Insurance regulatory compliance

Insurance companies are routinely subject to market conduct and financial examinations, which are thorough, require companies to dedicate staff and interrupt their business operations, and can be costly for companies that have multiple domestic regulators. Moreover, exam reports are public information, and therefore can subject companies to public scrutiny, large fines, and reputational risk. Accordingly, insurers need to know the true scope of their issues and state of their compliance functions before examinations take place, as well as how to operationalize any process improvements they agree to later.

Our Insurance Regulatory and Compliance Practice has extensive experience consulting with insurers on regulatory compliance issues  and long-standing working relationships with industry trade groups, state departments of insurance, and the NAIC. We help clients develop a proactive approach to improving compliance functions so they can:

  • Understand their regulatory exposures prior to routine or targeted market conduct and financial exams;
  • Evaluate any potential financial and reputational impact;
  • Determine whether or not and how to fix any problems;
  • Gather information to confirm or refute regulatory findings;
  • Understand the true scope of any problems beyond the sample regulators collect;
  • Consider strategies for negotiating with regulators;
  • Gain insight into how peers resolve examination issues;
  • Improve communications to stakeholders;
  • Develop and implement any corrective action (ordered or self-imposed); and,
  • Understand how to operationalize responses to regulatory action.

All of this enables clients to:

  • Provide both themselves and regulators with the information they need, when they need it, and in the form they need it;
  • Minimize disruptions to their operations;
  • Save time and money and avoid reputational risk; and,
  • Preserve relationships with regulators, customers, and other stakeholders;
  • Improve their compliance functions.