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New Jersey to Join Interstate Compact

New Jersey Commissioner of Banking and Insurance Tom Considine drew a round of applause when he told a meeting of the NAIC executive committee that...
October 27, 2010

New Jersey Commissioner of Banking and Insurance Tom Considine drew a round of applause when he told a meeting of the NAIC executive committee that his state is poised to become the 37th jurisdiction to join the Interstate Insurance Product Regulation Commission (IIPRC). The compact enables state insurance regulators to develop uniform national standards for asset protection in insurance products. It currently covers 35 states and Puerto Rico. Jurisdictions currently belonging to the compact are Alaska, Colorado, Georgia, Hawaii, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nebraska, New Hampshire, New Mexico, North Carolina, Ohio, Oklahoma, Pennsylvania, Puerto Rico, Rhode Island, South Carolina, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin and Wyoming.

The New Jersey state Senate voted 37-0 in support of A. 483, which would link the Garden State to the compact. Speedy adoption in the state Assembly is expected, as the lower house approved a similarly worded version of the bill in a unanimous vote earlier this year. PIA of New Jersey supported the state joining the compact.

At its fifth annual meeting held in conjunction with the NAIC fall meetings, Director Mary Jo Hudson was re-elected as chairwoman of the IIPRC Management Committee. New Hampshire Insurance Commissioner Roger Sevigny was elected vice chairman and North Carolina Insurance Commissioner Wayne Goodwin was elected treasurer. "The compact delivers on speed-to-market for companies and consumers without compromising a thorough review under detailed and transparent product content requirements," Goodwin said in a statement.

What It Means to Agents: PIA fully supports the Interstate Insurance Product Regulation Commission (IIPRC) because it preserves the authority of our state legislators and regulators while streamlining the regulatory process. The IIPRC provides the foundation upon which an improved national system for insurance regulation can be achieved and federal encroachment can be thwarted.