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NAIC Releases Three 2021 Fiscals for Public Comment

NAIC Releases Three 2021 Fiscals for Public Comment

WASHINGTON (March 17, 2021) —The National Association of Insurance Commissioners (NAIC) announced today it has released for public comment three fiscal impact statements related to its 2021 budget for a two-week exposure period following approval by the NAIC Internal Administration (EX1) Subcommittee and the NAIC Executive (EX) Committee during a joint meeting held on March 16, 2021.

The proposed fiscals are:

  1. P/C Rate Model Review Staffing Resources – 28 state insurance departments have signed the Rate Review Support Services Agreement, with six more considering signing. These agreements provide states the opportunity to request a rate filing model technical review from the NAIC. As demand has increased beyond current staffing capacity, this fiscal will enable the NAIC to staff the Model Review team appropriately through the addition of an Actuarial Analyst and a P/C Rate Modeling Actuary.

 

  1. SBS State Implementations – This fiscal builds on the recently completed multi-year initiative to transition 26 licensed states from the SBS legacy system to the new updated platform. As a result of the improved platform, four new states have been licensed with requirements to either begin or complete implementations in 2021. The effort to implement these states eclipses current staffing capacity available. To that end, this project requires funding for consulting resources to complete the implementations of two states in 2021 and begin the implementation work required for two others.

 

  1. SERFF Modernization – Mobilization and Pilot Phase – This fiscal requests funding for the initial phase of a multi-phased initiative to modernize SERFF, the NAIC’s 21-year-old rate and form filing platform, which hasn’t been redesigned since 2006. Since then, there have been numerous new developments in document management, document workflow, and text processing using artificial intelligence. This project seeks to use an iterative approach to replace the current platform with such tools and other technical innovations to improve operational efficiency and regulatory consistency, reduce product complexity, and provide a greater range of features and functionality for all users.

A complete copy of each fiscal can be found on the landing page of the NAIC website or by clicking here. Written comments or questions should be addressed to the NAIC and forwarded to the attention of Jim Woody, jwoody@naic.org, no later than Mar. 31, 2021.

 

 

About the NAIC

As part of our state-based system of insurance regulation in the United States, the National Association of Insurance Commissioners (NAIC) provides expertise, data, and analysis for insurance commissioners to effectively regulate the industry and protect consumers. The U.S. standard-setting organization is governed by the chief insurance regulators from the 50 states, the District of Columbia and five U.S. territories. Through the NAIC, state insurance regulators establish standards and best practices, conduct peer reviews, and coordinate regulatory oversight. NAIC staff supports these efforts and represents the collective views of state regulators domestically and internationally. For more information, visit www.naic.org.

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