Expanding The Frontier of Insurance Regulation
Expanding the Frontier of Insurance Regulation was the theme for the Insurance Regulatory Examiners Society’s 2010 Career Development Seminar (CDS) which was held August 29-31, 2010 in Albuquerque, NM.
Thanks to the hard work of Mark Hooker, chair of the 2010 Education Committee, Joe Bieniek, Education Committee vice-chair, CDS co-chairs Wanda LaPrath and Stephen Martuscello, the CDS Section Chairs and their respective committees, the CDS once again provided attendees with access to leaders and key individuals involved in shaping the insurance environment.
CDS attendees had an opportunity to socialize and network with colleagues during the welcome reception on Sunday, August 29, 2010. Monday evening, attendees had another opportunity to socialize with colleagues as a group of attendees watched the Albuquerque Isotopes—Triple A partner of the Los Angeles Dodgers—take on the Iowa Cubs at the world-class Isotopes Park. Monday and Tuesday were packed with informative and enlighten general and concurrent breakout sessions on a variety of topics of interest to regulators and industry representatives alike.
Monday, August 30, 2010
The Superintendent of the New Mexico Division of Insurance, John Franchini, kicked off the 2010 CDS with an official welcome which was followed by the annual conferment ceremony for new AIE, CIE, and MCM designees.
During the luncheon session, Jane Cline (NAIC President, and West Virginia Commissioner of Insurance) provided attendees with her views on where insurance regulation was heading and an overview of key NAIC initiatives currently underway. In addition, the Schrader-Nelson Publications Award was presented to Thomas Hampton and the Al Greer Award was presented to Cynthia Amann.
Monday afternoon, Governor Bill Richardson welcomed attendees to New Mexico and thanked them for the work they did on behalf of insurance consumers. The afternoon general session was a discussion of the latest new in health care reform, the role states are playing now and in the future, and what health insurance companies have been doing to help the process. The panelists for this session included NAIC Executive Officer Therese M. (Terri) Vaughan, NAIC President, and West Virginia Commissioner of Insurance, Jane Cline, Georgia Insurance Commissioner John Oxendine, and Marin Mitchell from America’s Health Insurance Plans.
Tuesday, August 31, 2010
The Tuesday morning general session was a Commissioner Roundtable featuring:
- New Mexico Superintendent John Franchini
- Georgia Commissioner John Oxendine
- West Virginia Commissioner and NAIC President Jane Cline
- NAIC Chief Executive Officer Therese M. (Terri) Vaughan
The Tuesday Luncheon included the presentation of the 2010 Presidential Award to Gary Kimball, remarks by outgoing President Dennis Shoop, and remarks by incoming President Leslie Krier.The Commissioners’ Roundtable was once again a lively session which covered topics such as the future of Market Analysis, the impact of tight state budget on insurance regulation, and the status of accreditation standards for market regulation.
Fraud and the Economy: Unwelcome Partners
A fraud specialist will examine the correlation between economic downturns and fraudulent activities, and the impact this has on the insurance industry and consumers.
Preparing the Next Generation of Regulators
We are facing an increase in the number of retirees in both regulation and the industry. What can be done to combat the lack of institutional knowledge that will result as baby boomers retire?
TeamMate 9: It’s Not Just for Financial Anymore
Learn the new and improved features of Version 9.1 as well as how to better use Version 8.2. Learn a few tricks, correct your misconceptions, and discover just what you can do with TM.
Consumer Services & Complaint Handling
Evolving Life and Annuity Products
Panel discussion on the evolution of life and annuity products and how these products are changing. The discussion will include the impact of financial market changes, the Pension Reform Act and the role of the Interstate Insurance Compact in shaping products.
Working with Federal Regulators
Panel discussion with key state and federal regulators working on common consumer concerns – possible federal agencies include DHS, CMS, OCC, HUD, DOL, and FEMA.
What Have You Done For Me Lately? Best Practices in Customer Service
Panel discussion on what insurers and regulators are doing to address consumer concerns, get them the information they need and avoid insurance department complaints.
NAIC Initiatives: What Are We Doing to Improve Complaint Data and Respond to Consumer Complaint Trends?
Panel discussion on NAIC initiatives to improve the quality of consumer complaint reporting and support regulators in addressing consumer concerns. Topics will include revisions to the NAIC CDS system, the roles of the MIS Task Force, and the Consumer Connections Working Group.
Like it or not international accounting standards are around the corner. A look at the international standards. How they will affect industry and the regulators.
The New Financial Condition Handbook Exhibit C (IT Controls)
After all these years the Handbook Exhibit C has been changed. A look at these changes and their effect on examinations.
Captives: An Alternative to Traditional Insurance
A look at the different types of captives. Why do insureds prefer them? What are the different accounting standards used? How do they differ from the traditional insurers accounting standards?
Risk Focused Examination Panel Discussion
A panel of state regulators and consultants will discuss the issues surrounding the new process that took effect January 1, 2010.
Laptop Security: Protecting You and Your Information
All of us are “computer people”— like it or not. These great companions can pose a risk to us by being so easily taken or compromised. Therefore, we all need to be more aware of the dangers and safeguards to ensure that our laptops, and the information we store, are guarded against theft and other hazards.
