The Interstate Insurance Compact's annual budget process is open and transparent with participation from Compact Members and all interested parties, including the Legislative Committee and the Industry and Consumer Advisory Committees. The Insurance Compact's Executive Director is charged with drafting an annual proposed budget for review by the Compact membership. Throughout the development of the budget, there are numerous and rigorous reviews conducted by the Insurance Compact Office in consultation with the National Association of Insurance Commissioners (NAIC) Finance Department which provides accounting and financial services under the Insurance Compact - NAIC Services Agreement. The Compact Officers and Finance Committee review and agree upon a final proposed budget which is then recommended to the Management Committee for a public comment period. During this public comment period, all interested parties may review and submit comments regarding the proposed Insurance Compact Annual Budget. The final Budget is then the subject of a majority vote by both the Management Committee and the full Commission before it is accepted and implemented by the Compact Office.
Insurance Compact 2026 Budget
The 2026 Annual Budget process began in the summer of 2025, with a proposal from the Compact Office to the Finance Committee. The Finance Committee held a public call to receive comments on its annual budget recommendation, which included a new resource request. The 2026 annual budget package was exposed by the Management Committee for public comment with a public hearing on November 10, 2025. The Commission adopted the 2026 Annual Budget on December 10, 2025, during the in-person Joint Meeting of the Management Committee and Commission.
The 2026 Annual Budget anticipates revenues and expenses of approximately $4.6 million and $4.4 million, respectively. Included in the 2026 Annual Budget are two resources and it is anticipated they will be hired in the second half of the year. Revenues are forecasted to be even with the2025 budgeted revenue. Expenses are 8.5% over 2025 expenses. The new resources primarily attributes to this increase.
Should you have any questions about the Interstate Insurance Compact's Annual Budget, please contact the Insurance Compact Office.