Several key issues remain unresolved in the Criminal History Record Check Model Act proposed by the National Association of Insurance Commissioners, according to the Property Casualty Insurers Association of America. The issues at question must be resolved in connection with National Treatment in Coordination Working Group's efforts to revise the Uniform Certificate of Authority Application so that there are consistent and efficient company licensing requirements among the states, the association believes.

“PCI understands the need for information on company officers and directors in connection with company licensing and other corporate transactions,” said Lenore Marema, PCI's vice president, industry and regulatory affairs. “There also is a need, however, to consider the overall details, timing, and costs for company licensing so that the NAIC's reform efforts are exactly that, rather than expensive add-ons to the current system. If the NAIC now wants to move to a centralized system of coordinated criminal background checks for company officers and directors, it must reopen the existing compromise in the UCAA on the biographical affidavit process.”

PCI has expressed concern that the current draft of the model specifies that company licensing processes under the UCAA require both criminal background checks and biographical affidavits. Because only a few states require fingerprints and criminal backgrounds in company licensing transactions, the drafters of the UCAA rejected that requirement and, instead, included a process under which license applicants submit the NAIC Uniform Biographical Affidavit for their officers and directors, which then must be reviewed by third party vendors.