CHAPTER 161

INSURANCE DEPARTMENT REGULATION AND CONTROL OF RATES AND RATING ORGANIZATIONS

AN ACT TO AMEND CHAPTER 20 OF THE REVISED CODE OF DELAWARE, 1935, RELATING TO THE INSURANCE DEPARTMENT BY PROVIDING FOR THE REGULATION AND CONTROL OF INSURANCE RATES AND RATING ORGANIZATIONS.

Be it enacted by the Senate and House of Representatives of the State of Delaware in General Assembly met:

Section 1. That Chapter 20 of the Revised Code of Delaware, 1935, as amended be and the same is hereby further amended by the addition of another Article (eleven) to the said Chapter 20, to be designated as follows:

Section ware, 1935, amended by 11, to wit:

ARTICLE 11

Rates and Rating Organizations:

Regulation and Control.

Section 2. That Chapter 20 of the Revised Code of Delaware, 1935, as amended be and the same is hereby further amended by the addition of the following Sections under Article 11, to wit:

567Q. Sec. 123. Purpose of Rate Regulation and Control: --The purpose of this Article is to promote the public welfare by regulating insurance rates (in accordance with the intent of Congress as expressed in Public Law 15-79th Congress) and to the end that they shall not be excessive, inadequate or unfairly discriminatory, and to authorize and regulate cooperative action among insurance companies in rate making and in other matters within the scope of this Article. Nothing in this Article is intended (1) to prohibit or discourage reasonable competition, or (2) to prohibit, or encourage except to the extent necessary to accomplish the aforementioned purpose, uniformity in insurance rates, rating systems, rating. plans or practices. This Article shall be liberally interpreted to carry into effect the provisions of this Section.

567R. Sec. 124. Scope of Article:--This Article applies to

(1) Casualty insurance in all forms and considered as such in the generally accepted trade sense, including workmen's compensation, fidelity, surety and guaranty bonds, and all forms of motor vehicle insurance, on risks or operations in this state;

(2) Fire, marine and inland marine insurance, as used in their generally accepted trade sense, on risks located in this state. Inland marine insurance shall be deemed to include insurance as now or hereafter defined by statute, or by ruling of the Insurance Commissioner.

This Article shall not apply to

(3) Reinsurance other than exceptions stated in Section 133.

(4) Accident and Health Insurance, except as covered in Section 139 of this Article.

(5) Insurance of air-borne or water-borne vessels or craft, their cargoes, legal liability of aircraft operators, marine protection and indemnity, or other risks commonly insured under aviation or marine, as distinguished from inland marine, insurance policies.

(6) Life Insurance.

567S. Sec. 125. Making of Rates:--

(a) Rates shall be made in accordance with the following provisions:

1. Manual, minimum, class rates, rating schedules or rating plans, shall be made and adopted, except in the case of specific inland marine rates on risks specially rated.

2. Rates shall not be excessive, inadequate or unfairly discriminatory.

3. Due consideration shall be given to past and prospective loss experience within and outside this state, to the conflagration and catastrophe hazards, to a reasonable margin for underwriting profit and contingencies, to dividends, savings or unabsorbed premium deposits allowed or returned by insurance companies to their policy-holders, members or subscribers, to past and prospective expenses both country-wide and those specially applicable to this state, and to all other relevant factors within and outside this state; and in the case of fire insurance rates consideration shall be given to the experience of the fire insurance business during a period of not less than the most recent five year period for which such experience is available.

4. The systems of expense provisions included in the rates for use by any insurance company or group of insurance companies may differ from those of other insurance companies or groups of insurance companies to reflect the requirements of the operating methods of any such insurance company or group with respect to any kind of insurance, or with respect to any subdivision or combination thereof for which subdivision or combination separate expense provisions are applicable.

5. Risks may. be grouped by classifications for the establishment of rates and minimum premiums. Classification rates may be modified to produce rates for individual risks in accordance with rating plans which establish standards for measuring variations in hazards or expense provisions, or both. Such standards may measure any differences among risks which may have a probable effect upon losses or expenses.

