14VAC5-10 Accident Airtrip Insurance

REGULATIONS

Vol. 32 Iss. 19 - May 16, 2016

TITLE 14. INSURANCE

STATE CORPORATION COMMISSION

Chapter 10

Final Regulation

REGISTRAR'S NOTICE: The State Corporation Commission is claiming an exemption from the Administrative Process Act in accordance with § 2.2-4002 A 2 of the Code of Virginia, which exempts courts, any agency of the Supreme Court, and any agency that by the Constitution is expressly granted any of the powers of a court of record.

Title of Regulation: 14VAC5-10. Accident Airtrip Insurance (repealing 14VAC5-10-10).

Statutory Authority: §§ 12.1-13 and 38.2-223 of the Code of Virginia.

Effective Date: June 1, 2016.

Agency Contact: Katie Johnson, Policy Advisor, Policy and Compliance Division, Bureau of Insurance, State Corporation Commission, P.O. Box 1157, Richmond, VA 23218, telephone [phone], FAX [phone], or email [e-mail].

Summary:

This action repeals 14VAC5-10, which is unnecessary because the use of mechanical vending machines in public airports for the solicitation of applications for and the issuance of accident airtrip insurance policies is obsolete.

AT RICHMOND, APRIL 22, 2016

COMMONWEALTH OF VIRGINIA, ex rel.

CASE NO. INS-2016-00045

STATE CORPORATION COMMISSION

Ex Parte: In the matter of Repealing the

Rules Governing Accident Airtrip Insurance

ORDER REPEALING RULES

By Order to Take Notice ("Order") entered March 1, 2016, all interested persons were ordered to take notice that subsequent to April 15, 2016, the State Corporation Commission ("Commission") would consider the entry of an order repealing the rules entitled "Accident Airtrip Insurance," 14 VAC 5-10-10 ("Rules"), as proposed by the Bureau of Insurance ("Bureau").

The Order required that on or before April 15, 2016, any person objecting to the repeal of the Rules file a request for a hearing with the Clerk of the Commission ("Clerk"). No request for a hearing was filed with the Clerk.

The Order also required all interested persons to file their comments in support of or in opposition to the repeal of the Rules on or before April 15, 2016. No comments on the proposed repeal of the Rules were filed with the Clerk.

The Virginia General Assembly enacted § 38.2-1807 of the Code of Virginia ("Code") in 1958. This Code section allows insurers that are qualified to transact business in the Commonwealth of Virginia and to write accident airtrip insurance to solicit applications for and issue accident airtrip insurance policies by means of mechanical vending machines in public airports.  In addition, this Code section requires that such mechanical vending machines be under the supervision of an appointed agent and that the insurer comply with all requirements prescribed by the Commission for conduct of this business. Chapter 10 was promulgated as a result. The repeal of Chapter 10 is necessary because the use of mechanical vending machines in public airports for the solicitation of applications for and the issuance of accident airtrip insurance policies is now obsolete.

NOW THE COMMISSION, having considered the recommendation of the Bureau to repeal Chapter 10 of Title 14 of the Virginia Administrative Code, is of the opinion that the Rules should be repealed.

Accordingly, IT IS ORDERED THAT:

(1) The Rules Governing Accident Airtrip Insurance at 14 VAC 5-10-10, which are attached hereto and made a part hereof, should be, and are hereby, REPEALED to be effective June 1, 2016.

(2) AN ATTESTED COPY hereof, together with a copy of the repealed Rules, shall be sent by the Clerk of the Commission to the Bureau in care of Deputy Commissioner Althelia P. Battle, who forthwith shall give further notice of the repeal of the Rules by mailing a copy of this Order, together with a copy of the repealed rules, to all insurers qualified to transact business in the Commonwealth and to write accident airtrip insurance, as well as to all interested persons.

(3) The Commission's Division of Information Resources forthwith shall cause a copy of this Order, together with the attached repealed Rules, to be forwarded to the Virginia Registrar of Regulations for appropriate publication in the Virginia Register of Regulations.

(4) The Commission's Division of Information Resources shall make available this Order and the repealed Rules on the Commission's website:  http://www.scc.virginia.gov/case.

(5) The Bureau shall file with the Clerk of the Commission an affidavit of compliance with the notice requirements of Ordering Paragraph (2) above.

(6) This case is dismissed, and the papers herein shall be placed in the file for ended causes.

VA.R. Doc. No. R16-4639; Filed April 27, 2016, 4:10 p.m.