SCC News

RICHMOND – If you are covered under Medicare, or will soon be eligible for Medicare coverage, the State Corporation Commission’s (SCC) Bureau of Insurance (Bureau) offers a helpful tool for you: the Medigap Premium Finder. This tool allows you to search and compare annual premiums for Medicare Supplement plans. These optional plans, also known as “Medigap” and offered by private insurance companies, are designed to help pay deductibles, copayments and some out-of-pocket costs, and provide other benefits that Medicare does not cover. Medigap policy premiums are separate from any other premiums consumers pay for Medicare coverage.

There are 12 different Medigap plans – A through N – from which consumers can select. Premiums can vary significantly depending on the insurance company and plan you choose. While comparison shopping for prices, benefits, and services can seem daunting, the Medigap Premium Finder helps simplify this task. This one-stop shopping tool allows you to search by ZIP Code to see the names and contact information for insurance companies writing Medigap insurance in your area, as well as those companies’ coverage options and annual premiums.

Comparison shopping can result in considerable cost savings and help consumers find a company and policy that best suits their needs. The Bureau encourages Virginians to comparison shop before selecting a specific Medigap plan.

Consumers can access the Medigap Premium Finder at scc.virginia.gov/pages/Med-Premium-Finder. The website also includes the Virginia Medigap Guide and other valuable consumer insurance information.

The Bureau’s Life and Health Division also has specially trained staff who can help with your questions regarding Medigap insurance. To contact them, call 804-371-9691 in Richmond or toll-free at 1-877-310-6560 or email the Bureau at BureauofInsurance@scc.virginia.gov.

Additionally, the Bureau offers free consumer outreach programs on a number of insurance-related topics, including Medigap. Speakers are available to talk to your group or organization on the insurance topics of your choice and can provide answers to general questions regarding insurance. For more information, contact the Bureau’s Outreach Section at 804-371-9389 or e-mail ConsumerOutreach@scc.virginia.gov.

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Contact: Katha Treanor, 804-371-9141

RICHMOND – September is National Preparedness Month, an annual observance to raise awareness about the importance of preparing for disasters and emergencies that could happen at any time. This also marks the midpoint of the Atlantic hurricane season, the peak period when potentially deadly tropical cyclones form in the Atlantic Ocean. As such, the State Corporation Commission (SCC) is urging Virginians to think ahead and act now to protect themselves and their families.

“It’s critical to ensure that your insurance coverage is up-to-date so you can minimize any financial damage,” said Virginia Insurance Commissioner Scott A. White. “Take time to review each of your insurance policies so you know exactly what is – and is not – covered.”

The Atlantic hurricane season runs from June 1 through November 30. Once a hurricane develops in the Atlantic, it may be difficult to find an insurance company willing to write coverage until after the storm threat passes.

Keep in mind that hurricane damage is often caused by flooding, not high winds. Standard homeowners, renters and commercial insurance policies issued in Virginia typically do not provide coverage for damage from floods, surface water or storm surges. Coverage for flood damage is available to homeowners, renters and business owners in eligible communities through the National Flood Insurance Program. If you think you may need flood insurance, it’s important to prepare ahead of time since there is typically a 30-day waiting period before a new flood insurance policy takes effect. To learn more, visit www.floodsmart.gov/.

Creating an inventory of your personal property including photos, videotapes and serial numbers will help you prepare for emergencies. The National Association of Insurance Commissioners' free smartphone app — NAIC Home Inventory — makes creating a home inventory quick and easy. Keep this inventory and your insurance policies in a safe place and take them with you if you evacuate. Your policy contains the policy number and insurance company’s phone number if you have questions or need to file a claim.

For information about these or other insurance-related topics, contact the Virginia Bureau of Insurance in Richmond at (804) 371-9741 or toll-free at 1-877-310-6560 or visit its website at scc.virginia.gov/pages/Insurance.

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Contact: Ford Carson, 804-371-9141

RICHMOND – August 11 (811 Day) is the day recognized in the Commonwealth to remind Virginians of the importance of always contacting Virginia 811 before you dig. Virginia 811 is the one-call notification center created by Virginia’s utilities to protect their underground facilities.