(b) Two or more insurance companies, who, by virtue of their business associations in the United States, represent themselves to be or are customarily known as an insurance company "group" or similar insurance trade designation, shall have the right to make the same filings or to use the same rates for each such insurance company subject to the provisions of subparagraphs 1, 2, 3, 4 and 5 of subsection (a) of this section; and nothing contained in this Article shall be construed to prohibit an agreement to make the same filings or use the same rates and concerted action in connection with such filings or rates by such insurance companies. This subsection shall not apply to two or more insurance companies who are not under the same common executive or general management or control and who act in concert in underwriting groups or pools.

(c) Nothing in this section or in this Article shall abridge or restrict the freedom of contract between insurance companies and agents or brokers with respect to commissions or between insurance companies and their employees with respect to compensation.

(d) Nothing in this section shall be taken to prohibit as unreasonable or unfairly discriminatory the establishment of classifications or modifications of classifications or risks based upon size, expense, management, individual experience, purpose of insurance location or dispersion of hazard, or any other reasonable considerations provided such classifications and modifications apply to all risks under the same or substantially similar circumstances or conditions.

() Except to the extent necessary to meet the provisions of subdivision 2 of subsection (a) of this Section, uniformity among insurance companies in any matters within the scope of this Section is neither required nor prohibited.

567T. Sec. 126. Rate Filings:--

(a) Every insurance company shall file with the Insurance Commissioner, except as to inland marine risks which by general custom of the business are not written according to manual rates or rating plans, every manual, minimum, class rate, rating schedule or rating plan and every other rating rule, and every modification of any of the foregoing which it proposes to use. Every such filing shall state the proposed effective date thereof, and shall indicate the character and extent of the coverage contemplated. When a filing is not accompanied by the information upon which the insurer supports such filing, and the Insurance Commissioner does not have sufficient information to determine whether such filing meets the requirements of this Article he shall require such insurer to furnish the information upon which it supports such filing. The information furnished in support of a filing may include (1) the experience or judgment of the insurer or rating organization making the filing (2) its interpretation of any statistical data it relies upon (3) the experience of other insurers or rating organizations, or (4) any other relevant factors. A filing and supporting information shall be open to inspection by parties in interest after the filing becomes effective. Specific inland marine rates on risks specially rated, made by a rating organization, shall be filed with the Insurance Commissioner, and shall become effective when filed and shall be deemed approved and in compliance with the requirements of this Article until such time as the Insurance Commissioner rejects the filing.

(b) An insurance company may satisfy its obligation to make such filings by becoming a member of, or a subscriber to, a licensed rating organization which 'makes such filings, and by authorizing the Insurance Commissioner to accept -such filings on its behalf; provided, that nothing contained in this Article shall be construed as requiring any insurance company to become a member of or a subscriber to any rating organization.

(c) The Insurance Commissioner shall review filings as soon as reasonably possible after they have been made in order to determine whether they meet the requirements of this Article. The filings shall be deemed to meet the requirements of this Article unless disapproved by the Insurance Commissioner.

(d) Any special filing with respect to a surety or guaranty bond required by law or by court or executive order or by order, rule or regulation of a public body, not covered by a previous filing, shall become effective when filed and shall be deemed to meet the requirements of this Article until such time as the Insurance Commissioner rejects the filing.

(e) Upon the written application of the insured, stating his reasons therefor, filed with and approved by the Insurance Commissioner, a rate in excess of that provided by a filing otherwise applicable may be used on any specific risk.

(f) Under such rules and regulations as he shall adopt the Insurance Commissioner may, by written order, suspend or modify the requirement of filing as to any kind of insurance, subdivision or combination thereof, or as to classes of risks, the rates for which cannot practicably be filed before they are used. Such orders, rules and regulations shall be made known to insurance companies and rating organizations affected thereby. The Insurance Commissioner may make such examination as he may deem advisable to ascertain whether any rates affected by such order meet the standards, set forth in subdivision 2 of subsection (a) of Sec. 125.

