In the current and evolving world of insurance regulation, things are changing faster than ever. The National Association of Insurance Commissioners (NAIC), which serves as the historical national — and increasingly global — integrator of insurance rules and regulations, continues to issue guidance through its various working groups that places more and more emphasis on risk management and solvency. With this focus, the NAIC is helping to create a higher level of certainty in insurers' ongoing solvency and balancing of risk to ensure future stability in the insurance market.
In 2012, Protiviti issued a white paper describing the requirements of Own Risk and Solvency Assessment (ORSA). In this paper, we provide an overview of the key changes and new regulations coming out of the latest NAIC working groups.