Contacting Virginia 811 to have your underground utilities located is a simple, no-cost process. If your digging project is taking place at a single address, go online at www.va811.com to enter your request. This online service is available 24 hours a day, 365 days a year.

You may also call 8-1-1 Monday through Friday, 7 a.m. to 5 p.m., excluding state and national holidays. Emergency notification service is available 24/7, 365 days a year as well. Know What’s Below, contact Virginia 811 before you dig and Dig with C.A.R.E!

C.A.R.E. means:

• Contact Virginia 811 before you dig.
• Allow the required time for marking.
• Respect and protect the marks.
• Excavate carefully.

Help keep Virginia’s underground utility infrastructure damage-free and our communities, business districts and environment safe by taking this important first step.

To learn more about “Digging with C.A.R.E.” and Virginia’s underground utility damage prevention program, contact the State Corporation Commission’s Division of Utility and Railroad Safety at 804-371-9980 or visit scc.virginia.gov/pages/Utility-Railroad-Safety.

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Contact: Katha Treanor, 804-371-9141

RICHMOND – The State Corporation Commission (SCC) has approved an application by Dominion Energy Virginia for cost recovery associated with its proposed Coastal Virginia Offshore Wind Project (CVOW). The project consists of 176 wind turbines, each designed to generate 14.7 megawatts, to be located approximately 27 miles off the coast of Virginia Beach. The project is expected to have a capital cost of $9.8 billion and will likely be the largest capital investment, and single largest project, in the history of Dominion Energy Virginia.

The Commission also approved the electric interconnection and transmission facilities to connect CVOW reliably with the existing transmission system.

The Commission approved a revenue requirement of $78.702 million for the rate year of September 1, 2022, to August 31, 2023, to be recovered through a new rate adjustment clause (Rider OSW). Over the projected 35-year lifetime of the project, for a residential customer using 1,000 kilowatt-hours of electricity per month, Rider OSW is projected to result in an average monthly bill increase of $4.72 and a peak monthly bill increase of $14.22 in 2027. The rate adjustment clause is effective for usage on and after September 1, 2022.

In 2020, the Virginia General Assembly enacted the Virginia Clean Economy Act (VCEA) that declared in order to meet the Commonwealth’s clean energy goals prior to December 31, 2034, the construction or purchase by a public utility of one or more wind generation facilities off the state’s Atlantic shoreline is in the public interest.

Following a full proceeding, the Commission found, as directed by the General Assembly, that construction of CVOW is in the public interest.

In its final order, the SCC stated: “In so finding that these costs must be recovered from customers, the Commission is also keenly aware of the ongoing rise in gas prices, inflation, and other economic pressures that are impacting all utility customers. This is a prescriptive statute, and we applied it based on the record in this case.”

The Commission further stated that significant concerns were raised throughout the proceeding regarding the affordability of the project and the financial risk to ratepayers. With a project of this magnitude, the SCC ordered the following consumer protections:

• Dominion shall file a notice with the SCC within 30 calendar days if it determines that the total project costs are expected to exceed the current estimate, or if the final turbine installation is expected to be delayed beyond February 4, 2027.
• Each annual Rider OSW update application filed by Dominion prior to the project’s commercial operation shall include any material changes to the project, the most recent biannual project update, and a written explanation as to the reason for any cost overruns above the most recent estimate provided by the company to include the reasonableness and prudence of the additional costs.
• Beginning with the commercial operation and extending for the life of the project, customers shall be held harmless for any shortfall in energy production below an annual net capacity factor of 42 percent, as measured on a three-year rolling average.

In a concurring opinion, Commissioner Jagdmann wrote that she agrees with the Final Order in all respects. She emphasized:

• This is a legislatively favored Project. If the elements of Code § 56 585.1:11 are met, the costs of the Project are presumed "reasonable and prudent" – which means, in effect, "ratepayers pay." While no case participants oppose this Project – most urge the Commission to enact ratepayer protections given the high cost of this Project and its significant risk.... [T]he Commission has added specific protections – those being a requirement for regular reporting and a requirement (referred to as the "performance standard") that Dominion fund the cost of replacement power if the Project doesn't run or produce the quantity of power projected in the Company's analysis. But these protections do not address the Project's already high projected cost or the fact that the projected price could well [increase].... These protections also do not completely address potential Project abandonment risks. Importantly, the General Assembly has effectively maintained its ability to implement additional protections – for example through funding mechanisms such as general fund appropriation or other means, such as implementing new legislation designating the consumer-funded proceeds from Dominion's participation in the Regional Greenhouse Gas Initiative ("RGGI") be used to lessen the cost of the CVOW Project.... Such action may be appropriate given the public policy support for and economic development aspects of this Project.