(g) Beginning six months after the effective date of this Article no insurance company shall make or issue a contract or policy except in accordance with the filings which are in effect for said insurance company as provided in this Article or in accordance with subsections (e) or (1) of this Section. This subsection shall, not apply to contracts or policies for inland marine risks as to which filings are not required.

567U. Sec, 127. Disapproval of Filings:--

(a) If within thirty days after a specific inland rate, a special surety or guaranty on a risk specially rated by a rating organization, subject to subsection (d) of Section 126, has become effective, the Insurance. Commissioner finds that such filing does not meet the requirements of this Article or if upon review of any other filing, the Insurance Commissioner finds that the same does not meet the requirements of this Article, he shall, after a hearing held upon not less than ten days' written notice specifying the matters to be considered at such hearing, to every insurance company and rating organization which made such filing, issue an order specifying in what respects he finds that such filing fails to meet the, requirements of this Article, and stating when, within a reasonable period thereafter, such filing shall be deemed no longer effective. Copies of said order shall be sent to every such insurance company and rating organization. Said order shall not affect any contract or policy made or issued prior to the expiration of the period set forth in said order.

(b) Any person or organization in interest, aggrieved with respect to any filing which is in effect may make written application to the Insurance Commissioner for a hearing thereon, provided, however, that the insurance company or rating organization that made the filing shall not be authorized to proceed under this subsection. Such application shall specify the grounds to be relied upon by the applicant. If the Insurance Commissioner shall find that the application is made in good faith, that the applicant would be so aggrieved if his grounds are established, and that such grounds otherwise justify holding such a hearing, he shall, within thirty days after receipt of such application, hold a hearing upon not less than ten days' written notice to the applicant and to every insurer and rating organization which made such filing.

If, after such hearing, the Insurance Commissioner finds that the filing does not meet the requirements of this Article, he shall issue an order specifying in what respects he finds that such filing fails to meet the requirements of this Article, and stating when, within a reasonable period thereafter, such filing shall be deemed no longer effective. Copies Of said order shall be sent to the applicant and to every such insurance company and rating organization. Said order shall not affect any contract or policy made or issued prior to the expiration of the period set forth in said order.

(c) No manual of classifications, rules, rating plans, or any modification of any of the foregoing which establishes standards for measuring variations in hazards or expense provisions, or both, and which has been filed pursuant to Section 126,of this Article shall be disapproved if the rates produced meet the requirements of this Article.

567V. Sec. 128. Rating Organizations:--

(a) A corporation, an unincorporated association, a partnership or an individual, whether located within or outside this state, may make application to the Insurance Commissioner for license as a rating organization for such kinds of insurance, or subdivision or class of risk or a part or combination, thereof as are specified in its application and shall file therewith (1) a copy of its constitution, its articles of agreement or association or its certificate of incorporation, and of its by-laws, rules and regulations governing the conduct of its business, (2) a list of its members and subscribers, (3) the name and address of a resident of this state upon whom notices or orders of the Insurance Commissioner or process affecting such rating organization may be served and (4) a statement of its qualifications as a rating organization. If the Insurance Commissioner finds that the applicant is competent, trustworthy and otherwise qualified to act as a rating organization and that its constitution, articles of agreement or association or certificate of incorporation, and its by-laws, rules and regulations governing the conduct of its business conform to the requirements of law, he may issue a license specifying the kinds of insurance, or subdivision or class of risk or part or combination thereof for which the applicant is authorized to act as a rating organization. Every such application shall be granted or denied in whole or in part by the Insurance Commissioner within sixty days of the date of its filing with him. Licenses issued pursuant to this Section shall remain in effect for one year unless sooner suspended or revoked by the Insurance Commissioner. Licenses issued pursuant to this Section may be suspended or revoked by the Insurance Commissioner, after hearing upon notice, in the event the rating organization ceases to meet the requirements of this subsection. Every rating organization shall notify the Insurance- Commissioner promptly of every change in. (1) its constitution, its articles of agreement or association, or its certificate of incorporation, and its by-laws, rules and regulations governing the conduct of its business, (2) its list of members and subscribers and (3) the name and address of the resident of this state designated by it upon whom notices or orders of the Insurance Commissioner or process affecting such rating organization may be served.

