Acting Commissioner David Parsons today announced that the National Association of Insurance Commissioners (NAIC) voted unanimously to grant a five-year continuation of the accreditation of the Alabama Department of Insurance.
According to the NAIC, the Accreditation Program is designed to improve the quality of regulation and confidence in an insurance department's abilities. The program mandates a full on-site re-examination and reaccreditation every five years and requires interim annual reviews to ensure compliance with standards.
NAIC president, George Nichols III presented the department with its accreditation in Boston this week.
"Commissioner Parsons is to be commended for his leadership in maintaining Alabama’s high standards of solvency regulation under the NAIC's Accreditation Program," said Nichols.
The Alabama Insurance Department was also recognized with the NAIC State Regulation 2000 (SR-2000) Technology Award for using the internet to promote greater uniformity and efficiency in insurance regulation.
"When I became Acting Commissioner in January 1999, I knew there were challenges ahead. Two specific goals were to gain re-accreditation and become SR-2000 compliant," said Parsons. “The accreditation procedure and review is an extensive and time consuming process for any department, but it was rewarding to be recognized by our peers as meeting these standards. We will continue to build on our strengths and improve our ability to fulfill our statutory obligation to balance industry services and consumer protection.”