The National Association of Insurance Commissioners (NAIC) has renewed its support for federal, state and international regulatory cooperation in its 2013 annual report, ‘State-Based Insurance Regulation: The System at Work’.
The NAIC remains committed to both educating and learning from insurance supervisors globally. This was underlined when US regulators and NAIC staff participated in technical training and dialogues with regulators from the Association of Latin American Insurance Supervisors (ASSAL), China and Thailand.
In addition, regulator-to-regulator dialogues were held throughout 2013 with supervisors from Bermuda, Canada, China, Japan, and Switzerland—ostensibly laying the foundations for cross-border insurance information sharing, policy coordination and standard-setting.
The EU-US Dialogue Project Steering Committee, which convened a public forum on 14 December, was also highlighted during the paper.
The report also provides a review of 2013’s regulatory activity including: government relations international insurance supervision, financial regulation, market regulation, and consumer education.
NAIC CEO, Senator Ben Nelson, commented: "This past year, state insurance regulators faced myriad challenges on local, national, and international fronts. However, NAIC members worked collaboratively to tackle health care reform implementation, contribute to international standard-setting, and help consumers recover from natural disasters, to name a few.”
At the Summer National Meeting, the NAIC passed a resolution articulating support for TRIA reauthorisation. In September, the NAIC sent a letter to the Treasury Department further urging the President’s Working Group on Financial Markets to consider the ramifications of a lapse in the program. The NAIC also sent letters to leadership in the US House of Representatives and US Senate.
The NAIC adopted the Process for developing and maintaining its list of qualified jurisdictions in August 2013, which was developed to evaluate the reinsurance supervisory systems of non-US jurisdictions for reinsurance collateral reduction purposes.
Under the NAIC model law and regulation regarding credit for reinsurance, reinsurers licensed and domiciled in a qualified jurisdiction are eligible to be certified for reduced reinsurance collateral requirements the NAIC approved the reinsurance supervisory authorities in Bermuda (for limited classes of (re)insurers), Germany, Switzerland and United Kingdom as conditional qualified jurisdictions—effective 1 January 2014.
The full version of the NAIC’s annual report can be found here.