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Contact: Andy Farmer or Ford Carson, 804-371-9141

Case Number PUR-2021-00142 – Application of Dominion Energy Virginia for approval and certification of the Coastal Virginia Offshore Wind Commercial Project and Rider Offshore Wind
View Final Order

RICHMOND – The State Corporation Commission (SCC) has denied authorization for the Virginia Credit Union (VACU) to expand its field of membership to include the Medical Society of Virginia (MSV).

VACU had sought the SCC's approval to expand its field of membership to include MSV. The Virginia Bankers Association and seven banks opposed the requested expansion.

In its final order, the Commission said the Code of Virginia (§ 6.2-1328) provides a clear directive that: “When practicable and consistent with reasonable safety-and-soundness standards, the Commission shall encourage the formation of a separately chartered credit union instead of adding a new group to the field of membership of an existing credit union.”

After full proceedings, the Commission found that VACU did not meet its burden to show that the formation of a separate credit union by MSV is not practicable or is not consistent with reasonable safety-and-soundness standards.

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Contact: Andy Farmer, 804-371-9141

Case Number BFI-2019-00049 – Virginia Bankers Association, et al. v. Virginia Credit Union, Inc., et al.

RICHMOND – August is the time many students head to college, some for the first time. In addition to new classes, instructors, friends and living quarters, this time can also bring new insurance needs.

The State Corporation Commission’s (SCC) Bureau of Insurance (Bureau) encourages Virginia families with college students to make sure their college prep checklist includes a thorough review of both their own insurance needs as well as those of their students. “Protect yourself and your family financially by ensuring your student has the insurance coverage they need before they leave for college,” said Virginia Insurance Commissioner Scott A. White. “Review insurance coverage for their health, auto, living space and belongings and make sure they understand their coverage.”

The Bureau encourages parents and students to shop around for insurance coverage and compare premiums and policy provisions. Read any insurance policy carefully and make sure you understand exactly what is covered, as well as exclusions, deductibles and limits. If you have questions or concerns, contact your insurance agent or company. Additionally, the Bureau offers the following insurance considerations for parents and college students:

HEALTH

College students have several options for getting health insurance. Under federal law, students may be able to stay on their parents’ health insurance until they turn 26 years old. If your student remains on your health insurance policy, make sure they have a copy of any insurance cards and understand what services are covered, as well as know how to obtain referrals, if necessary, before seeking treatment. Under some health insurance policies, your student would need to find a physician or hospital that is within your insurance carrier’s provider network – except for emergency care – or pay more out of pocket if a provider is outside your carrier’s network.

Students who do not have health insurance through a parent's policy, or who have limited coverage due to provider networks or service areas, may opt to purchase a student health insurance plan through their college or university. Students also may be eligible for a Special Enrollment Period that would allow them to apply for a private health insurance plan through the federally-facilitated health insurance marketplace at HealthCare.gov.

PERSONAL PROPERTY AND HOUSING

College students often take many valuable items with them to school, such as laptops, printers, mobile phones, televisions, gaming devices and bicycles. When reviewing your insurance needs, consider how much it would cost to replace everything in your student’s dorm room or apartment if a theft or disaster occurred.
For students who live in on-campus student housing, their parents’ homeowners or renters policy may cover their belongings if they are stolen or damaged. Some policies, however, may limit the amount of coverage provided. Certain items – such as jewelry or expensive electronics – may require special coverage. In the event of a loss, policy deductibles may also apply.

Students living off campus should consider renters insurance, which generally covers a tenant's personal property as well as insures the tenant in case someone is injured on their leased premises. Landlords’ policies generally only cover the structure, not a renter’s possessions. Renters insurance premiums vary depending on the location and size of the rental unit and the value of the tenant's possessions.

