FOR IMMEDIATE RELEASE

NAIC TAKES STEP TOWARD MARKET REGULATION ACCREDITATION PROGRAM

SAN DIEGO (March 16, 2009) - The National Association of Insurance Commissioners (NAIC) is continuing its efforts to create a uniform process for monitoring how insurance companies operate in the marketplace.

Similar to the NAIC's successful Financial Regulation Standards and Accreditation Program, the new Market Regulation Accreditation Program will establish uniform criterion for assessing whether the states are effectively and efficiently addressing market regulatory issues.

The program will be developed by the NAIC's new Special Accreditation Standards Working Group, which held its inaugural meeting today. Chaired by Maryland Insurance Commissioner Ralph Tyler, the Working Group is charged with developing uniform standards, an implementation plan and a way to objectively evaluate if each state is meeting the standards.

"A comprehensive accreditation program with high standards will help us all do a better job of protecting insurance consumers," Tyler said. "I look forward to open dialogue and input from all parties regarding this important initiative."

As a starting point, the Working Group will focus on the "core competencies" already adopted in the following areas: state resources; market analysis; the continuum of regulatory options; and interstate collaboration.

"We want to see market regulation held on par with financial regulation," said Oklahoma Insurance Commissioner Kim Holland, who chairs the NAIC Market Regulation and Consumer Affairs Committee. "This will only become a reality when market regulators are held to the same high standards as financial regulators."

During its meeting, the Working Group heard a presentation on the NAIC's Financial Accreditation program.

"Financial regulation is strong today because of the accreditation process," said Rhode Island Insurance Superintendent Joseph Torti, III, who chairs the NAIC Financial Regulation Standards and Accreditation Committee. "In a similar fashion, market accreditation will help regulators ensure they have the resources they need to meet the requirements of fulfilling this important consumer-protection role."

For more information, visit www.naic.org/market_reg_home.htm.