Download presentation
Presentation is loading. Please wait.
1
Erin Collins NAMIC AVP – State Affairs
2
NAMIC Today Largest P/C trade association with 1,400 member companies
Serving 170,000,000+ policyholders 200,000 employees of NAMIC members Representing $230 billion in annual premiums Representing nearly 40% of the total P/C market Representing 48% of U.S. auto/ homeowners, and 33% of U.S. commercial markets NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
4
Major Industry Issues Automated Vehicles American Law Institute
McCarran-Ferguson Repeal Incorporation by Reference Auto Affordability Covered Agreement Disparate Impact PARTS Act Medicare Secondary Payer Claim Act NARAB Postal Reform Workers Comp Disaster mitigation Drones Cyber / NAIC model / NYS Domestic Cap Standards IAIS Standards / ICS Underwriting Freedom Big Data Crop insurance Tort Reform FACT ACT / Asbestos Arbitration CFPB DOL – Overtime & Fiduciary Cadillac tax
5
domestic vs. internationally-based insurers
New paradigm emerging in regulation debate Rather than federal vs. state regulation dichotomy, new paradigm is emerging On both FIO reform and int’l legislation, support or opposition is cutting along domestic vs. internationally-based insurers NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
6
Key Industry Issues NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
7
Disaster mitigation reform
NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
8
An endless cycle of destruction
Disaster spending is on an unsustainable path and current policies are enabling this trend. As a result of an unprecedented hurricane season and ongoing wildfires in the Western United States, 2017 was the costliest year for natural disasters in U.S. history. The number of federal disaster declarations has increased drastically in recent years But despite knowing that every $1 invested in mitigation and building resiliency can save between $4 and $8 in the aftermath of a disaster, The U.S. spends 89 times more on post-disaster assistance than pre- disaster mitigation. NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
9
Proven legislative track record
Since the forming of the coalition, we have had success creating and building support for a number of pieces of legislation, including: Safe Building Code Incentive Act National Mitigation Investment Act Disaster Savings and Resilient Construction Act FEMA Disaster Assistance Reform Act National Windstorm Impact Reduction Act NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
10
National Mitigation Investment Strategy
But with the federal government’s approach to disaster preparedness so backwards, we sought to create a more comprehensive strategy for investing in disaster mitigation and resilient construction. Our National Mitigation Investment Strategy would: Incentivize States to Mitigate and Build Resiliently By allowing the federal cost share after a disaster to be increased from 75 percent to as high as 85 percent for states that grade high on a resiliency rating scale. Drastically Enhance Pre-Disaster Mitigation Through the creation of a new Pre-Disaster Mitigation (PDM) account that would be funded via annual funding from the Post-Disaster Relief Fund. Equip Communities to Build Resiliently By clarifying that “Essential Assistance” doled out to communities in the wake of a disaster can be used towards building code development and enforcement. place. NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
11
Key Industry Issues nfip reauthorization and reform
House & Senate passed NFIP reauthorization Dec. 21 as part of deal to avoid government shutdown; President Trump signed into law on Dec. 22. Short-term extension through January 19, 2018; third short-term extension since September. Despite short-term efforts, progress has been made: Charge Actuarial, Risk-Based Rates Increase Private Sector Involvement Allow access to historical loss data Eliminate the WYO non-compete clause Address Affordability by establishing a targeted, needs-based program for premium support Increase Mitigation and Address Repetitive Loss Properties. Little Senate progress toward long-term NFIP reauthorization. NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
12
Insurance company drones
NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
13
Insurance and Drones: The Path Ahead
Key Industry Issues Insurance and Drones: The Path Ahead NAMIC has made significant progress in enabling insurers to use drones, yet issues remain, including: Restoring private airspace for drone flights below 200 feet Creating rules for operating drones out of visual-line-of-sight Creating rules that allow drone users to operate over people On November 2, President Trump unveiled a UAS Integration Pilot Program, which seeks partnerships between state, local, tribal governments and private industry to gather operational and other data. The Pilot Program is designed to accelerate the integration of UAS into our nation’s airspace system while spurring innovation. NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
14
Key Industry Issues Congressional action on private airspace
In July, Sen. Diane Feinstein (D-CA) and Rep. Jason Lewis (R-MN) introduced legislation designed to restore the rights of private airspace under 200 feet. NAMIC worked with Rep. Lewis to craft the Drone Innovation Act, which would ensure drone operations under 200 feet would be governed pursuant to traditional property laws. NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES
15
2018 National State Legislative Agenda
16
2018 National State Legislative Agenda
Speed to Market Rating Accuracy Regulatory Overreach/Market Conduct Civil Justice reform Anti-civil justice defense Solvency/Financial Regulation Corporate Governance Credit for Reinsurance Innovation Sharing Economy Future of Auto Autonomous Vehicles Depreciation of Costs Mutuality Workers Comp Reform Insurance Verification Electronic Business Practices Catastrophe and Mitigation
17
Catastrophe & Mitigation
Work proactively toward “storm scammer” legislation based on model language adopted by the National Conference of Insurance Legislators. 1 Urge for bills that incentivize disaster preparedness and require discounts to be actuarily sound while opposing state discount benchmarks on insurers. 2 Oppose mandatory discounts, rather encouraging provisions that allow the free market to innovate and develop discounts as they are relevant and of use to the consumer. 3
18
Catastrophe & Mitigation
19
Catastrophe & Mitigation
20
Questions? Please contact: Erin Collins, NAMIC AVP – State Affairs
Similar presentations
© 2024 SlidePlayer.com Inc.
All rights reserved.