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New York Superintendent Eric Dinallo is making good on a promise to break down the traditional approach to insurance oversight with a draft proposal to establish principles-based regulation. The question now is how the industry will react.

The superintendent issued 10 principles for insurers and 10 for regulators. Mr. Dinallo contends this will help create a more nimble insurance industry that will be more competitive on the world stage in the face of increased competition.

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