(b) Subject to rules and regulations which have been approved by the Insurance Commissioner as reasonable, each rating organization shall permit any insurance company to be a subscriber to its rating services for any kind of insurance, subdivision, or class of risk or a part or combination thereof for which it is authorized to act as a rating organization. Notice of proposed changes in such rules and regulations shall be given to subscribers. Each rating organization shall furnish its rating services without discrimination to its subscribers. The reasonableness of any rule or regulation in its application to subscribers, or the refusal of any rating organization to admit an insurance company as a subscriber, shall, at the request of any subscriber or any such insurance company, be reviewed by the Insurance Commissioner at a hearing held upon at least ten days' written notice to such rating organization and to such subscriber or insurance company. If the Insurance Commissioner finds that such rule or regulation is unreasonable in its application to subscribers, he shall order that such rule or regulation shall not be applicable to subscribers, If the rating organization fails to grant or reject an insurance company's application for subscribership within thirty days after it was made, the insurance company may request a review by the Insurance Commissioner as if the application had been rejected. If the Insurance Commissioner finds that the insurance company has been refused admittance to the rating organization as a subscriber without justification, he shall order the rating organization to admit the insurance company as a subscriber. If he finds that the action of the rating organization was justified, he shall make an order affirming its action.

(c) No rating organization shall adopt any rule the effect of which would be to prohibit or regulate the payment of dividends, savings or unabsorbed premium deposits allowed or returned by insurance companies to their policyholders, members or subscribers.

() Cooperation among rating organizations or among rating organizations and insurance companies in rate making or in other matters within the scope of this Article is hereby authorized, provided the filings resulting from such cooperation are subject to all the provisions of this Article which are applicable to filings generally. The Insurance Commissioner may review such cooperative activities and practices and if, after a hearing, he finds that any such activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this Article, he may issue a written order specifying in what respects such

(a) activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this Article, and requiring the discontinuance of such activity or practice.

(e) Any rating organization may provide for the examination of its subscriber's policies, daily reports, binders, renewal certificates, endorsements or other evidences of insurance, or the cancellation thereof, and may make reasonable rules governing their submission. Such rules shall contain a provision that in the event any insurance company does not within sixty days furnish satisfactory evidence to the rating organization of the correction of any error or omission previously called to its attention by the rating organization, it shall be the duty of the rating organization to notify the Insurance Commissioner thereof. Al] information so submitted for examination shall be confidential.

(f) Any rating organization may subscribe for or purchase actuarial, technical or other services, and such services shall be available to all subscribers without discrimination.

567W. Sec. 129. Deviations:--Every subscriber to a rating organization shall adhere to the filings made on its behalf by such organization except that any such insurance company may make written application to the Insurance Commissioner for permission to file a deviation from the class rates, schedules, rating plans or rules respecting any kind of insurance, or class of risk within a kind of insurance, or combination thereof. Such application shall specify the basis for the modification and a copy thereof shall also be sent simultaneously to such rating organization. The Insurance Commissioner shall set a time and place for a hearing at which the insurance company and such rating organization may be heard and shall give them not less than ten days' written notice thereof. In the event the Insurance Commissioner is advised by the rating organization that it does not desire a hearing he may, upon the consent of the applicant, waive such hearing. In considering the application for permission to file such deviation the Insurance Commissioner shall give consideration to the available statistics and the principles for rate making as provided in Section 125 of this Article. The Insurance Commissioner shall issue an order permitting the deviation for such insurance company to be filed if he finds it to be justified and it shall thereupon become effective. He shall issue an order denying such application if he finds that the modification is not justified or that the resulting premiums would be excessive, inadequate or unfairly discriminatory. Each deviation permitted to be filed shall be effective for a period of one year from the date of such permission unless terminated sooner with the approval of the Insurance Commissioner; provided that all term policies issued pursuant to such deviations may remain in force until their expiring dates.

