Key Takeaways
- The New Hampshire Insurance Department regulates all insurance activities under RSA Title XXXVII
- The Insurance Commissioner is appointed by the Governor with advice and consent of the Executive Council
- New Hampshire uses competitive rating for most property and casualty insurance
- The Department handles licensing, market conduct examinations, rate filings, and consumer complaints
- New Hampshire emphasizes consumer choice with minimal mandates but strong consumer protections
New Hampshire Insurance Department
The New Hampshire Insurance Department (NHID) is the state agency responsible for regulating the Property & Casualty insurance industry in New Hampshire. The Department ensures fair insurance practices while maintaining New Hampshire's distinctive market-based approach to insurance.
The Insurance Commissioner
The New Hampshire Insurance Commissioner is:
- Appointed by the Governor with advice and consent of the Executive Council
- Serves at the pleasure of the Governor
- Responsible for enforcing RSA (Revised Statutes Annotated) Title XXXVII (Insurance Code)
- Authorized to adopt regulations, review rates, investigate violations, and discipline licensees
Commissioner Powers
| Power | Description |
|---|---|
| Licensing | Issue, suspend, and revoke producer and company licenses |
| Rate Review | Monitor competitive rating and review for compliance |
| Market Conduct | Examine insurer business practices and consumer treatment |
| Enforcement | Investigate and prosecute violations of insurance law |
| Consumer Protection | Handle complaints and protect policyholders' interests |
| Rulemaking | Adopt administrative rules interpreting NH Insurance Law |
| Financial Oversight | Monitor solvency and financial condition of insurers |
Department Organization
The NHID is organized into key divisions:
| Division | Responsibilities |
|---|---|
| Consumer Services | Handle consumer complaints, inquiries, and education |
| Licensing | Process producer and company licenses |
| Market Conduct | Examine company practices and compliance |
| Financial Regulation | Monitor insurer financial health and solvency |
| Legal | Enforcement actions and legal proceedings |
Rate Regulation
New Hampshire uses competitive rating for most P&C insurance:
Competitive Rating System
- Insurers file rates with the Department for review
- Rates are presumed competitive if filed properly
- Department reviews for compliance with state law
- Can disapprove rates if inadequate, excessive, or unfairly discriminatory
- No prior approval required—rates can be used upon filing
Rate Standards
Rates must be:
- Adequate - Sufficient to maintain insurer solvency
- Not Excessive - Not unreasonably high for coverage provided
- Not Unfairly Discriminatory - Based on legitimate risk factors
Exam Tip: New Hampshire trusts competitive markets for rate-setting. Unlike states with prior approval systems, NH allows insurers to use rates immediately while maintaining oversight authority.
New Hampshire's Regulatory Philosophy
"Live Free or Die" Approach
New Hampshire's insurance regulation reflects the state motto:
| Principle | Application to Insurance |
|---|---|
| Consumer Choice | No mandatory auto insurance requirement |
| Market Competition | Competitive rating without prior approval |
| Personal Responsibility | Financial responsibility system vs. insurance mandates |
| Strong Protections | Robust consumer protections despite minimal mandates |
Regulatory Balance
New Hampshire balances:
- Freedom: Minimal mandates, consumer choice emphasis
- Protection: Strong claims handling requirements, producer standards
- Solvency: Rigorous financial oversight of insurers
- Fairness: Prohibition of unfair practices and discrimination
Consumer Protection
Consumer Services Division
Contact Information:
- Phone: (603) 271-2261
- Toll-Free: (800) 852-3416
- Email: consumerservices@ins.nh.gov
- Website: insurance.nh.gov
- Address: 21 South Fruit Street, Suite 14, Concord, NH 03301
Consumer Rights
New Hampshire law provides:
| Consumer Right | Requirement |
|---|---|
| Prompt Claims Handling | Insurers must acknowledge, investigate, and resolve claims promptly |
| Fair Dealing | Producers and insurers must deal fairly and honestly |
| Clear Disclosures | Material policy terms must be clearly disclosed |
| Appeal Rights | Right to appeal denied claims and disciplinary actions |
| Privacy Protection | Personal information must be protected |
Filing a Complaint
Consumers can file complaints about:
- Claim denials or delays
- Unfair practices
- Producer misconduct
- Rate increases
- Policy cancellations
- Misrepresentation
Process:
- Contact Consumer Services Division
- Submit written complaint with documentation
- Department investigates
- Facilitates resolution or takes enforcement action
- Consumer receives written response
Exam Tip: Know the toll-free consumer hotline number (800) 852-3416 for New Hampshire Insurance Department Consumer Services. This is frequently tested.
Legal Framework
RSA Title XXXVII - Insurance
New Hampshire insurance law is codified in RSA Title XXXVII:
| Chapter | Topic |
|---|---|
| RSA 400-A | Insurance Department organization and authority |
| RSA 401 | General provisions, licensing, and regulation |
| RSA 402 | Insurance companies and policies |
| RSA 403 | Unauthorized insurers and surplus lines |
| RSA 407 | Insurance rates and rating organizations |
| RSA 417 | Unfair insurance practices |
| RSA 421 | Property and casualty insurance |
Administrative Rules
The Insurance Commissioner adopts administrative rules:
- Ins 100-900 series cover various insurance topics
- Rules interpret and implement RSA provisions
- Published in New Hampshire Code of Administrative Rules
- Available on NHID website
Market Conduct Oversight
Examinations
The NHID conducts market conduct examinations:
Purpose:
- Verify compliance with insurance laws
- Examine business practices
- Protect consumers from unfair practices
- Ensure proper claims handling
Examined Areas:
- Producer licensing and appointments
- Policy forms and rates
- Claims handling procedures
- Consumer complaints
- Advertising and marketing
- Premium collection and accounting
Enforcement Actions
For violations, the Commissioner may:
| Action | Purpose |
|---|---|
| Consent Orders | Resolve violations through agreement |
| Cease and Desist | Stop illegal practices immediately |
| Fines | Penalize violations (up to $2,500 per violation) |
| License Suspension | Temporarily revoke license privileges |
| License Revocation | Permanently revoke license |
| Restitution | Require payment to harmed consumers |
Exam Tip: New Hampshire insurance law allows fines up to $2,500 per violation. Willful violations and repeated offenses face enhanced penalties.
How is the New Hampshire Insurance Commissioner selected?
What rating system does New Hampshire use for P&C insurance?