In its continued mission to protect customers and ensure a competitive insurance market, the National Association of Insurance Commissioners (NAIC) has unveiled its priorities for 2023.
"Our plans for 2023 position us well to continue to advance state-based solutions on current challenging issues,” said NAIC president and Missouri Department of Commerce and Insurance director Chlora Lindley-Myers. “Through close collaboration, careful analysis, and coordinated action, state insurance regulators are committed to protecting consumers and competitive markets in an evolving world.”
As listed in an official release, NAIC’s regulatory priorities this year include:
Climate risk/natural catastrophe and resiliency – NAIC stated that its members will work to close climate risk-related protection gaps through an ongoing consumer education campaign, which would raise awareness of the need for coverage and how state commissioners can help.
Data/artificial intelligence, cybersecurity, and innovation – NAIC members will also empower pro-consumer innovation in the cyber insurance sector, by updating model laws, engaging with interested parties both in America and abroad, as well as creating new frameworks and guidance regarding insurers’ responsible data/AI use and cybersecurity response.
Insurer financial oversight and transparency – NAIC hopes to keep the insurance marketplace solvent and accountable. Specific plans to achieve this include resolving several considerations advanced by the Macroprudential Working (E) Group to address financial transparency around private-equity-affiliated insurers and traditional life companies and related investment activities.
Long-term care insurance (LTCI) – NAIC will examine a switch to a longer-term strategy, which includes implementing the Multistate Actuarial (MSA) Review Framework, to create a more consistent regulatory environment.
Marketing of insurance products – NAIC will develop a customized search tool which would allow consumers to access the license status of insurance producers selling health insurance, to help fight fraud and misleading insurance information. The association will also enhance its information-sharing capabilities to assist state insurance departments in spreading news of specific individuals and entities that have misled consumers or are misrepresenting their products.
“In 2023, NCOIL will continue to work tirelessly to advance model legislation that protects consumers and preserves the proven state-based system of insurance regulation,” said NCOIL CEO Tom Considine in a statement. “It is important to remember that the strongest consumer protection is a solvent company at the time of a claim, so legislators must always keep insurer solvency in mind.”