Washington D.C. hosted the National Association of Insurance Commissioners (NAIC) meeting in December, days after the issuance of the long-awaited Federal Insurance Office (FIO) report on insurance regulation modernization. Discussions continued on corporate governance, reinsurance changes, the 2013 ORSA pilot and the use of captives by life insurers.
NAIC Winter 2013 meeting
Washington D.C. hosted the National Association of Insurance Commissioners (NAIC) meeting in December days after the issuance of the long-awaited Federal Insurance Office (FIO) report on insurance regulation modernization.
The FIO’s report seemed merely to nibble at the edges of the current regulatory structure, in what might have been a big relief for state regulators. But there were still differences among state regulators at the meeting, with issues including the use of affiliated captives by life insurers, Affordable Care Act accounting measures, and NAIC corporate governance prompting open disputes during working sessions. Still much was positive, including the results of the 2013 ORSA pilot.
Other items of interest in this meeting include strong support for the NAIC’s position in opposition to global insurance capital standards (ICS), concern over the Financial Stability Oversight Council (FSOC), light discussion on Principle-Based Regulation (PBR) for life insurers and frustrations over the Corporate Governance Model Act.
Features of the NAIC Update
This issue of the NAIC Update features the following:
- Corporate governance model hits snag
- Reinsurance changes move forward at NAIC, states
- 2013 ORSA pilot results are positive
- Life insurer-owned captive use concerns regulators
- A private equity leader provides assurances on the staying power of the sector’s capital
- Actuarial, accounting and health updates