that insurance companies must obtain approval from the Georgia Commissioner of Insurance *before* implementing new premium rates for private passenger motor vehicle and residential property insurance. This means insurers can no longer set these rates and use them immediately, but must submit their proposed rates, along with detailed supporting information such as historical loss data, expense projections, and profit margins, for the Commissioner's review. The Commissioner will approve a rate filing only if the insurer demonstrates that the proposed rates are not excessive (unreasonably high with no reasonable competition), inadequate (unreasonably low and potentially endangering the insurer's financial stability or harming competition), or unfairly discriminatory (charging different rates to similarly situated individuals without actuarial justification). The bill also requires insurers to disclose certain information about their pricing models and makes these rate filings publicly available for comment, with the possibility of public hearings if deemed in the public interest. The new law will take effect on July 1, 2026, and apply to policies issued or renewed on or after October 1, 2026.

Business and Industry

https://www.legis.ga.gov/legislation/73188