The following represents an executive summary of the key decisions made by the National Association of Insurance Commissioners (NAIC) during the 2018 Spring National Meeting.
The Executive (EX) Committee held a joint session with the Internal Administration (EX1) subcommittee, on March 24, 2018, in a regulator-to-regulator session. The committee and subcommittee adopted the March 23 Information Systems (EX1) Task Force report, which included the following action: 1) received an operational report from NAIC staff for information technology (IT) activities of the NAIC, and 2) received an update on the review of the new 2018 fiscal impact statement with a technology component from the Technical Consulting (EX1) Working Group.
The committee received a status report of model law development efforts for amendments to the following:
- Health Insurance Reserves Model Regulation (#10);
- Health Carrier Prescription Drug Benefit Management Model Act (#22);
- Accident and Sickness Insurance Minimum Standards Model Act (#170);
- Model Regulation to Implement the Accident and Sickness Insurance Minimum Standards Model Act (#171);
- Annuity Disclosure Model Regulation (#245);
- Suitability in Annuity Transactions Model Regulation (#275)
- Creditor-Placed Insurance Model Act (#375);
- Life and Health Insurance Guaranty Association Model Act (#520)
- Life Insurance Disclosure Model Regulation (#580);
- Life Insurance Illustrations Model Regulation (#582);
- Mortgage Guaranty Insurance Model Act (#630);
- Short Duration Long-Term Care Policies Model Law;
- Travel Insurance Model Law;
- Lender-Placed Real Property Insurance Model Act.
Big Data (EX) Working Group
The Big Data (EX) Working Group met on March 24, 2018. The working group discussed a memorandum which is intended to aid state regulatory review of complex models used in personal auto and homeowner insurance rate filings. The principles discussed included 1) preserve state regulator authority over the regulation of insurance rates, 2) state regulator should work in a manner to allow for the sharing of information that will increase speed to market, 3) state regulators sharing expertise pertaining to technical aspects of evaluating complex predictive models, and 4) state regulators will seek to ensure state confidentiality applies.