State legislators continue to press state insurance regulators to examine their process for developing regulatory requirements.

Michigan state Sen. Alan Sanborn, R-Richmond Township, Mich., president of the National Conference of Insurance Legislators, Troy, N.Y., has written a letter questioning the process used to accredit insurance regulators.

“Disregarding questions of authority, NCOIL believes that the manner in which models are chosen as accreditation standards has been subtly degraded over the years–and perhaps, in a manner of speaking, when no one was looking,” Sanborn writes in the letter, which is addressed to Walter Bell, president of the National Association of Insurance Commissioners, Kansas City, Mo., and Alabama insurance commissioner.

“Since the accreditation program was broached in the late 1980s and early 1990s, NCOIL has challenged the NAIC over its proposed sanctions of companies in unaccredited states, inserted essential NCOIL amendments to proposed accreditation models, and–when a rush to include more standards occurred–insisted on a responsible and measured procedure for adding new models or amendments,” Sanborn writes.

NAIC procedures have cut back the original 3-year exposure period proposed by NCOIL to 2 years, and now have cut that time frame down to 1 year, Sanborn writes.

Language regarding compliance costs and the impact of a model on states has been weakened, Sanborn adds.

The entire process for considering amendments and additions to accreditation standards may take 5 years, but, because of the way the process works, states have only 1 year to expose a model or revision after the NAIC deems adoption of the model or revision a potential accreditation standard, Sanborn writes.

Today, the NAIC could make adoption of a model that has been passed in only 1 or 2 states an accreditation standard, but NCOIL believes that no standard should become mandatory unless it has been passed by at least 26 states, Sanborn writes.

The NAIC says it has received the Sanborn letter but has no response at this time.