Members of the National Association of Insurance Commissioners voted here today to approve amendments to the Viatical Settlements Model Act.
The Viatical Settlements model revision was the first measure to be adopted under new NAIC procedures for screening proposed models.
All of the 46 jurisdictions that voted on the model voted for it, but Nevada, New York, Montana, Washington and Virginia abstained, at least in part because of concerns about the new model screening process.
New York noted in an explanation of its decision to abstain that, in addition to having concerns about process, it believes the amended Viatical Settlement model needs stronger privacy protection provisions.
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Concerns about process focused on new standards that the NAIC has developed for deciding whether proposed models should go before the plenary, the body that represents all voting members of the NAIC.
The NAIC’s executive committee must decide that a model involves matters that require uniformity and that many commissioners will commit significant resources to implementing the model in their home states.
Some commissioners asked during discussion what NAIC leaders mean by the new resource commitment requirement.