GARDEN STATE GROWS INSURANCE COMPACT

WASHINGTON, D.C. (Jan. 6, 2011) —New Jersey Governor Chris Christie today signed the Interstate Insurance Product Regulation Compact (IIPRC) legislation. It makes New Jersey a member of a national commission that develops uniform standards and consumer protections for asset-based insurance products, such as life insurance and annuities, and also establishes a clearinghouse for prompt review of those product filings.

New Jersey is the 38th member to join the Compact, bringing the nationwide premium volume represented by the states in the Compact to just over two-thirds.

"We are very pleased to join our fellow states in this Compact," said New Jersey Department of Banking and Insurance Commissioner Tom Considine. "The Compact is good for business because it gives insurers who are doing business in multiple states a single clearinghouse for approval and allows them to get products to the market more quickly and efficiently.  It’s good for consumers because the protections built in by the Compact’s process reflect best national practices."

On and after January 21, 2011, insurers will be able to include New Jersey for all life insurance and annuity product filings submitted or approved through the IIPRC.  For the time being, long-term care policy filings will not go through the Compact, but New Jersey will revisit this decision by the end of 2011. 

"We are incredibly excited to welcome New Jersey into the Compact," said Roger Sevigny, New Hampshire Insurance Commissioner and IIPRC Chair.  "New Jersey is the latest example of the growing recognition among state legislators, governors and regulators of the benefits of an interstate compact for asset-based products. States  recognize the Compact’s unique capacity to maximize collaboration and uniformity among states while preserving each state's sovereign authority to regulate their insurance markets."

The IIPRC enables state insurance regulators to develop uniform national standards for asset-based insurance products, such as life insurance, annuities, disability income and long-term care insurance. The IIPRC establishes a central filing point for these insurance products, enhancing the speed and efficiency of regulatory decisions and allowing companies to compete more effectively in the modern financial marketplace, while continuing to provide protection for consumers.  

For more information, visit www.insurancecompact.org.

About the Commission

Currently, 38 jurisdictions have joined the Interstate Insurance Product Regulation Commission (IIPRC). Compacting members are Alaska, Colorado, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nebraska, New Hampshire, New Jersey, New Mexico, North Carolina, Ohio, Oklahoma, Pennsylvania, Puerto Rico, Rhode Island, South Carolina, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin and Wyoming.

The IIPRC enables state insurance regulators to develop uniform national standards for asset protection insurance products, such as life insurance, annuities, disability income and long-term care insurance. The IIPRC establishes a central filing point for these insurance products, enhancing the speed and efficiency of regulatory decisions and allowing companies to compete more effectively in the modern financial marketplace, while continuing to provide protection for consumers.

For more information, visit www.insurancecompact.org.