A recent development is a signal NAIC has taken it regulatory reach to a new level.
CHICAGO, Nov. 27 -- The Property Casualty Insurers Association of America issued the following news release:
The Property Casualty Insurers Association of America (PCI) expects catastrophe and international issues and corporate governance to be among the key topics at this week's NAIC Winter Meeting in National Harbor, Md.
In the wake of Hurricane/Superstorm Sandy, catastrophe issues are likely to be a major topic of discussion, with a public hearing of the Property and Casualty Insurance (C) Committee scheduled for Sunday, Dec. 2, from 8-10 a.m. eastern. The hearing is intended to provide an opportunity for members and interested parties to discuss how to improve post-disaster claim settlement practices for consumers.
"The industry response to Sandy is likely to be at the forefront of this discussion," said Deirdre Manna, PCI's vice president, industry, regulatory and political affairs. "The industry has responded quickly, and we look forward to discussing the many steps insurers have taken to help policyholders in need."
The Saturday meeting of the C Committee is scheduled for Saturday, Dec. 1, from 3-5 p.m. eastern, and it follows a meeting on Friday, Nov. 30, from 11 a.m.-12:30 p.m. eastern, of the Catastrophe Insurance (C) Working Group. The working group is expected to receive a presentation from the Federal Emergency Management Agency (FEMA) regarding a draft of its National Flood Insurance Program (NFIP) handbook for regulators.
"With Sandy still very much in the news, we expect renewed discussion about NFIP reforms and the program's increased debt to get a lot of attention from the working group," Manna said.
Corporate governance is also expected to be a key agenda item, with the Corporate Governance (E) Working Group expected to make policy decisions on a series of proposals to increase regulation of insurer corporate governance in 2013. Proposals during the meeting, scheduled from 8-9 a.m. eastern on Friday, Nov. 30, could include new annual disclosures regarding insurer board activity and the operation of internal controls in general.
"PCI believes that no regulatory need has been demonstrated for the working group's proposals, and we will continue to oppose them in their current form," Manna said.
In the international arena, the International Insurance Relations (G) Committee will meet from 3-5 p.m. eastern on Thursday, Nov. 29. It will hear updates on the NAIC's work with the International Association of Insurance Supervisors (IAIS) and its activities. The chief focus is expected to be on the ComFrame project for the supervision of global insurance groups and the IAIS's proposals for identification and increased regulation of global systemically important insurers (GSIIs), if any are identified.
"PCI will continue to urge that ComFrame focus on improving the efficiency and effectiveness of group supervision rather than imposing additional regulation on global insurers, and that the regulatory measures applied to any identified GSIIs be limited as far as possible to the non-insurance and non-traditional insurance activities that may pose systemic risk," Manna said.
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