December 7, 1998
FOR IMMEDIATE RELEASE
CONTACT: CHRISTOPHER GOETCHEUS
MA Division Of Insurance Receives 5 Year Re-Accreditation With N.A.I.C.
(BOSTON, MA)The Massachusetts Division of Insurance (DOI) today announced that the National Association of Insurance Commissioners (N.A.I.C.) voted for re-accreditation of the Division for (5) five years. The decision by a panel comprised of insurance commissioners came during the governing body's annual meeting in Orlando, FL. The re-accreditation affirms that the MA DOI meets stringent requirements for monitoring financial solvency of companies domiciled in Massachusetts.
A week-long audit in mid-November by a highly-experienced and expert N.A.I.C. review team focused on (5) five years of annual statement analysis and examinations completed solely by the MA DOI's financial examination and analysis staff. The standards for evaluation included: depth of review for solvency, appropriate supervisory review and proper documentation of analysis procedure. The MA DOI staff led by Director of Financial Analysis Robert Dynan, CPA and Director of Financial Examinations John Ritacco, CPA met or exceeded N.A.I.C. requirements in every category.
In recommending the MA DOI for re-accreditation, the review team complimented the staff and joined MA Insurance Commissioner Linda L. Ruthardt in recognizing the caliber of regulatory work it has maintained.
" Our staff has worked very hard to implement highly technical analysis and audit procedures. Especially noteworthy is the fact that all of the examinations the audit team scrutinized were done by our employees and not consultants. This re-accreditation supports what I've always known. We've got a great team of competent, professional and useful public servants in Massachusetts," Ruthardt said.
According to most recent N.A.I.C. statistics, Massachusetts ranks 10th nationally in premium volume with $26.4 billion and 20th in the country in insurance department budget. MA DOI conducts solvency examinations of life insurance and property and casualty insurers as well as workers' compensation self-insurance groups and health maintenance organizations.
The N.A.I.C. adopted a formal certification program in 1990. Under the plan, insurance departments meeting N.A.I.C. standards are publicly acknowledged, while departments found in non-compliance are given guidance on how to bring themselves into compliance. In addition to original certification, insurance departments must submit to an annual evaluation process and must undergo a full recertification review every (5) five years.