New Mexico Appoints Interim Insurance Superintendent

The New Mexico Public Regulation Commission appointed Craig Dunbar, a state official and title insurance veteran, as interim superintendent of insurance.

Dunbar, 59, is the state's third top insurance regulator in as many weeks. Superintendent Morris Chavez resigned as leader of the PRC's Insurance Division May 4. Deputy Superintendent Thomas Rushton became interim boss, but later announced his resignation (BestWire, May 18, 2010).

Prior to his appointment, Dunbar served as executive assistant to PRC Chairman David W. King, according to a commission statement. He has 35 years of title industry experience, including tenure in management. Dunbar will not be a candidate for a permanent replacement, PRC spokesman Gerald Garner said.

"His previous experience in the industry will benefit him and the agency as we move toward finding a permanent superintendent," Commission Vice Chairman Jerome D. Block said in a statement. "His willingness and commitment are admirable, and we look forward to his service on an interim basis."

A search committee composed of seven representatives from insurance and related industries, two appointees from each of the five elected commissioners and co-chairmen Fabian Chavez, a former state superintendent of insurance, and Loretta Armenta, president of Qwest Communications in New Mexico. The search committee is scheduled to submit the names of five finalists to the PRC no later than June 24.

The commission is scheduled to formally direct the Insurance Division to set aside an order that allowed Blue Cross and Blue Shield of New Mexico to raise premiums an average of 21% on policyholders in some of its individual health plans (BestWire, May 18, 2010). Chavez resigned one week after approving the deal.

The New Mexico Blues reached the settlement with Chavez just before a scheduled public hearing on its rate request. Under the agreement, the company raised rates an average of 21% on 12 individual plans with about 40,000 policyholders (BestWire, May 6, 2010). Blue Cross, a subsidiary of the Chicago-based Health Care Service Corp., said it's aware of the PRC's actions "and will wait to hear from the Insurance Division. We stand by the need to adjust our premiums as a result of rising medical costs," the company said in a statement (BestWire, May 18, 2010).

(By Sean P. Carr, Washington Correspondent: [email protected])