A proposal for an interstate compact that would allow a single point of filing for life insurance products has moved closer to becoming a reality.
Regulators participating in the compact effort advanced by the National Association of Insurance Commissioners voted to move an amended Interstate Insurance Product Regulation Compact draft for full consideration by the NAIC executive committee and plenary. A vote is to be held during the NAIC winter meeting this week.
The unanimous vote was taken by roll call. The following states voted to advance the draft: Michigan, Texas, Wisconsin, New York, California, South Carolina and Ohio.
California noted, however, that although it voted to advance the model, it still had constitutional concerns regarding the premise of the compact and might not support it in a final vote.
Regulators first voted on amendments to the compact draft and then voted on presenting a revised draft that included these amendments to the full NAIC body.
One issue raised was how broadly consumer representation should be defined. The Minnesota Attorney Generals office also raised a concern that attorneys generals rights to pursue legal action would still be preempted even with new language in the draft.
But in general, the tenor of the discussion was relatively understated in comparison to an earlier public hearing held in mid-November.