For purposes of these rules, the following definitions apply:

(1) "Applicant" is defined in 33-22-1107(2), MCA.

(2) "Certificate" is defined in 33-22-1107(4), MCA.

(3) "Commissioner" means the Montana State Auditor and Ex Officio Commissioner of Insurance.

(4) "Exceptional increase" means a premium rate increase filed by an insurer as exceptional; and

(a) for which the commissioner determines the need for a rate increase to be justified;

(i) due to a change in laws or rules applicable to long-term care coverage in this state; and

(ii) due to increased and unexpected utilization that affects the majority of insurers of similar products.

(b) except as provided in ARM 6.6.3124, exceptional increases are subject to the same requirements as other premium rate increases;

(c) the commissioner may request professional actuarial review of the basis for an exceptional increase submitted for commissioner approval;

(d) the commissioner in determining whether there is a necessary basis for an exceptional increase shall also determine any potential offsets to higher claims costs.

(5) "Group long-term care insurance" is defined in 33-22-1107(5), MCA.

(6) "Incidental" means that the value of the long-term care benefits provided is less than 10% of the total value of the benefits provided over the life of the policy. These values shall be measured as of the date of issue.

(7) "Long-term care insurance" is defined in 33-22-107(6), MCA.

(8) "Policy" is defined in 33-22-1107(7), MCA.

(9) "Qualified actuary" means a member in good standing of the American Academy of Actuaries.