No matter where your student lives, they should have a list of their belongings. An inventory of personal property will help you and your student determine how much insurance is needed. If a loss occurs, the inventory can facilitate the claims process. The National Association of Insurance Commissioners (NAIC) offers a free smartphone app that makes creating an inventory easy.

AUTO

For college students planning to take a car to school, parents should ask their insurance agent or company about coverage availability – as well as rates for the city and state where the college is located – before deciding whether to keep the student’s car on the family policy. If your student is attending college in another state, make sure you know that state’s minimum requirements for auto insurance coverage. Additionally, check with your agent or insurance company about good-student discounts on the vehicle’s insurance premiums for students who maintain good grades and any eligibility requirements.

Students whose names are on the title for a car must purchase their own auto insurance policy. However, they may be able to stay on their parents' policy if their parents own the vehicle they will use at school. Tell your insurance agent where the vehicle will be stored if the address is different from what is on the policy.

For more information, contact the Bureau toll-free at 1-877-310-6560 or in Richmond at 804-371-9741 or visit its website at scc.virginia.gov/pages/Insurance.

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Contact: Katha Treanor, 804-371-9141

RICHMOND – The State Corporation Commission (SCC) approved the 2021 Renewable Energy Portfolio Standard (RPS) development plan for Appalachian Power Company for new solar and onshore wind generation capacity. The company is required to submit an annual plan to the SCC to comply with the Virginia Clean Economy Act (VCEA).

For the limited purpose of this second annual RPS plan filing, the SCC found that Appalachian Power’s plan is reasonable and prudent.

The company requested approval to acquire or contract for seven new facilities which combined represent approximately 493 megawatts renewable generation capacity. Five solar facilities will be located in Virginia, one wind facility will be located in Illinois, and one solar facility will be located in West Virginia.

The SCC also approved a revenue requirement of $32,069,614 for the recovery of VCEA-related resources for the rate year of August 2022 through July 2023.

In its final order, the Commission stated, “As always, the Commission is guided by the statutes and the record. In doing so, we have exercised the Commission’s delegated discretion in a manner that faithfully implements the VCEA requirements that include carbon reduction, while best protecting consumers who expect and deserve reliable and affordable service.”

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Contact: Andy Farmer, 804-371-9141

Case Number PUR-2021-00206 - Application of Appalachian Power Company for approval of its 2021 RPS Plan

RICHMOND –  The State Corporation Commission (SCC) approved a proposed increase to the fuel rate for customers of Kentucky Utilities, doing business as Old Dominion Power Company (KU/ODP), at the level previously implemented.

The Commission previously permitted the rate increase to go into effect on an interim basis, subject to further modification, effective April 1, 2022. For a typical residential customer using 1,000 kWh per month, it represented an increase of $6.15 on a monthly bill.

The fuel rate is the portion of the electric bill that pays for the fuel used to generate electricity and costs associated with power purchased by the utility company to serve its customers.

In its final order, the Commission is implementing the recommendation of an SCC hearing examiner that was not opposed by any party to the case.

The Commission stated: “In approving this previously implemented interim increase in the fuel factor, the Commission notes its awareness of the ongoing rise in gas prices, inflation, and other economic pressures that are impacting all utility customers. We are sensitive to the effects of rate increases, especially in times such as these. The Commission, however, must follow the laws applicable to any rate case, as well as the findings of fact supported by the evidence in the record. This is what we have done herein.”

Kentucky Utilities provides electric service to approximately 27,000 customers in Wise, Lee, Russell, Scott and Dickenson counties.

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Contact: Andy Farmer, 804-371-9141

Case Number PUR-2022-00021 – Application of Kentucky Utilities Company to revise its fuel factor

RICHMOND – The State Corporation Commission (SCC) is inviting public comment regarding bringing a new area code to Virginia regions now served by the 804 area code. It is projected that the 804 area code could run out of available numbers during the third quarter of 2024.

The 804 area code encompasses portions of Central Virginia and the Northern Neck including Richmond, Petersburg, Ashland, Charles City, Chesterfield, Columbia, Hague, Henrico, New Kent, Reedville and Water View.

