FOR IMMEDIATE RELEASE
STATEMENT REGARDING ADOPTION OF
RMORSA MODEL ACT AND REVISIONS TO AG38
WASHINGTON, D.C. (Sept. 12, 2012) — National
Association of Insurance Commissioners (NAIC) President and Florida
Insurance Commissioner Kevin M. McCarty issued the following statement:
“Today the NAIC held a joint call of the Executive Committee/Plenary, during
which the NAIC concluded two priority initiatives for the year; adoption of
Management and Own Risk and Solvency Assessment (RMORSA) Model Act, and
to Actuarial Guideline XXXVIII (AG38).
The RMORSA Model Act is a key element in our effort to modernize the
U.S. approach to the regulation of insurance groups. The Model passed today
follows our recent work on the NAIC Holding Company Model Act, which I am
pleased to say has been adopted in ten states.
We began focusing efforts on AG38 when issues concerning its use came to
our attention last year. These revisions represent a resolution that
ensures adequate reserves to protect consumers while maintaining a level
playing field and competitive markets for companies issuing these products.
The passage of each of these items could not have been done without the
dedication of each of our members, and my personal thanks to those most
intimately involved in making today’s passage of each item possible.”
Discussion of the Standard Valuation Manual, which was included on the
agenda, was deferred to a later meeting.