Captive industry’s future bright, but challenged by regulation: NAIC president
From: Business Insurance, March 12, 2018
SCOTTSDALE, Ariz. — The U.S. state-based system of insurance regulation is under frequent scrutiny by federal and international regulators, and the captive insurance sector is getting caught up in these debates, said Julie Mix McPeak, president of the National Association of Insurance Commissioners.
The captive insurance industry’s future remains “so bright because of the industry’s entrepreneurial spirit,” she said at the Captive Insurance Companies Association’s 2018 conference in Scottsdale, Arizona, on Monday.
“While pure captives continue to make so much sense for corporations looking to self-insure for many of its own risks, I’m most excited to see so many of the commercial market risk challenges being solved by creative captive programs,” she said. “From health insurance solutions in the continually contracting commercial market to new risks that the traditional insurers are hesitant to address like cannabis, cyber security and big data, this industry has always responded.”
But the regulatory environment is not without challenges, she said.
Click here to read the full article.