The National Association of Insurance Commissioners (NAIC) will hold a summit on Oct. 22-24 to discuss in greater depth the insurance issues related to the recent terrorist attacks.
The summit will be held at the Omni Shoreham Hotel in Washington, D.C., and will involve regulators, industry representatives, Congressional members and key insurance department staff. The agenda will be finalized in the coming weeks.
“The recovery and rebuilding process will be difficult, and it will require partnership among insurers and all financial services regulators,” stated NAIC President and Kansas Insurance Commissioner Kathleen Sebelius. “This summit provides an opportunity for us to focus our energies on helping the nation recover from this tragedy.”
The NAIC’s Fall National Meeting was canceled in the wake of the Sept. 11 events in order to allow the association’s members time to address the many insurance issues involved.
The NAIC’s Financial Analysis Working Group met on Sept. 21 via conference call to design a consistent and coordinated approach to monitoring companies and making assessments regarding solvency.
The working group developed the following action plan:
— Identify insurance groups and insurers with heavy loss exposures.
— Designate a lead state to act as primary contact with the identified insurance groups and insurers.
— Survey each identified insurance group and insurer to collect basic information on the insurer’s estimated losses, reinsurance coverage and collectibility, primary and reinsurance policy exclusions relating to war or terrorism acts and overall financial stability to satisfy policyholder claims.
— Facilitate communication of survey responses and other information between lead states and non-lead states with affected insurers.
The Financial Analysis Working Group will be coordinating its work with the joint efforts of the NAIC’s Reinsurance Task Force and International Insurers Department (IID) Plan of Operation Review Group, which met recently to discuss how to best monitor the activities of reinsurers and foreign insurers, including Lloyd’s of London syndicates.
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