Insurance Oversight

This volume focuses on transparency as the guiding principle for insurance regulation and supervisory law. All chapters were written by experts in their respective fields, who address transparency in a wide range of European and non-European jurisdictions. Each chapter reviews the transparency principles applicable in the jurisdiction discussed. While the European jurisdictions reflect different facets of the principle as emerging from EU law on insurance, the principle has developed quite differently in other jurisdictions.

Presents an evaluation of insur. regulatory oversight and info.-sharing in the matter of a highly publicized insur. invest. scam exposed in May 1999. Under indictment for embezzling more than $200 mill. in insur. co. assets over nearly an 8-year period is Martin Frankel. Mr. Frankel, a former securities broker who was barred from that industry in 1992, allegedly migrated to the insur. industry and operated as a rogue by engaging in illegal activity. This report: describes the alleged scam; evaluates the oversight and info.-sharing by insur. regulators; and identifies cross-financial-sector coord. issues, including those emanating from the scam.

As the baby boom generation ages, the demand for long-term care services will grow and could strain state and fed. resources. The increased use of long-term care insurance (LTCI) may be a way of reducing the share of long-term care paid by state and fed. gov¿t. Oversight of LTCI is primarily the responsibility of states, but over the past 12 years, there have been fed. efforts to increase the use of LTCI while also ensuring that consumers purchasing LTCI are protected. Concerns have been raised about both premium increases and denials of claims that may leave consumers without LTCI coverage when they begin needing care. This statement focuses on oversight of the LTCI industry¿s rate setting practices, and claims settlement practices. Illustrations.

In response to heightened competition, the larger insurance companies and various insurance industry groups have become interested in the concept of federal chartering and regulation.