How insurers get back money they paid into the fund

(a) Subject to the approval of the commissioner, each member insurer shall annually recoup assessments paid by the member insurer under section 431:21-105(b)(6). The recoupment shall be recovered by means of a surcharge on premiums charged by the member insurer for property and casualty insurance, not including motor vehicle insurance. Any excess recovery by a member insurer shall be credited pro rata to that member insurer's policyholders' premiums in the succeeding year unless there has been a subsequent assessment, in which case the excess shall be used to pay the amount of the subsequent assessment. A member insurer may continue to surcharge premiums until the full assessments are recouped. (b) The surcharge required under subsection (a) shall be established by the association and shall not exceed two per cent of the total premiums charged for each policy by the member insurer. (c) Each member insurer shall provide to the association an accounting of its recoupments. The association shall compile the member insurers' accountings and submit the accountings as part of the association's annual report to the commissioner. (d) The amount of and reason for any surcharge shall be separately stated on any billing sent to an insured. The surcharge shall not be considered premiums for any other purpose, including the computation of gross premium tax or the determination of producer commissions.