Consumer Orgs To Csiszar: Quit or Halt Dereg Push

NU Online News Service, March 3, 4:27 p.m. EST?A coalition of consumer groups has written the National Association of Insurance Commissioners asking that its president stop his efforts to deregulate the industry or leave the presidency.[@@]

The letter suggesting that Ernst Csiszar, the South Carolina Insurance Director, might resign was signed by J. Robert Hunter, director of insurance for Consumer Federation of America and Norma P. Garcia, Consumers Union senior attorney, on behalf of Americans for Insurance Reform and its 100 participating groups.

Commissioners should direct Mr. Csiszar to "honor his position as president of the NAIC or, if he is unwilling to do so, to resign and allow someone supportive of the NAIC and state regulation to take his place," the letter said.

Mr. Csiszar's office in Columbia, S.C. referred questions to the NAIC office, in Kansas City, Mo., which did not immediately respond.

Mr. Hunter, said in a statement that Mr. Csiszar "favors broad deregulation of many aspects of insurance. His views are on the extreme end of the spectrum of views of members of the NAIC. Consumers will be hurt and state insurance regulators deprived of authority to help consumers or address market problems under the radical deregulation agenda he pushes."

Ms. Garcia accused Mr. Csiszar of being so zealous on behalf of a deregulation agenda that he is "abandoning NAIC work products and placing at risk the very viability of state insurance regulation and associated consumer protections."

The letter said the groups are concerned that Mr. Csiszar "is using his position as NAIC President to push his extreme views instead of consensus positions taken by the NAIC."

According to the groups, Mr. Csiszar has pledged to abandon NAIC work products in favor of other organizations' work that are more in line with his personal agenda.

Director Csiszar has promised to promote the National Conference of Insurance Legislators rate model, "which is an industry wish list that goes beyond deregulation and places barriers in front of regulators who attempt to deal with problems in the marketplace," according to the consumer advocates.

In the view of the letter writers the NAIC has representatives from all the states while at NCOIL, which does not have reps from all states, "insurers drive the development of NCOIL work products."

Special Reports /

Consumer Orgs To Csiszar: Quit or Halt Dereg Push

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