Department of Commerce,
Community, and Economic
Development
DIVISION OF INSURANCE
Juneau Office

P.O. Box 110805
Juneau, Alaska 99811-0805
Main: 907.465.2515
Fax: 907.465.3422

Bulletin B 20-10
TO: ALL INSURERS WRITING PROPERTY AND CASUALTY INSURANCE IN THE STATE OF ALASKA AND OTHER
INTERESTED PARTIES
RE: PREMIUM RELIEF DUE TO COVID-19 (NOVEL CORONAVIRUS)
Governor Mike Dunleavy issued a public health disaster emergency declaration for COVID-19 disease also
known as the novel coronavirus on March 11, 2020. Based on the authority given the Director of
Insurance during an emergency under AS 21.06.080(d), the Division of Insurance issues the following
guidance to insurers:
Many property and casualty insurance policies calculate premiums based on exposure estimates made at
the time the policy is issued. Examples of common exposure bases include miles driven, sales revenue,
receipts, or payroll. Due to the far-reaching effects of the COVID-19 outbreak and local, state, and federal
governments' responses, for many policyholders, initial estimates are expected to be much higher than
the exposure actually realized. Recognizing there are other difficult-to-quantify effects of the COVID-19
outbreak that will affect exposure to loss in the near term, insurers are encouraged to allow policyholders
to self-audit and self-report changes in their exposure or risk profile and adjust premiums accordingly.
For policies that are subject to audit, insurers are encouraged to allow self-auditing and self-reporting in
lieu of physical audits to the extent that physical audits are impracticable.
Prospective reductions in premium or retroactive refunds of premium made pursuant to this bulletin to
accommodate COVID-19-related changes in exposure or risk profile will not be considered a rebate or
unfair discrimination to the extent they are reasonable and consistently applied. Reasonable and
consistently applied premium adjustments or audit accommodations as described in this bulletin will
likewise not be pursued by the Division as violations of statutes governing returning premiums to
policyholders or the frequency of premium changes, nor will they be considered out of compliance with
approved rating plans, rules, or policy language.
This bulletin remains in effect until June 1, 2020.
If you have any questions relating to this bulletin, please contact Joanne Bennett, Property and Casualty
Supervisor, at joanne.bennett@alaska.gov.
Dated this 20th day of March, 2020, at Juneau, Alaska.

______________________________
Lori Wing-Heier
Director