Consumers of insurance depend on state regulators to ensure that insurance companies are behaving fairly and in accordance with the law. This report evaluates the states' use of market analysis (information gathering to determine issues and identify companies that may need attention) and on-site examinations in market regulation and the progress the National Association of Insurance Commissioners (NAIC) has made in creating more uniformity in the regulation of market conduct.
Recommendations for Executive Action
|Other||NAIC, working with the states, should give increased priority to identifying a common set of standards for a uniform market oversight program that will include all states. These standards should include procedures for conducting market analysis and coordinating market conduct examinations. Further, a mechanism should be established to encourage state legislatures and insurance departments to adopt and implement the identified minimum standards.|