While building on the success it had in 2005, theproperty-casualty insurance industry will continue to work on manyof the same challenges in 2006, according to the American InsuranceAssociation.

|

Regulatory reform, the use of credit data and the ongoingasbestos litigation debate are among the top priorities for 2006that the AIA said it plans to focus on at both the federal andstate level.

|

Although the asbestos issue has been around for decades, itreceived a great deal of attention in 2005 and should remain amongthe major tasks facing the insurance industry and Congress.

|

Senate Judiciary Committee Chairman Arlen Specter, R-Pa., ledefforts to craft legislation establishing a $140 billion trust forvictims of asbestos exposure but has run into stiff opposition fromsome Democrats. They question the ability of the fund to providefor all asbestos claims and are leery of removing victims' right tofile suit.

|

"Despite pervasive evidence that the current system isdysfunctional, a workable federal solution remains elusive," theAIA said, noting that without federal action, "certain states arelooking for their own legislative solutions to this problem."

|

Given the increasing globalization of the insurance industry,the AIA said it would work to bring the U.S. regulatory environmentup to speed with the rest of the world.

|

"Despite its essential role in the most advanced economy in theworld, the U.S. property-casualty industry labors under anantiquated regulatory system made up of 51 separate jurisdictionswith substantial inconsistencies among their various regulationsand laws," the group said.

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.