April 5, 2022
Â鶹´«Ã½ Awards Accreditation for the Departments of Insurance for Alabama, Mississippi, and North Carolina
The Â鶹´«Ã½' (Â鶹´«Ã½) Financial Regulation Standards and Accreditation (F) Committee voted to accredit the Departments of Insurance for Alabama, Mississippi, and North Carolina during the Â鶹´«Ã½'s Spring National Meeting, held in Kansas City, MO, on April 4–8. Accredited insurance departments undergo comprehensive, independent review every five years to ensure they meet financial solvency oversight standards.
The Â鶹´«Ã½ Accreditation Program was established to develop and maintain standards to promote effective insurance company financial solvency regulation. The purpose of the accreditation program is for state insurance departments to meet baseline standards of solvency regulation, particularly with respect to regulation of multi-state insurers. Â鶹´«Ã½ accreditation allows non-domestic states to rely on the accredited domestic regulator to fulfill a baseline level of effective financial regulatory oversight. This creates substantial efficiencies for insurance regulators, who are then able to coordinate and rely on each other's work. It also creates far greater efficiencies for insurance companies licensed in accredited states, which are then not subject to financial examinations or other financial oversight by multiple jurisdictions. All fifty states, the District of Columbia, and the U.S. Virgin Islands are currently accredited.
To become accredited, the state's department of insurance must submit to a full on-site accreditation review. During this review, the team of independent consultants reviews the department's compliance with the standards to develop a recommendation regarding the state's accredited status.
About the Â鶹´«Ã½
As part of our state-based system of insurance regulation in the United States, the Â鶹´«Ã½ (Â鶹´«Ã½) provides expertise, data, and analysis for insurance commissioners to effectively regulate the industry and protect consumers. The U.S. standard-setting organization is governed by the chief insurance regulators from the 50 states, the District of Columbia and five U.S. territories. Through the Â鶹´«Ã½, state insurance regulators establish standards and best practices, conduct peer reviews, and coordinate regulatory oversight. Â鶹´«Ã½ staff supports these efforts and represents the collective views of state regulators domestically and internationally.