NCCI's Take-Out Credit Program (TOC Program) encourages the depopulation of the residual market by providing a credit incentive to insurers for moving a risk from the residual market to the voluntary market. Credits are applied that reduce the amount of premium used in calculating insurers’ Plan participation base.
NCCI administers the TOC Program in the following states: Alabama, Alaska, Arizona, Arkansas, Connecticut, District of Columbia, Georgia, Illinois, Indiana, Iowa, Kansas, Mississippi, New Hampshire, New Mexico, Oregon, South Carolina, South Dakota, Tennessee, Vermont, Virginia, and West Virginia.
Highlights for this program include:
- The automated residual market TOC Program identifies eligible policies and determines the take-out credit based on the filed and approved program in each applicable state
- Annual electronic notification of the carrier's estimated take-out credit, including detailed information on policies, premium, and credit calculations by state
- Access to Take-Out Credit application to:
- Review the TOC report and revise policy information, if needed
- Submit electronic requests for the NCCI-calculated take-out credit
- View historical take-out credit information