Pursuant to a congressional request, GAO reviewed the effectiveness and reliability of the National Association of Insurance Commissioners' (NAIC) Insurance Regulatory Information System (IRIS) for early detection and warning of financially troubled property and casualty insurers.
Recommendations for Executive Action
|Other||1. NAIC should evaluate, on a test basis, the feasibility, effectiveness, and costs of expanding IRIS to incorporate other information on the condition, operations, and management of insurance companies, with the goal of improving IRIS usefulness.|
|Other||2. NAIC should take the lead in working with state regulators, the insurance industry, and professional actuarial organizations to explore options and identify the most appropriate way to obtain annual independent certification of loss reserves.|