National Association of Insurance Commissioners (NAIC) Schedules Public Hearing On Insurer Post-Disaster Claims Settlement Practices

Making insurers’ post-catastrophe claim settlement practices more consumer-friendly will be the focus of a two-hour public hearing scheduled to begin at 8:00 a.m. on Sunday, December 2, 2012 at the National Association of Insurance Commissioners (“NAIC”) 2012 Fall National Meeting in Washington D.C.

To view the hearing notice, click here.

Based on the information expected to be gleaned from the hearing, the NAIC’s Property and Casualty Insurance Committee (“Committee”) may develop a model guideline, white paper or compilation of best practices relating to claims handling.  Issues might include:

• The appropriate duration for payment of additional living expenses
• The appropriate duration for consumers to recover the full replacement cost of personal and real property
• Streamlined inventory requirements in the event of a total loss
• Enhanced training requirements relating to the calculation of accurate dwelling replacement values
• Requiring insurers to provide a complete copy of a policy upon request as part of their claims settlement practices
• Providing claimants with access to copies of all claims-related documents in a claim file

Further, pursuant to its charge to explore post-catastrophe regulations that might hinder insurer claims response, the Committee may also develop a model law, regulation or guideline to standardize insurer premium collection procedures, underwriting limitations, claims-handling processes and claims data reporting requirements that a state could adopt in advance of a catastrophe, and then activate afterward.

Those wishing to testify at the December 2 hearing must respond to Eric Nordman (enordman@naic.org) by November 9, 2012.

All testimony must be submitted in electronic format to Pam Simpson (psimpson@naic.org) by the close of business on November 15, 2012.

For information on the NAIC’s 2012 Fall National Meeting, click here.

Should you have any questions or comments, please contact Colodny Fass& Webb.

Click here to follow Colodny Fass& Webb on Twitter (@CFTLAWcom)

To unsubscribe from this newsletter, please send an email to Brooke Ellis at bellis@cftlaw.com.