The Senate approved a measure introduced by Senator Dan Laughlin (R-Erie) that updates and streamlines reporting requirements for insurance companies in Pennsylvania.
Senate Bill 1205 will require insurance companies to provide specific information on their corporate structure, including a list of board members and their officers on an annual basis beginning in January 2020. This information will ensure that the Department of Insurance continues to meet the National Association of Insurance Commissioners-mandated requirement to conduct financial stability examinations of those companies doing business in Pennsylvania. Failure to meet that requirement could jeopardize the insurance Department’s accreditation with the NAIC.
“For insurance companies, Senate Bill 1205 should reduce the cumbersome burden that comes with the Department’s financial stability examination since much of the relevant material will be already provided and updated annually. This burden is especially heavy for Pennsylvania’s smaller insurance companies,” said Senator Laughlin. “In addition, this bill also includes provisions that will help those companies based in Pennsylvania by increasing the parity between the reporting requirements they face and those of out-of-state businesses.”
Contact: Matt Azeles mazeles@pasen.gov