567X. Sec. 130. Appeal by Minority:--Any subscriber to a rating organization may appeal to the Insurance Commissioner from the action or decision of such rating organization in approving or rejecting any proposed change in or addition to the filings of such rating organization.

567Y. Sec. 131., Information to be Furnished Insureds; Hearings and Appeals of Insureds:--Every rating organization and every insurance company which makes its own rates shall, within a reasonable time after receiving written request therefor and upon payment of such reasonable charge as it may make, furnish to any insured affected by a rate made by it, or to the authorized representative of such insured, all information as to such rate.

567Z. Sec. 132. Advisory Organizations:--

(a) Every group, association or other organization of insurance companies, whether located within or outside this state, which assists insurance companies which make their own filings or rating organizations in rate making, by the collection and furnishing of loss or expense statistics, or by the submission of recommendations, but which does not make filings under this Article, shall be known as an advisory organization.

(b) Every advisory organization shall file with the Insurance Commissioner (1) a copy of its constitution, its articles of agreement or association or its certificate of incorporation and of its by-laws, rules and regulations governing its activities, (2) a list of its members, (3) the name and address of a resident of this state upon whom notices or orders of the Insurance Commissioner or process issued at his direction may be served, and (4) an agreement that the Insurance Commissioner may examine such advisory organization in accordance with the provisions of Article 1 of this Chapter.

(c) If, after a hearing, the Insurance Commissioner finds that the furnishing of such information or assistance involves any act or practice which is unfair or unreasonable or otherwise inconsistent with the provisions of this Article, he may issue a written order specifying in what respects such act or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this Article, and requiring the discontinuance of such act or practice.

(d) No insurance company which makes its own filing nor any rating organization shall support its filings by statistics or adopt rate making recommendations, furnished to it by an advisory organization which has not complied with this Section or with an order of the Insurance Commissioner involving such statistics or recommendations issued under subsection (c) of this Section. If the Insurance Commissioner finds such insurance company or rating organization to be in violation of this subsection he may issue an order requiring the discontinuance of such violation.

567ZA. Sec. 133. Joint Underwriting or Joint Reinsuranees:--

(a) Every group, association or other organization of insurance companies which engages in joint underwriting or joint reinsurances, shall be subject to regulation with respect thereto as herein provided, subject, however, with respect to joint underwriting, to all other provisions of law, and with respect to joint reinsurance, to Section 3 of Article 1 of this Chapter and Sections 137 and 138 of this Article.

(b) If, after a hearing, the Insurance Commissioner finds that any activity or practice of any such group, association or other organization is unfair or unreasonable or otherwise inconsistent with the provisions of this Article, he may issue a written order specifying in what respects such activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this Article, and requiring the discontinuance of such activity or practice.

567ZB. Sec. 134. Rate Administration:--

(a) Recording and Reporting of Loss and Expense Experience.

