P&CGeorgiamedium
Under Georgia's filed-rate doctrine, when a policyholder sues an insurer claiming the approved rate is excessive, what is the most likely outcome?
AThe court awards a refund of premium paid
BThe court orders the Commissioner to rescind approval
The court dismisses the claim because rates approved by OCISF are not subject to collateral attack in court
DThe court allows the claim to proceed as a class action without restriction
Why this is the answer
Georgia follows the filed-rate doctrine, which bars private lawsuits seeking damages or refunds based on the claim that an approved insurance rate is excessive. The rationale is that the legislature has assigned exclusive primary jurisdiction over rate adequacy to OCISF under O.C.G.A. § 33-9-21. Allowing courts to second-guess approved rates would undermine the regulatory scheme and create inconsistent results. A policyholder who believes a rate is excessive must seek relief through the administrative process — a petition to the Commissioner or participation in rate hearings.
Studying for the Georgia Property & Casualty exam?
This question comes from our P&C bank. Take a free practice test — no signup.