Now that we are one full month into 2011, it's a good time to check the inventory levels of some key legislative and regulatory developments for the property and casualty insurance industry and consider what lies in store for the months ahead.

Regarding certificates of insurance, cautionary tales from state insurance departments continue this year. With the backdrop of several states, including Iowa, Kansas, Missouri, Montana, North Dakota, Texas, and Utah having issued bulletins in 2010 reminding the industry of the regulatory requirements applicable to certificates of insurance, 2011 starts off with both Arizona and Georgia continuing that trend.

Arizona's Bulletin 2011-01 addresses the prohibited practice of misrepresenting coverage when issuing certificates of insurance. Outlining the requirements that certificates must clearly and accurately state the insurance coverage provided and may not obscure or misrepresent the coverage or terms of a policy, the Bulletin also addresses producers' responsibilities and possible enforcement actions. Potential administrative actions for violations of Arizona's certificates of insurance regulatory requirements, as in many other states, include suspension or revocation of a producer's license or an insurer's certificate of authority, civil penalties, and restitution.