S.4040

New Jersey S4040 revises territorial rating plans for private passenger automobile insurance, defining territories by zip code+4 and allowing up to.

New Jersey S4040 revises the territorial rating plans used by insurers writing private passenger automobile insurance. The bill requires the Commissioner of Banking and Insurance to establish rating territories defined by contiguous zip code+4, following municipal boundaries as closely as possible. The maximum number of territories in any territorial map is set at 100. The bill mandates that territories be created to ensure an equable distribution of exposures and avoid arbitrary, unfairly discriminatory, or disproportionate territories.