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Expect Focus - Volume IlI, September 2024

Gone With the Wind? Closed-End Funds Risk Extinction - Shares of SEC-registered closed-end funds (CEFs) have long held significant potential advantages for some investors. For example, unlike shares of mutual funds...more

NAIC Still Juggling Multiple AI and Machine Learning Initiatives

The many balls that the various National Association of Insurance Commissioners groups currently have in the air focusing on life insurers’ use of artificial intelligence and machine learning were reflected in the reports...more

NAIC Takes Dive Start on Investment Management Agreements With New Guidance for Insurers

During its Winter National Meeting, various groups within the National Association of Insurance Commissioners continued addressing the Macroprudential (E) Working Group’s 2021 list of “Regulatory Considerations Applicable...more

NAIC H Committee Continues as Ringmaster Coordinating Numerous Initiatives

Under the leadership of Maryland Insurance Commissioner Kathleen Birrane, in 2023 the Innovation, Cybersecurity, and Technology (H) Committee of the National Association of Insurance Commissioners completed two main...more

In the Big Top Spotlight: NAIC Model Bulletin on the Use of Artificial Intelligence Systems by Insurers

The Innovation, Cybersecurity, and Technology (H) Committee of the National Association of Insurance Commissioners has been in the big top spotlight the past year as it has been developing its model bulletin on the use of...more

Expect Focus - Volume I, January 2024

Funds Not Caged by SEC Names Rule Amendments: Roaming Room Remains - The SEC recently adopted amendments to its investment company “names” rule that apply to most SEC-registered funds, including underlying funds in which...more

NAIC Innovation, Cybersecurity, and Technology (H) Committee Gets in on the Action

On July 17, the Innovation, Cybersecurity, and Technology (H) Committee of the National Association of Insurance Commissioners released its exposure draft of the NAIC’s model bulletin on insurers’ use of algorithms,...more

Colorado DOI Fast-Tracks Big Data Governance Rulemaking

On August 31, 2023, the Colorado Division of Insurance will hold a virtual rulemaking hearing for its proposed regulation on governance and risk management framework requirements for life insurers using external consumer data...more

New Attestation for Florida Residential Property Insurers

On July 17, 2023, the Florida Office of Insurance Regulation (OIR) released an informational memorandum to notify authorized residential property insurers of a new requirement pursuant to Senate Bill 7052, which is now...more

Colorado DOI Summer Reading for Life Insurers

Colorado DOI Summer Reading for Life Insurers - On May 26 — just ahead of the Memorial Day weekend — the Colorado Division of Insurance (DOI) issued for public comment a second draft of its proposed “Governance and Risk...more

Regulators Looking to Various Kitchen Tools to Regulate Insurers’ Use of Artificial Intelligence and Machine Learning

Various chefs within the National Association of Insurance Commissioners and some individual states’ chefs continue to address insurers’ use of artificial intelligence (AI), machine learning (ML), the use and protection of...more

Expect Focus - Volume II, May 2023

For broker-dealers distributing and selling variable annuities, examinations will test for compliance with Reg BI and FINRA Rule 2330 because both standards apply to variable annuity sales. Firms distributing and selling...more

Opening Day: Regulators Showcase Big Data Initiatives at NAIC Spring Meeting

Few things thrill baseball fans more than opening day. They come with a mix of excitement and trepidation. For many of them, it’s the first day they get to see their favorite team showcase its talents, and their first glimpse...more

Auto Insurers To Join Life Insurers at Colorado DOI’s Big Data Dance

The Colorado Division of Insurance announced this week that it will host another stakeholder meeting regarding unfair discrimination in insurance practices on April 6, 2023, from 10:00 - 11:00 a.m. MT. Unlike prior meetings,...more

Regulators Gearing Up to Monitor Accelerated Underwriting Programs

Following completion of its 2022 educational paper, the NAIC’s Accelerated Underwriting (A) Working Group (AUWG) moved to the second part of their charge — draft guidance for the states. During their call on February 22, the...more

Expect Focus - Volume I, January 2023

More than 25 years have elapsed since the SEC adopted Exchange Act Rule 17a-4(f) governing electronic recordkeeping by broker-dealers. In an effort to update the rule to reflect “technology neutral” concepts, the SEC adopted...more

Colorado February 7 Stakeholder Meeting Shines Light on the Departments Draft Proposed Data Governance Rule

In satisfying its directive under Senate Bill (SB) 21-169, the Colorado Insurance Department (DOI) held a stakeholder meeting on February 7 to discuss the DOI’s February 1 draft proposed rule styled “Governance and Risk...more

Does Colorado’s Draft Big Data Governance Rule Foretell of a Long Winter or an Early Spring?

Colorado Senate Bill (SB) 21-169, which became law in 2021, is intended to “hold insurers accountable for testing their big data systems — including external consumer data and information sources, algorithms, and predictive...more

Claims Data Reporting – Hurricane Ian

Pursuant to Florida Statutes section 624.307, the Florida Office of Insurance Regulation (OIR) has provided notice to required insurance filers to file catastrophe claims data for Hurricane Ian. A list of required filers can...more

Colorado Division of Insurance Announces Life Insurance Underwriting Data Call and Survey Details

Survey Released by September 30 - On September 28, the Colorado Division of Insurance (CO DOI) held its fourth stakeholder meeting to discuss life insurers’ underwriting practices. SB-169 required insurers to test their...more

Private Equity Investments in Insurance Companies: Regulators Approach From All Directions

In 2021, as a result of increases in private equity firms’ investments in insurers, particularly life and annuity insurers, and growing interest among state insurance regulators about the role of private equity firms in the...more

Florida Announces Temporary Reinsurance Arrangement for Insurers in Light of Potential Rating Downgrades

The Florida Office of Insurance Regulation today announced a plan to develop a temporary reinsurance arrangement through Citizens Property Insurance Corp. in light of recent comments from Demotech Inc. regarding possible...more

OIR Releases Details on New Reinsurance Program: Rate Filing for 2022-2023 Contract Year Due June 30

The Florida Office of Insurance Regulation has released an informational memorandum regarding the implementation of the new Reinsurance to Assist Policyholders (RAP) program....more

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