NAIC's E-Filing Program Takes Off

|

By Michael Ha

|

NU Online News Service, June 24, 10:53 a.m. EDT, NewYork?Insurers use of the National Association of InsuranceCommisioners' electronic filing system has been soaring since itsinception two years ago, the organization reported.

|

Known as SERFF, The System for Electronic Rate and Form Filingis lowering the time and cost of insurers' rate-and-form filing,officials said.

|

First introduced in 2001, the electronic filing program has beengrowing consistently, said Mike Pickens, Arkansas insurancecommissioner and president of NAIC.

|

"The popularity and success of SERFF is gratifying and is atangible indication of its value to both insurers and to stateinsurance regulators," Commissioner Pickens said.

|

He also noted that it is not only more cost effective than"antiquated" filing methods, but it also boosts accuracy andfacilitates communications between states and insurers throughstatus tracking, reports and workflow management.

|

William Maher, senior product development manager at NAIC, whoparticipated in the SERFF board of directors meeting yesterdayduring the NAIC summer meeting here, said that in 2002 the SERFFusage had jumped more than 200 percent from the previous year.

|

This year, "more than 29,000 filings have been submitted throughSERFF to the states. It already exceeded what we did all of lastyear," Mr. Maher told National Underwriter.

|

"We are seeing that states are accepting it more, and morecompanies are coming on," he said, also noting that New York is nowmaking a strong recommendation that those on the property-casualtyside utilize SERFF as their means for filing. "New York is one ofthe first states to issue such a recommendation," he said.

|

Currently, 49 states accept p-c insurance filings via SERFF, andamong those states, 40 are accepting them for all filings types,such as rate, form, rule and advertising. Additionally, there arenow more than 750 insurers licensed to use SERFF, includingPrudential, Liberty Mutual and The Hartford, Mr. Maher said.

|

NAIC's goal, he noted, is to have all states accept allrate-and-form filings through SERFF for all lines of insurance andall filing types by the end of this year.

|

The NAIC recently had an e-regulation conference in Kansas City,where some of the SERFF users got to talk about their experiences,Mr. Maher said.

|

He related that a "representative from Liberty Mutual said thathe was not a believer but that now he is because he had seen greatcost-savings," Mr. Maher recalled. "I think companies are seeingthat the old paper-way of doing it is outdated, it's outmoded. Thecost is prohibitive and you've got to come to some means ofelectronic filing."

Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.