Low Tech and High Tech
This session will provide examiners and analysts with ideas on how to do the same job in less time. We will explore automated examination/analysis options, keeping and storing confidential work papers securely, and how to effectively communicate with company IT personnel. We will also cover working offsite, data security, core tech skills an examiner must have, scanning documents versus boxes of paper, organizing an e-exam, data mining, using DOI data and company data, trending, Exhibit C, SERFF, etc.
Data Encryption – A Laptop Prophylactic?
Keep your data and information in “Secret Code” so the bad guys cannot read it. Sounds like Dick Tracy days but encryption is a MUST for electronic data today. Encryption techniques, which are easy and transparent to the user, shield us from legal blame for data loss in the case of a lost laptop, thumb drive, or other storage device. Come hear the newest encryption techniques and gain an understanding of how encryption works and what it does for you.
Using Data to “Find and Verify” fraudulent, unlawful or negligent activity. How to make the evidence acceptable in court. Scott Greene, a professional data forensic specialist will share experiences and techniques with us. Co-hosted by the Enforcement & Compliance Section
ACL Hands-on-Training (All Day Session)
Hands-on experience with this powerful tool using a Standard Data Request from the NAIC Market Regulation Handbook. Sampling, performing time studies, analysis for underwriting, and claims denial issues.
Attendees will build their own TeamStore Library using this NAIC sanctioned workpaper tool.
Life & Health Section
Wild West of Viaticals and Life Settlements
Monitoring mavericks in the wild world of gambling on life expectancy. Update on the NAIC model and current trends in the marketplace.
New Medicare supplement plans, innovative benefits, Medicare Advantage, health-care rescissions, new federal reporting and confidentiality duties, Medicare payments and property/casualty claims, long-term care insurance partnership plans.
Basic training on the new NAIC annuity suitability and disclosure models. Trends in fixed indexed products.
Healthcare Reform – Who’s the Sheriff?
What’s a state regulator to do about: Health care exchanges – Minimum Benefits – Rationing – Cadillac plans – Public Options – Triggers – Pre-existing Conditions – Pay or Play
Market Regulation Section
A Facelift for Market Regulation?
How has accreditation impacted and changed Market Regulation and what can we expect in the future?
You Give and You Take
With a lot of intake happening, how much output is generated by regulators and what more can be done between the states?
It’s What You Know
Is it beneficial for Market Conduct Examiners to be cross trained in all coverage lines? How can we make this happen?
Blurring the Lines: Insurance Across State Lines
With Implementation of new Federal Legislation coming about how can the states work together for uniformity and consistency? Is there a place for interstate regulation? Is interstate regulation a step towards, or away from Federal oversight? How will interstate regulation affect companies, consumers and the NAIC?
Property & Casualty Section
Systemic Risk: How it Impacts Insurers and Regulators
As Congress debates how to fix the economy, one topic that is frequently discussed is systemic risk. This session will offer an update on the latest thinking about systemic risk and shed light on this mysterious concept. Experts will explore what this means to insurers and regulators and how it will impact future regulatory frameworks. Resolution authority will also be addressed.
Credit-Based Insurance Scores
Discussion of credit-based insurance scores used for pricing and risk selection. Are credit-based scores the best thing since sliced bread for predicting loss costs, or a tool used for unfair discrimination? While controversial, the scores are considered an effective risk management tool for insurers. Critics claim scores are discriminatory and adversely affect those least able to afford insurance. Learn about recent changes to the NCOIL model.
Economic Recovery and the Insurance Marketplace
A panel of insurance & financial experts will discuss factors that led to the economic downturn, how this affected insurers and insurance regulators, how insurers have weathered the storm, and what steps are being taken to mitigate against future similar events.
Catastrophe Modeling: How it Works, How to Regulate It
A practical discussion about the most important features of catastrophe computer simulation models. Attendees will learn which modeling elements drive the results. In addition, we will hear from an experienced regulator describing the steps regulators can take to interact with the modelers and gain a better understanding of how insurers are using the models in pricing decisions.
Regulatory Compliance Section
Less Costly, More Efficient Market Conduct Exams
A panel explains how to decrease both hard costs (examiner fees, expenses) and soft costs (internal administrative expenses) of exams while still producing effective exam results.
Roundtable Discussion of Industry & Regulatory Issues
This is your chance to ask industry and regulatory experts your questions regarding state regulation and compliance! You may submit your questions in advance, by e-mailing the IRES office.
The Continuum: Two Years Later-Any Progress?
Hear a panel of regulators and industry reps report on how they think the Continuum is actually working after 2 years of being implemented. Are states actually using it? How could the current practices be improved upon? Do companies have any idea where they might be in the Continuum? Is there enough communication between regulators and companies on this process?
Where in the World is Market Analysis Heading?
Regulators and industry reps will examine where Market Analysis is heading. Will there be more new data elements? Will there be new lines of business added and, if so, when? Will the information be used in new ways? What is the regulatory goal? Are there more or fewer exams because of Market Analysis? How will these exams change in the future?
IRES extends special thanks to the following 2010 CDS sponsors for their generous support of IRES and the CDS:
- Carr, Riggs & Ingram, LLC
- Dixon Hughes PLLC
- Eide Bailly LLP
- Examination Resources LLC
- INS Regulatory Insurance Services, Inc
- RSM McGladrey, Inc.
- Smith-Little LLC
- Sonnenschein, Nath & Rosenthal
- Stroock & Stroock & Lavan LLP