The SCC is considering a proposal by the North American Numbering Plan Administrator for an all services distributed overlay of a new area code for the 804 area code region. Under this proposal, if adopted, a new area code would be superimposed over the same geographic region covered by the current 804 area code. Existing customers would retain their 804 area code and seven-digit telephone number.

If approved by the SCC, implementation of the new area code overlay would be completed by early 2024, which is six months prior to the anticipated 804 area code exhaust date.

The 804 area code is already transitioning to mandatory 10-digit dialing (three-digit area code plus the seven-digit phone number) due to the national implementation of 988 – the new three-digit abbreviated dialing code for the National Suicide Prevention Lifeline. The new 988 number begins operation on July 16, 2022. As a result of this transition, 10-digit dialing will already be in place in the 804 area code region prior to the implementation of the new overlay area code.

Anyone interested in submitting comments on the proposed area code change may do so by following the instructions found on the SCC website at scc.virginia.gov/casecomments/Submit-Public-Comments, or they may submit written comments to the State Corporation Commission, c/o Document Control Center, P. O. Box 2118, Richmond, Virginia 23218-2118. All comments must refer to case number PUR-2022-00083.

To learn more about 804 area code relief, visit scc.virginia.gov/pages/Public-Utility.

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Contact: Katha Treanor, 804-371-9141
Case number PUR-2022-00083

RICHMOND – For all the sun, fun and travel that comes with summer, the season also poses its share of risks. The State Corporation Commission's (SCC) Bureau of Insurance (Bureau) reminds Virginians to double-check with their insurance agent or company to assure sufficient insurance coverage in the event of an illness, theft or mishap.

“Whether you’re grilling with friends, driving, or boating, don’t let a lack of insurance coverage put a damper on your summer fun,” said Virginia Insurance Commissioner Scott A. White. “Anticipate summer hazards now to minimize their potential financial damage by ensuring your insurance coverage is adequate and up-to-date.”

The Bureau offers several tips to help Virginians protect themselves against potential risks. Keep your home, vehicles, belongings and personal information safe, especially when away on vacation. Know how much your auto and homeowners insurance will cover if someone steals belongings from your vehicle, home or yard. If hosting an event at your home – such as a yard sale, neighborhood cookout or pool party – know what type of insurance you may need if a guest is injured or if there is property damage. Also, understand your insurance coverages if severe summer weather damages your home or vehicles. Finally, understand any deductibles or coverage limits that may apply.

Additionally, the Bureau recommends you review and update your home inventory. This will help to ensure your homeowners or renters policy provides enough coverage for your belongings. Separate coverage may be needed for high-cost items like jewelry, art or electronics. A home inventory can help facilitate the claims process if damage or theft occurs. The National Association of Insurance Commissioners' free smartphone app — NAIC Home Inventory — makes creating a home inventory quick and easy. This app is available through the App Store and Google Play.

In the season of hurricanes and heavy rains, keep in mind that homeowners, renters and commercial insurance policies issued in Virginia typically do not cover damage to your home and belongings due to floods, surface water or storm surges. The federal government sells insurance covering direct flood and flood-related damage to homeowners, renters and businesses in eligible communities through its National Flood Insurance Program (NFIP). In most cases, there is a 30-day waiting period for a new flood insurance policy to take effect. To learn more about this program, contact your insurance agent or the NFIP at 1-800-427-4661 or visit floodsmart.gov. Some private insurers offer flood policies, so check with your insurance agent about the availability of a private flood insurance policy. In either case, ask whether your flood policy provides coverage for your personal property.

If you are planning a summer trip, understand your health insurance coverage in case you require medical treatment in an urgent care facility or hospital while traveling out-of-state or abroad. Bring health insurance information with you on your trip including identification cards and contact details for family members.

If you’re driving for vacation or to visit friends and family, make sure your auto insurance policy meets your specific needs before you leave. Check your liability limits to ensure adequate protection against personal injury or property damage arising from an accident while traveling. Keep your insurance company's contact information and a copy of your insurance card with you when you drive and know what to do if an accident occurs.

For information about these or other insurance-related topics, contact the Virginia Bureau of Insurance in Richmond at (804) 371-9741 or toll-free at 1-877-310-6560 or visit its website at scc.virginia.gov/pages/Insurance.

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Contact: Ford Carson, 804-371-9141