During the recent NAIC summer meeting, PIA presented comments to the NAIC Catastrophe Working Group encouraging the group to further develop the state insurable interest concept outlined in Commissioner Michie's draft concept for creating a private sector insurance program to cover the state's interests, rather than creating a state insurance company that takes on risk. That concept involves creating a bond and insurance market for insuring the state governments' insurable interest directly related to CAT events.

PIA has been asked to make a presentation to the NAIC Catastrophe Working Group at its next meeting on the federal Stafford Act, and how better utilization and expanded use of this existing federal law can help states in these matters.

June 12, 2007