The National Conference of Legislators (NCOIL) will discuss an aspect of recent actions by various state Attorneys General to use settlement agreements to effect changes in public policy in the insurance industry. The discussion will occur during NCOIL’s Spring Meeting from March 1-4 in Savannah, Georgia. PIA will be there.

On March 2, the State-Federal Relations Committee will consider a proposed Resolution Concerning the Recent Use of Legal Settlements as Public Policymaking Instruments in the Insurance Arena, sponsored for discussion by Rep. Greg Wren (AL) and Rep. Rich Golick (GA). The resolution, among other things, expresses concern regarding the public policy implications of recent legal settlements with insurers and reaffirms the authority of state legislators to set insurance public policy.

PIA National strongly supports this resolution and will voice our support at the meeting and work with NCOIL and with individual states, in conjunction with PIA affiliates, to get this resolution introduced in as many legislatures throughout the country as we can.

Proposed Resolution Concerning the Recent Use of Legal Settlements as Public Policymaking Instruments in the Insurance Arena (PDF file, full text) 

On March 2, the State-Federal Relations Committee will consider a proposed Resolution Withdrawing Support of the NAIC Interstate Insurance Product Regulation Compact Model Legislation, sponsored by Rep. Shirley Bowler (LA).  The resolution, among other things, recognizes the importance of speed-to-market for insurance products, questions NCOIL support for the IIPRC, and encourages discussions regarding additional methods to achieve efficiency and uniformity in state insurance regulation.

PIA National favors the use of interstate compacts to achieve much needed uniformity in insurance regulation.  Our firm support of the state-based system of insurance regulation leads us to turn to the use state compacts to stave off federal interference. 

On March 1, the Subcommittee on Natural Disaster Insurance Legislation will consider a proposed Model State Uniform Building Code, sponsored by Rep. George Keiser (ND).  PIA National supports the creation of a national natural catastrophe plan and will continue to work with both NCOIL and NAIC on this issue.  Further, we support strong building codes and their diligent enforcement. 

On March 1, the Subcommittee on Natural Disaster Insurance Legislation will consider a proposed Model State Uniform Building Code, sponsored by Rep. George Keiser (ND).   The model act would establish structural building requirements in order to minimize losses from wind, flood, and earthquake in areas with significant catastrophe exposure.  It also would create a framework for a statewide system of building regulation.

PIA National supports the creation of a national natural catastrophe plan and will continue to work with both NCOIL and NAIC on this issue. Further, we support strong building codes and their diligent enforcement.  We look forward to working with our affiliates to craft strong building codes specifically designed for the risks posed in your state.

PIA National Director of State Affairs David Eppstein davidep@pianet.org is representing PIA at the NCOIL meetings.

February 27, 2007