NEW YORK — The insurance industry can be more than just a way todeal with risk in society, and can be used as "a catalyst forpositive change in society," New York's top regulator said hereFriday.  

Benjamin Lawsky, superintendent of New York's Department ofFinancial Services, said during an Insurance Federation of New Yorkluncheon that the insurance industry "performed beautifully" duringSuperstorm Sandy last year, but added that insurers can now take aleadership role as the state enters the rebuilding process.

He said, "We really need people along the coast, as theyrebuild, to take mitigation measures and raise their homes up sowe're not dealing with the same problem year-in and year-out whenwe have these 100-year floods that seem to be happening every yearor two."

Lawsky stated that the insurance industry should work withregulators to incentivize the public to take such mitigationefforts. "And if we do that and work on it together," he said,"that will lower the damages suffered later." 

Benefits, said Lawsky, would include lower loss costs forinsurers during the next storm and lower premiums for people wholive along along coast.

Lawsky also said the industry can take the lead in encouragingmitigation efforts in the auto-insurance space through greater useof telematics.

Telematics, he said, could lead to fewer accidents, lowerpremiums and could save lives and make for safer streets.

"Those are the ideas we're going to focus on in the year aheadand really try to incentivize," Lawsky said.