New Mexico says that retaliating against states that discriminate against its own insurers takes too much work.
The New Mexico Insurance Division discusses the issue in Insurance Division Bulletin 2009-008.
The New Mexico Insurance Code permits the division to impose the same form or rate-filing fees on insurers from other states that those insurers’ home states impose on New Mexico insurers, New Mexico Insurance Superintendent Morris Chavez writes in the bulletin.
Although the statute permits the division to subject insurers to retaliatory or reciprocal requirements, “the statute does not require the imposition of retaliatory fees or reciprocal requirements on insurers,” Chavez writes. “Instead, the statute grants discretion to impose retaliatory fees or reciprocal requirements. Because of the heavy administrative burden placed on the insurance division in administering retaliatory fees or reciprocal requirements, the superintendent will not impose these fees or requirements.”