As the various NAIC groups and state regulators continue to ascertain the seaworthiness of insurers’ use of consumer data, algorithms, and machine learning, these lookouts have set their sights on unfair discrimination. The...more
The NAIC’s Privacy Protections Working Group has updated its work plan, planting two crops for its fall 2023 harvest: Time will tell what other seedlings catch the NAIC’s eye. The above dates, however, are subject to growing...more
More than 200 regulators and interested parties attended the NAIC’s Cybersecurity (H) Working Group’s first meeting of the year on March 23. The working group, made up of 23 states, co-chaired by Missouri and New York, is...more
The Life Insurance and Annuities (A) Committee sprang into action during the NAIC Spring 2022 National Meeting in April. The A Committee discussed recent activities and 2022 plans for its Life Actuarial Task Force (LATF), its...more
With spring’s arrival, a bouquet of differing NAIC groups and states is popping up to consider the use of big data and algorithms by insurers, including algorithms based on machine learning. Many are focusing on life...more
On February 24, 2022, the NAIC Life Actuarial (A) Task Force discussed the comments to its December 9, 2021, exposure draft on whether to address indexed universal life (IUL) illustrations of volatility-controlled index...more
On November 29, the NAIC Index-Linked Variable Annuity (A) Subgroup (ILVA Subgroup) issued a proposed actuarial guideline to clarify the application of NAIC Model 250, Variable Annuity Model Regulation, and NAIC Model 805,...more
With the growing use of algorithms and external consumer data, several national and international bodies have recently drafted work product or proposed regulations as follows...more
On November 18, calling frozen federal legislative efforts “an opportunity” for state insurance regulators to “update state privacy protections … and potentially forestall or mitigate the impacts of any preemptive federal...more
The NAIC groups working on illustration issues reported little activity at the 2021 NAIC Summer National Meeting.
The Life Insurance Illustration Issues (A) Working Group’s (Life Illustration WG) charge has been to...more
A new E-Commerce (EX) Working Group (E-Commerce WG) class has been added to the NAIC course catalog to learn how to expand the use of technology, specifically e-signature, e-delivery, e-notary, and e-education, in insurance....more
On December 9, 2020, the NAIC Executive Committee adopted provisions to section 4(H) of the NAIC Unfair Trade Practices Act (Model 880) allowing insurers and producers to provide consumers with value-added products and...more
In February 2020, the NAIC approved revisions to the Suitability in Annuity Transactions Model 275, adopting a four-part best interest obligation, including the following obligations: care, disclosure, conflict of interest,...more
In 2020, the NAIC formed the Special (EX) Committee on Race and Insurance to consider what measures insurance regulators and the industry can take to increase diversity and inclusion within the insurance industry and to...more
Just in time for the holidays, the Innovation and Technology Task Force (Innovation TF) and the NAIC Executive (EX) Committee adopted revisions to Section 4(H) of the NAIC Unfair Trade Practices Act (Model 880). ...more
As the year of COVID-19 closes, NAIC groups are adopting their charges for 2021. Especially notable are the following: LATF’s Indexed Universal Life Illustration Subgroup will:
This group will finalize its white paper on...more
The NAIC Virtual Summer National Meeting marked that it is time to get back to school for a number of annuity and life disclosure and illustration initiatives. Both regulators and insurers will need to sharpen their pencils...more
The NAIC and the Interstate Insurance Product Regulation Commission (“Compact”) are cooking up various initiatives that will impact life and annuity issuers. Below is the spread of the different issues....more
The rebating drafting group of the NAIC’s Innovation and Technology (EX) Task Force (“Innovation TF”) has been busy all summer working on proposed changes to section 4(H) of the NAIC’s Unfair Trade Practices Act (UTPA). On...more
While everyone may be growing weary, the work to revise the state insurance standard of care for annuity transaction recommendations is not quite finished. ...more
As accelerated underwriting (AU) and artificial intelligence (AI) begin to turn life underwriting upside down, several NAIC working groups are seeking to bring order to the disruption: the Big Data (EX) Working Group (“Big...more
9/4/2020
/ Artificial Intelligence ,
Big Data ,
Data Management ,
Insurance Regulations ,
Life Insurance ,
NAIC ,
Popular ,
Regulatory Agenda ,
Third-Party Service Provider ,
Underwriting ,
Working Groups
While everyone was working from home, the NAIC's Innovation and Technology (EX) Task Force (Innovation TF) was busy creating proposed new game rules on rebating. ...more
6/26/2020
/ Comment Period ,
Consumer Insurance Products ,
Financial Services Industry ,
Insurance Regulations ,
Life Insurance ,
NAIC ,
Rebates ,
Sandbox ,
Unfair or Deceptive Trade Practices ,
Unfair Trade Practices Act ,
Value-Added Services
After a brief hiatus due to COVID-19, the NAIC’s Privacy Working Group returned to work on May 5 discussing comments received on the working group’s markup of the NAIC Insurance Information and Privacy Protection Model Act...more
The Accelerated Underwriting (A) Working Group (AU WG) sprang into action during the first part of the year learning about the landscape of insurers' use of algorithms in underwriting and potential issues of such use, holding...more
Recognizing that the NAIC’s model consumer data privacy laws have not been revised since 2017, the NAIC Privacy Protections Working Group (Privacy WG) is dusting off the NAIC Insurance Information and Privacy Protection Model...more