MATTER OF COMMISSIONER OF INS.


132 N.J. 209 (1993)

624 A.2d 565

IN THE MATTER OF THE COMMISSIONER OF INSURANCE'S MARCH 24, 1992 ORDER REGARDING THE JANUARY 24, 1992 RATE FILING BY THE MARKET TRANSITION FACILITY OF NEW JERSEY.

The Supreme Court of New Jersey.

Decided May 24, 1993.


Attorney(s) appearing for the Case

Joseph L. Yannotti, Assistant Attorney General, argued the cause for appellant Commissioner of Insurance of New Jersey (Edward J. Dauber, Acting Attorney General of New Jersey, attorney; Sharon M. Hallanan, Thomas M. Hunt, Adam Scaramella, and Katherine Motley, Deputy Attorneys General, on the briefs).

John J. Degnan argued the cause for respondent Chubb Group of Insurance Companies (Mr. Degnan and Lawrence C. Johnson, attorneys).

Julius B. Poppinga argued the cause for respondents American Manufacturers Mutual Insurance Company, American Motorist Insurance Company, American Protection Insurance Company, Atlantic Employers Insurance Company, Colonial Penn Insurance Company, Liberty Mutual Insurance Company, Lumbermens Mutual Casualty Company, Pacific Employers Insurance Company, Transamerica Insurance Company, and Utica Mutual Insurance Company (McCarter & English, attorneys for Atlantic Employers Insurance Company, Pacific Employers Insurance Company, and Colonial Penn Insurance Company; Bressler, Amery & Ross, attorneys for Lumbermens Mutual Casualty Company, American Manufacturers Mutual Insurance Company, American Motorist Insurance Company, American Protection Insurance Company, Transamerica Insurance Company, and Utica Mutual Insurance Company; Cuyler, Burk & Matthews, attorneys for Liberty Mutual Insurance Company; Mr. Poppinga, Rosalie Burrows, Gerard G. Brew, Cynthia J. Borrelli, and Anne Mohan, on the brief).

Susan Stryker argued the cause for respondent Aetna Casualty and Surety Company (Hannoch Weisman, attorneys).

Thomas P. Weidner argued the cause for respondent State Farm Mutual Automobile Insurance Company (Jamieson, Moore, Peskin & Spicer, attorneys; Mr. Weidner and Deborah T. Poritz, of counsel; Mr. Weidner, Ms. Poritz, and Julie Riley Tattoni, on the brief).

William G. Becker, Jr., submitted a letter brief on behalf of respondent The Continental Insurance Company of New Jersey (Shanley & Fisher, attorneys).

Suzanne M. McSorley submitted a letter in lieu of brief on behalf of respondent Allstate Insurance Company (Smith, Stratton, Wise, Heher & Brennan, attorneys).

Richard D. Catenacci argued the cause for amicus curiae New Jersey Manufacturers Insurance Company (Connell, Foley & Geiser, attorneys; Mr. Catenacci, Patricia J. Pindar, and Paul T. Fader, on the brief).

Elmer M. Matthews argued the cause for amicus curiae American Insurance Association (Clapp & Eisenberg, attorneys).


The opinion of the Court was delivered by O'HERN, J.

This appeal concerns the plan of operation created by the Fair Automobile Insurance Reform Act of 1990, N.J.S.A. 17:33B-1 to -63 (the Fair Act, FAIRA, or the Act). The Fair Act created the Market Transition Facility (MTF or the facility) as an agency to provide automobile-insurance coverage to high-risk drivers during a two-year phaseout of the Joint Underwriting Association (JUA), which had been created...

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