P&CMAeasy
Since 2008, what rate regulatory regime applies to Massachusetts private passenger automobile insurance under M.G.L. c. 175E?
AState-made fix-and-establish rates set by the Commissioner
BPure open competition with no Commissioner oversight, allowing each insurer to set rates freely
Managed competition, with insurers filing their own rates subject to DOI review
DRates set directly by the Governor's office
Why this is the answer
Beginning in 2008, MA replaced its long-standing 'fix-and-establish' state-made auto rate system with managed competition under M.G.L. c. 175E. Each insurer files its own rates with DOI subject to the Commissioner's review against the excessive/inadequate/unfairly discriminatory standard. There is no pure open competition, and the Governor does not set rates.
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