On a recent edition of AAIS Pulse, NAIC CEO Mike Consedine sat down with AAIS President and CEO Ed Kelly to share his insights on major regulatory issues facing the insurance industry and the NAIC.
COVID-19 has undoubtedly impacted a wide range of industries, including insurance– specifically the auto and cyber sectors. Mr. Consedine outlined how the NAIC had the chance to reflect on its response to the unprecedented environment and situations that resulted from the pandemic. He also pointed out that state insurance regulators stepped up during this challenging time, swiftly responding and formulating “workable solutions (that were) responsive to consumers” while balancing the wants and direction of the insurance industry. According to Mr. Consedine, the “insurance system and sector” performed admirably.
Mr. Kelly prompted a burning question pertinent to AAIS’s work on an NAIC COVID-19 Data Call, “should insurers be picking up business interruption (BI) losses from COVID-19?”
The pandemic has taught us a lot of lessons, according to Mr. Consedine, including the issue of coverage gaps…that consumers had “expected.” While the NAIC “doesn’t get involved in coverage disputes”, the NAIC has engaged with Congress as it has looked at TRIA-like solutions to pandemic risks. Mr. Consedine believes the industry should address this gap, adding that state regulators are “ready to be at the table, providing guidance on a solution”.
Mr. Consedine and Mr. Kelly went on to discuss the impact of the pandemic on cyber and auto insurance, as well as issues related to climate change and industry resiliency, homeowners, and cannabis insurance, and much more.
Click here to delve into this enlightening conversation and learn more about the NAIC’s actions to address these issues, and more.