The market conduct examination process for insurance companies is complex, time consuming and costly. With limited resources available to non-revenue producing functions, companies are continually seeking ways to conduct their business in a cost-effective manner that is free from examination criticisms.
A common practice to this delicate balance is to conduct a risk-based approach to one’s business. Under a risk-based model, companies identify the business practices that are of significant regulatory interest or that have resulted in significant regulatory fines and ensure that those areas of increased risk are compliant. Access to market conduct exam criticisms is a critical link for companies to identify those compliance risks, which are typically regulatory hotspots.
Citations are linked with past state market conduct criticisms relating to the requirements contained in the cite. Our red alert icon next to citation references quickly alerts users to requirements criticized by state examiners in one or all jurisdictions.
Performing internal audits is one of the common applications of our Market Conduct Compliance tools. Quickly identify compliance requirements that are in effect on specific regulatory issues, and prioritize internal audit efforts to address the key areas or “hot topics” within each jurisdiction.
An indispensable tool in preparing for an exam - identify key areas of regulatory concern for a particular jurisdiction, understand how regulators have treated an issue in other examinations and prepare responses to exam findings.
Easily review state requirements for a specific line of business and identify regulatory activity. The linking of statutes, regulations and bulletins by category and terms provides a unique research advantage and improves research efficiency.
Many companies are attempting to relieve legal and/or compliance departments from the burden of answering routine questions that surface on a daily basis. The challenge is in equipping personnel with a resource that does not require a law degree to use. Linking of legal requirements to subject categories and terms dramatically simplifies the process of researching answers to routine questions, and access to market conduct criticisms allow for an enhanced level of understanding.
For more information on OneSumX NILS Market Conduct – Life and Health and OneSumX NILS Market Conduct – Property and Casualty, please call 800.481.1522.