The Insurance Commissioner shall promulgate reasonable rules and statistical plans, reasonably adopted to each of the rating systems on file with him, which may be modified from time to time and which shall be used thereafter by each insurance company in the recording and reporting of its loss and countrywide expense experience, in order that the experience of all insurance companies may be made available at least annually in such form and detail as may be necessary to aid him in determining whether rating systems comply with the standards set forth in Section 125. Such rules and plans may also provide for the recording and reporting of expense experience items which are specially applicable to this state and are not susceptible of determination by a prorating of countrywide expense experience. In promulgating such rules and plans, the Insurance Commissioner shall give due consideration to the rating systems on file with him and, in order that such rules and plans may be as uniform as is practicable among the several states, to the rules and to the form of the plans used for such rating systems in other states. No insurance company shall be required to record or report its loss experience on a classification basis that is inconsistent with the rating system filed by it. The Insurance Commissioner may designate one or more rating organizations or other agencies to assist him in gathering such experience and making compilations thereof, and such compilations shall be made available, subject to reasonable rules promulgated by the Insurance Commissioner, to insurance companies and rating organizations. Each company shall report its loss or expense experience to the lawful rating organization or agency of which it is a member or subscriber, but shall not be required to report its loss or expense experience to any rating organization or agency of which it is not a member or subscriber. Any company not reporting such experience to a rating organization or other agency may be required to report such experience to the Insurance Commissioner. Any report of such experience of any company filed with the Insurance Commissioner shall be deemed confidential and shall not be revealed by the Insurance Commissioner to Any other company or other person, but the Insurance Commissioner may make compilations including such experience.

(b) Interchange of Rating Plan Data.

Reasonable rules and plans may be promulgated by the Insurance Commissioner for the interchange of data necessary for the application of rating plans.

(c) Consultation with Other States.

In order to further uniform administration of rate regulatory laws, the Insurance Commissioner and every insurance company and rating organization may exchange information and experience data with insurance supervisory officials, insurance companies and rating organizations in other states and may consult with them with respect to rate making and the application of rating systems.

567ZC. Sec. 135. False or Misleading Information:--No person or organization shall willfully withhold information from, or knowingly give false or misleading information to, the Insurance Commissioner, any statistical agency designated by the Insurance Commissioner, any rating organization, or any insurance company, which will affect the rates or premiums chargeable under this Article. A violation of this Section shall subject the one guilty of such violation to the penalties provided in Section 137 of this Act.

567ZD. Sec. 136. Assigned Risks:--Agreements may be made among insurance companies with respect to the equitable apportionment among them of insurance which may be afforded applicants who are in good faith entitled to but who are unable to procure such insurance through ordinary methods and such insurance companies may agree among themselves on the use of reasonable rate modifications for such insurance, such agreements and rate modifications to be subject to the approval of the Insurance Commissioner.

567ZE. Sec. 137. Penalties:--The Insurance Commissioner may, if he finds that any person or organization has violated any provision of this Article, impose a penalty of not more than Fifty Dollars ($50) for each such violation, but if he finds such violation to be willful he may impose a penalty of not more than Five Hundred Dollars ($500) for each such violation. Such penalties may be in addition to any other penalty provided by law.

The Insurance Commissioner may suspend the license of any rating organization or insurance company which fails to comply with an order of the Insurance Commissioner within the time limited by such order, or any extension thereof which the Insurance Commissioner may grant. The Insurance Commissioner shall not suspend the license of any rating organization or insurance company for failure to comply with an order until the time prescribed for an appeal therefrom has expired or if an appeal has been taken, until such order has been affirmed. The Insurance Commissioner may determine when a suspension of license shall become effective and it shall remain in effect for the period fixed by him, unless he modifies or rescinds such suspension, or until the order upon which such suspension is based is modified, rescinded or reversed.

No penalty shall be imposed and no license shall be suspended or revoked except upon a written order of the Insurance Commissioner, stating his findings, made after a hearing held upon not less than ten days' written notice to such person or organization specifying the alleged violation.

567ZF. Sec. 138.. Hearing Procedure:--

Any insurance company or rating organization aggrieved by an order or decision of the Insurance Commissioner made without a hearing, may, within thirty days after notice of the order to the insurance company or organization, make written request to the Insurance Commissioner for a hearing thereon. The Insurance Commissioner shall hear such party or parties within twenty days after receipt of such request and shall give not less than ten days' written notice of the time and place of the hearing. Within fifteen days-after such hearing the Insurance Commissioner shall affirm, reverse or modify his previous action, specifying his reasons therefor. Pending such hearing and decision thereon the Insurance Commissioner may suspend or postpone the effective date of his previous action.

