Recently, there has been a thaw in relations between the National Association of Insurance Commissioners (NAIC) and the National Conference of Insurance Legislators (NCOIL). After long periods of tension and mutual recrimination, a certain detente has settled over their relationship, leaders of both organizations told BestWeek.

NCOIL and the NAIC are stepping up their cooperative efforts in promoting state-based insurance regulation, supporting the Insurance Compact, the National Insurance Producer Registry and other measures. The warming in relations was evident as the presidents of each organization spoke to PIA agents last week. NAIC President Sandy Praeger opened the PIA meetings by giving the keynote address at the PIA Federal Legislative Summit, while NCOIL President Brian Kennedy closed the meetings with a speech to the PIA National Board of Directors.

“We have the same goals. We serve the same master,” said Praeger, the Kansas Insurance Commissioner. “Our primary responsibility is to insurance consumers and that’s who we’re responsible for.” Kennedy then said, “There’s definitely been a thaw in this whole thing. There’s a lot more openness that’s taken place here. There’s a lot more discussion taking place. I’ve made a commitment that I want to work with Sandy and her executive officers and she has agreed to the very same thing, so I think we can get some things accomplished this year.” Both groups released a joint statement ahead of NCOIL’s recent spring meeting reaffirming their commitment to work together as well as their opposition to Optional Federal Charters.

What It Means to Agents:  The message from both NAIC and NCOIL appear to be moving in the same direction.  This provides an opportunity for PIA (national, affiliates & members) pressing their respective state insurance authorities to the final sets of modernization reforms PIA members need in licensing, and strengthen and better coordinate the push-back to OFC and other forms of federal pre-emption.

March 12, 2008