If ISO calculates a Public Protection Classification (PPC®) resulting in a regression in class, ISO notifies the community but won’t distribute the information to the insurance industry to use for premium calculations. ISO will identify for the community the features that changed the classification. If the community wishes to improve its classification, ISO can help with the process and postpone publication of the new PPC for up to 90 days while the community develops an improvement plan. ISO then evaluates the plan and projected completion dates. The community should complete the improvements within six months* of receiving notification of the regressed PPC. During that time, the previous classification will remain as the distributed PPC.
*Because of the implementation of the revised FSRS in July 2013, ISO has extended the retrogression policy to one year for those communities that retrogress due to a new item in the revised FSRS.
ISO recognizes that communities may not wish to make changes. If the community decides not to improve the classification or does not notify ISO of any intention to improve, ISO will publish the new PPC.