Insurance Program Initiation Checklist

Document the target hazard grades, ISO/NCCI class codes, and exposure base (payroll, sales, or schedule). Decide whether the program is written admitted or surplus-lines (E&S) — this drives state filings, premium tax handling, and broker channel design.

Capture the target loss ratio, expense ratio, and resulting combined ratio the program needs to clear to satisfy the carrier and reinsurer. Tie the targets back to the actuarial pricing memo so producer-side and underwriting-side teams are working from the same numbers.

Specify per-occurrence limits, aggregate limits, deductibles or SIRs, and the cession structure under the supporting reinsurance treaty. Note any LAE inclusion language — following-form treaties commonly disagree with the underlying form on ULAE treatment.

For every target state, classify the filing posture as prior approval, file-and-use, use-and-file, or no-file. Prior-approval states (NY, CA for many lines, others) need pre-effective sign-off through SERFF; pushing rates live before approval is unauthorized.

List each underwriter expected to bind on the program and confirm their NPN registration in every target state. Document binding authority limits — line of business, hazard grade, dollar threshold — so binds outside authority don't reach the carrier's books.

Get written capacity confirmation from the fronting carrier (or paper carrier) and from each reinsurer on the treaty. Confirm A.M. Best ratings still meet the producer agreements and any state-mandated minimums.

Stand up the program in Guidewire PolicyCenter, Duck Creek, or whichever PAS the carrier runs. Configure ACORD form mappings (125, 130, 140 as applicable) and load the rate tables into the rating engine — ITC TurboRater, EZLynx, or carrier-native.

Identify the trigger for tapping facultative reinsurance, the runoff plan if the treaty isn't renewed, and the staffing backup for the bind-authority underwriter. A program with a single underwriter and no documented backup is a single point of failure.

Walk the program against the controls expected by NYDFS Part 500 and the NAIC Insurance Data Security Model Law: WISP coverage, MFA on remote access for any vendor with NPI access, biennial pen test, 72-hour DOI notification path. Document gaps and remediation owners.

For each E&S target state, confirm the wholesale broker is registered with the stamping office (e.g., SLA-CA, FSLSO-FL, SLTX) and that premium tax remittance procedures are in place. Most states require filings within 30–60 days of bind.

Build the contingency for SERFF objections — who responds, how fast, and what the producer communication looks like if the effective date slips. Prior-approval states routinely return objections that add 30–60 days to the timeline.

Confirm the claims TPA can meet state prompt-pay windows (e.g., Texas Insurance Code Chapter 542 — 15 business days to acknowledge, 15 to decision, 60 max). Set up the OFAC screening hook at both bind and every claim payment, not just bind.

NY, CA, FL, NJ, OH, NM, KY, LA, and MN require periodic Anti-Fraud Plan filings. Acquired or newly-formed programs frequently inherit an unfiled plan. Name the compliance officer responsible and set the filing cadence in the calendar.

Decide whether the program goes through retail agents, wholesale brokers, direct, or a mix. For wholesale, identify the named wholesalers; for retail, define the appointment criteria and minimum E&O limits.

Get compliance, actuarial, claims, and IT in one room before launch. The pricing memo, the policy form, the rating algorithm, and the claims handling workflow need to agree — actuarial assumptions that the form doesn't support are a recurring source of adverse development.

Codify base commission, contingent commission, profit-share triggers, and any override structure. Confirm the producer disclosure language meets state-specific requirements (NY Insurance Reg 187, CA SB 250) for any commercial insureds in scope.

Assemble the rate, rule, and form filings for each target state in SERFF. Cross-check that the actuarial memorandum, the rating algorithm in the engine, and the explanatory exhibits all reconcile to the same numbers — reviewers reject filings where the memo and the rate pages disagree.

Hold the launch in any prior-approval state until the DOI returns approval. Track objections and respond inside the state's response window — typically 10–30 days. Do not bind in a prior-approval state until the filing is approved.

Walk the program through the Holding Company review committee. Capture the decision and the executive sign-off; if the related-party arrangement crosses the dollar threshold, prepare a Form D filing under the Insurance Holding Company System Regulatory Act.

Schedule the recurring program review — monthly for the first quarter, quarterly thereafter — covering loss ratio, hit ratio, premium written vs. plan, and any reserve development. Tie the cadence to the actuarial reserve review so reserve calls stay aligned.

Document who approves rate changes, who refiles in SERFF, and how the producer network is notified. The most common post-launch failure is a rate change pushed live in PolicyCenter ahead of state approval — this checklist's change-management gate is what prevents it.