The Corporate Governance Annual Disclosure Model Act and Model Regulation have been adopted by the National Association of Insurance Commissioners (NAIC) and have been passed into law by California, Indiana, Iowa, Louisiana and Vermont. Other states are expected to follow suit in the near future.
The Model Act provides for extensive disclosure about corporate governance procedures, usually to the lead state regulator for an insurance group, about
The specific disclosures within those areas will, most likely, be determined by regulation. The NAIC-proposed Model Regulation includes some surprisingly invasive items, such as
The first reports by those insurance groups that have insurance companies domiciled in states that have adopted the Model Act are generally due June 1, but other dates will apply in individual states and will evolve as the law rolls out across state legislatures.
In addition to the Model Act's adoption by California, Indiana, Iowa, Louisiana and Vermont, other states are rapidly moving ahead. For example, measures have been introduced in Rhode Island, where the bill was passed by the House and recommended for passage by a Senate committee, and in Florida, where legislation is pending in both chambers of the legislature to impose reporting by 2018. Pennsylvania's regulator has given passage a high priority.
The NAIC Financial Regulation Standards and Accreditation Committee has recommended a one-year comment period, which began on January 1, as to whether large parts of the Model Act would be required for individual states to be accredited. This move would result in almost all states adopting these provisions and requiring reports from insurers.The exact content of the reports is expected to continue to evolve as we move toward June 1, but insurers should be preparing to share an unprecedented level of detail on corporate governance procedures with insurance regulators annually once the statutes are adopted.
Bill Goddard will be speaking on a panel, "Future of Insurance and Innovation," at InsuranceConnect 2019, a conference being held at VisionLoft Insurance Services in Indianapolis, IN.
Bill Goddard will be having a one-on-one dialogue with New York Department of Financial Services Special Deputy Superintendent and head of the New York Liquidation Bureau, David Axinn, about current insurance receivership issues in New York and elsewhere at the International Association of Insurance Receivers (IAIR) and Association of Insurance & Reinsurance Run-Off Companies (AIRROC) Joint Issues Forum in New York, NY on Saturday, August 3.
Bill Goddard will be speaking on "Restructuring Mechanisms" at the Eighth Annual Symposium on Insurance Regulation, presented by the Financial Examiners Educational Foundation (FEEF) and held in New York, NY on Friday August 2.
Day Pitney Alert
Bill Goddard will moderate a panel, entitled "Liability & Regulatory Issues in Cybersecurity," at the National Organization of Life and Health Insurance Guaranty Associations (NOLHGA) 27th Annual Legal Seminar in Boston, MA.
Dan FitzMaurice co-authored a roundtable symposium article, "Establishing and Maintaining an Arbitration Practice," published in the 3rd Quarter 2019 issue of ARIAS•U.S. Quarterly.
Day Pitney Press Release
Day Pitney LLP's representation of HDI Global Insurance Co. (HDI) was noted in an article, "1st Circ. Brushes Off Dental Co.'s Insurance Claim For TM Suit," published by Law360.
David Doot, Steven Cash and James Blackburn, IV authored an article, "Risk and Opportunity with the Industrial Internet of Things," which was published in the July-August 2019 issue of The Journal of Robotics, Artificial Intelligence & Law.
Day Pitney Press Release