567ZG. Sec. 139. Accident and Health Insurance:--

(a) No policy of insurance against loss or expense from the sickness, or from the bodily injury or death by accident of the insured other than Workmen's Compensation insurance, accidental death or disability benefits issued supplementary to life insurance or annuity contracts, medical expense benefits under liability policies, family expense policies and group accident and health insurance, shall be issued or delivered to any person in this State, or shall be issued anywhere by an insurance company organized under the laws of this state, nor shall any application, rider or endorsement be used in connection therewith until a copy of the form thereof and of the classification of risks and the premium rates, or, in the case of cooperatives or assessment companies the estimated cost pertaining thereto have been filed with the Insurance Commissioner.

(b) No such policy shall be issued, nor shall any application, rider or endorsement be used in connection therewith, until the expiration of 30 days after it has been so filed unless the Insurance Commissioner shall sooner give his written approval thereto.

(c) The Insurance Commissioner may within 30 days after the filing of any such form, disapprove such form (1) if the benefits provided therein are unreasonable in relation to the premium charged, or (2) if it contains a provision or provisions which are unjust, unfair, inequitable, misleading, deceptive or such as to encourage misrepresentation of such policy. If the Insurance Commissioner shall notify the company which has filed any such form that it does not comply with the provisions of this Section it shall be unlawful thereafter for such company to issue such form or use it in connection with any policy. In such notice the Insurance Commissioner shall specify the reasons for his disapproval and state that a hearing will be granted within twenty days after request in writing by the company.

(d) The Insurance Commissioner may at any time, after a hearing of which not less than 20 days' written notice shall have been given to the company, withdraw his approval of any such form on any of the grounds stated in this Section. It shall be unlawful for the company to issue such form or use it in connection with any policy after the effective date of such withdrawal of approval. The notice of any hearing called under this paragraph shall specify the matters to be considered at such hearing and any decision affirming disapproval or directing withdrawal of approval under this Section shall be in writing and shall specify the reasons therefor.

567ZH. Sec. 140. Court Review of Acts of Insurance Commissioner a--Any order, decision or act of the Insurance Commissioner under this Article shall be subject to judicial review upon petition of any company, person or organization aggrieved. Said appeal shall be to the Court of Chancery in any County of this State. A petition for the review of the action of the Insurance Commissioner shall be filed within sixty days from notice of the order, decision or act of the Insurance Commissioner. The commencement of such proceeding shall not affect the enforcement or validity of the Insurance Commissioner's action under review unless the Court shall determine after notice to the Insurance Commissioner, that a stay of enforcement until further direction of the Court will not unduly injure the interests of the public.

567ZI. Sec. 141. Proceedings in Court of Chancery:--The Insurance Commissioner may, through the Attorney General of this State, invoke, the aid of the Court of Chancery to enforce any order made or action taken by him pursuant to this Article, which proceedings may be instituted in any County of the State as may seem most convenient. In such proceedings, the Chancellor may make such orders, either preliminary or final, as he shall deem right and proper under the facts as presented and established before him.

567ZJ. Sec. 142. Expert Assistance:--The Insurance Commissioner is authorized to employ from time to time and only if and when required, a competent actuary to assist the Insurance Commissioner in respect to the rating functions provided for in this Article; provided, however, the Insurance Commissioner shall not expend for such assistance in any one fiscal year a sum in excess of $3000.00.

Section 3. Saving Clause:--If any clause, sentence, paragraph, or part of this Act shall, for any reason, be adjudged by any Court of competent jurisdiction to be invalid, such judgment shall not affect, impair or invalidate the remainder of this Act, but shall be confined in its operation to the clause, sentence, paragraph or any part thereof directly involved in the controversy in which such judgment has been rendered.

Section 4. This Act shall become effective July 1, 1947, and all laws inconsistent with the provisions of this Act shall be deemed repealed as of July 1, 1947, but only to the extent of any such inconsistency.

Approved April 3, 1947.