Missouri Department of Commerce and Insurance (DCI)

The Missouri Department of Commerce and Insurance (DCI) is the state agency responsible for regulating the Property & Casualty insurance industry in Missouri. The Department operates under state constitutional and statutory authority.

The Director of Insurance

The Director of Insurance is:

• Appointed (not elected) to oversee insurance regulation
• Responsible for enforcing Missouri Revised Statutes (RSMo) Chapters 375-379
• Authorized to adopt regulations, review rate filings, investigate violations, and discipline licensees
• Supported by the Department of Commerce and Insurance staff

Director Powers for P&C Insurance

Exam Tip: The Director of Insurance is APPOINTED, not elected. This is a common exam question specific to Missouri.

Rate Regulation System

Missouri uses a competitive rating approach for most P&C insurance:

Key Provisions

• Competitive Market System: Missouri generally allows market forces to regulate insurance rates
• Rate Filing Requirements: Insurers must file rates and supporting data with the Department
• Rate Standards: Rates must not be excessive, inadequate, or unfairly discriminatory
• Department Review: The Department reviews rates for compliance with statutory standards
• Consumer Protection: Balance between market competition and consumer protection

Rate Filing Process

1. Insurer Files Rates: Submits rate filing with actuarial support and documentation
2. Department Review: DCI reviews filing for compliance with rate standards
3. Approval Process: Department may approve, disapprove, or request modifications
4. Rate Implementation: Approved rates implemented according to filing terms
5. Ongoing Monitoring: Department monitors rates and market conditions

Exam Tip: Missouri emphasizes competitive market forces while maintaining regulatory oversight to ensure rates are not excessive, inadequate, or unfairly discriminatory.

Missouri Insurance Law Structure

Missouri Revised Statutes (RSMo) Chapters 375-379

Missouri insurance regulation is codified in RSMo Chapters 375-379, which cover:

Chapter 375 - Provisions Applicable to All Insurance Companies

• Insurance code definitions and general provisions
• Director authority and Department organization
• Producer licensing (Insurance Producers Act)
• Unfair trade practices (RSMo 375.930-375.948)
• Policy form approval requirements

Chapter 376 - Regulation of Trade Practices in Insurance Industry

• Trade practice regulations
• Marketing and advertising requirements
• Prohibited business practices
• Consumer protection provisions

Chapter 377 - Mutual Insurance Companies

• Mutual insurance company regulation
• Organization and operation requirements
• Policyholder rights

Chapter 378 - Insurance Companies Other Than Life, Health, Accident

• Property and casualty insurer requirements
• Capital and surplus standards
• Financial reporting obligations

Chapter 379 - Kinds of Insurance, Provisions Applicable

• Auto insurance requirements
• Liability insurance provisions
• Property insurance regulations
• Missouri Automobile Insurance Verification System (MAIVS)

Exam Tip: Focus on Chapter 375 for producer licensing and unfair trade practices, and Chapter 379 for auto insurance requirements. These are heavily tested on the Missouri state portion.

Missouri Department of Commerce and Insurance Organization

The Department operates through several functional divisions:

Consumer Protection Functions

Consumer Services

The Department provides consumer protection through:

• Consumer Hotline: (800) 726-7390 for complaints and questions
• Producer Licensing: (573) 751-2619 for licensing inquiries
• Email: consumeraffairs@dci.mo.gov
• Online Complaint Filing: Available at insurance.mo.gov
• Educational Resources: Consumer guides and insurance information

Complaint Process

1. Consumer Files Complaint: Online at insurance.mo.gov or by phone/mail
2. Department Review: DCI reviews complaint and contacts insurer or producer
3. Investigation: Department investigates and requests documentation
4. Response Required: Insurer/producer must respond within specified time
5. Resolution: Department facilitates resolution or takes enforcement action
6. Follow-up: Department tracks outcome and consumer satisfaction

Common Complaint Types

• Premium disputes and billing issues
• Claims handling delays and denials
• Policy cancellations and non-renewals
• Producer misconduct or misrepresentation
• Coverage disputes and policy interpretation
• Unfair trade practices

Exam Tip: The Missouri Consumer Hotline is (800) 726-7390. This number frequently appears on exams. The producer licensing line is (573) 751-2619.

Missouri Automobile Insurance Verification System (MAIVS)

Missouri operates an electronic insurance verification system to enforce mandatory auto insurance requirements:

MAIVS Key Features

• Real-Time Verification: Electronic system verifies insurance coverage instantly
• Insurer Reporting: All insurers must report policies to MAIVS database
• Law Enforcement Access: Police can verify coverage during traffic stops
• DMV Integration: Department of Revenue monitors uninsured vehicles
• Compliance Enforcement: System identifies uninsured motorists
• Registration Suspension: Vehicles without insurance face registration suspension

How MAIVS Works:

1. Insurers report all auto policies to MAIVS database daily
2. System matches policies to registered vehicles
3. DMV identifies vehicles without insurance coverage
4. Notices sent to vehicle owners requiring proof of insurance
5. Registration suspended if insurance not verified
6. Reinstatement requires proof of insurance and fees

Exam Tip: Missouri's MAIVS system is unique and frequently tested. Know that it's an electronic verification system that matches insurance policies to registered vehicles to enforce mandatory coverage.