NAIC Examines InsurTech and Regulation
The National Association of Insurance Commissioners (NAIC) is now exploring how innovative technologies will affect the insurance industry.
At the NAIC Spring Meeting in Orlando, the Big Data Working Group reviewed the regulatory framework for the rate-filing process to accommodate big data models and develop a set of best practices for reviewing these models that are used to justify rates for insurance. The NAIC also is working to address regulatory gaps with regard to the use of chatbots and artificial intelligence (AI) in the sale of insurance, which could lead to increased regulation down the road concerning how licensed insurance agents and brokers use chatbots and AI to sell, solicit, and negotiate insurance. Further, the NAIC is exploring changes to anti-rebating laws and their impact on innovation.