SEMINAR NAIC/ASSAL/SVS REGULATION & SUPERVISION OF MARKET CONDUCT © 2014 National Association of Insurance Commissioners NAIC Market Information Systems

NAIC MARKET INFORMATION SYSTEMS  Computer Applications  Data provided by regulators and companies  Housed at the NAIC  Most of the data is confidential  Shared between states  Several years of data 2

REGULATOR USES OF DATA  Market Analysis  Continuum Actions  Examinations  Enforcement 3

NAIC MARKET INFORMATION SYSTEMS  Market Conduct Annual Statement (MCAS)  Complaint Database System (CDS)  Examination Tracking System (ETS)  Regulatory Information Retrieval System (RIRS)  Market Analysis Prioritization Tool (MAPT)  Market Analysis Review System (MARS)  Market Regulation Electronic Forum  Market Analysis Electronic Forum 4

MARKET CONDUCT ANNUAL STATEMENT  MCAS provides regulators with market conduct information not otherwise available for their market analysis efforts.  Includes: Underwriting and Claims data for Private Passenger Automobile, Homeowners, Life, Annuity and Long Term Care lines of business.  Records per year: 28,000+ filings. 5

COMPLAINT DATABASE SYSTEM  CDS provides regulators with information about closed consumer complaints filed against insurance companies and producers.  Includes: Any written communication that expresses dissatisfaction with a specific person or entity subject to regulation under the state's insurance laws.  Records per year: 190,000. 6

EXAMINATION TRACKING SYSTEM  ETS provides regulators with information on all market conduct examinations conducted.  Includes: The reason for the examination, the areas to be reviewed, and the examination findings and the close date as the examination progresses.  Records per year:

REGULATORY INFORMATION RETRIEVAL SYSTEM  RIRS provides regulators with adjudicated regulatory actions taken by state regulators against insurance producers, companies and other entities engaged in the business of insurance.  Includes: Final actions in a regulator-only database (even though the actions are public.)  Records per year: 10,000. 8

MARKET ANALYSIS PRIORITIZATION TOOL  MAPT provides regulators with information on all companies writing the selected line of business in their state from several of the other databases.  Includes: Over 100 separate data elements and a prioritization score. 9

MARKET ANALYSIS REVIEW SYSTEM  MARS provides regulators with a centralized location for tracking, recording, sharing and reviewing the analysis within the users state and from other states.  Includes: Level 1 and Level 2 Analysis Reviews.  Records per year: 3,

MARKET REGULATION AND MARKET ANALYSIS ELECTRONIC FORUMS  The NAIC Electronic Forums are electronic bulletin boards which allow market regulators to communicate more efficiently.  The Market Regulation Electronic Forum allows regulators to communicate global issues; specific regulations; or procedures.  The Market Analysis Electronic Forum allows state market analysts to communicate questions, concerns, or information about a specific company or producer engaged in the business of insurance. 11

OPEN ISSUES  Data Quality  Complete  Accurate  Timely  Transactional Level  Confidentiality 12

NAIC MARKET INFORMATION SYSTEMS  Market Conduct Annual Statement (MCAS)  Complaint Database System (CDS)  Examination Tracking System (ETS)  Regulatory Information Retrieval System (RIRS)  Market Analysis Prioritization Tool (MAPT)  Market Analysis Review System (MARS)  Market Regulation Electronic Forum  Market Analysis Electronic Forum 13

QUESTIONS/COMMENTS 14