The Insurance Compact Releases 2022 Annual Report
LOUISVILLE, Ky. (March 24, 2023) – The Interstate Insurance Product Regulation Commission (Insurance Compact) released its 2022 Annual Report during its Joint Meeting of the Management Committee and Commission. The Annual Report underscores its accomplishments from 2022, including holding two first-of-its-kind Compact Roundtable sessions that allowed members, legislators, industry filers, and consumer representatives an opportunity to discuss where the Insurance Compact has been and where it could go in the future. Notably, the Commission adopted Position Statement 1-2022, which acknowledges the Insurance Compact received implied congressional consent in 2006. The Commission also collaborated to address the Colorado statutory conflict with suicide exclusion provisions by adopting amendments to add a lesser period than two years where required by state law.
"The theme for 2022 is moving forward, and I think the 2022 Annual Report reflects that," said Kathleen A. Birrane, Maryland Insurance Commissioner and Chair of the Commission. "Many of the accomplishments achieved in 2022 provide a foundation to further explore what ‘Compact 2.0’ could be in the future, and I look forward to continuing that work with members and interested parties alike in 2023."
The Commission adopted two new Uniform Standards during its meeting: Individual Disability Income Key Person Replacement Insurance Uniform Standards and Individual Disability Income Buy Sell Insurance Uniform Standard. The Commission also adopted the Uniform Standards Development Guidelines, which will streamline the drafting, submitting, and consideration of proposals or changes to Uniform Standards.
The Insurance Compact 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 Insurance Compact 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.