Our Positions | Commercial Lines Modernization

Between 1998 and 2001, more than half of the states enacted commercial lines modernization legislation, freeing sophisticated commercial entities and their insurers from the burden of having to comply with regulatory rate and form requirements.

These statutes, known as exempt commercial policyholder laws, define sophisticated commercial insureds by factors such as premium, number of employees, net revenue, sales or worth, and retention of a risk manager. Insurance transactions involving exempt policyholders as defined are not subject to the same rate and form filing requirements that would apply to transactions with smaller, less sophisticated commercial entities.

NAMIC Position

NAMIC strongly favors regulatory modernization, viewing it as a key component to overall regulatory reform necessary to preserve and improve the state-based system of insurance regulation.

Alabama: Guaranty Association Update Passes Prior to Last Days Dustups

March 29, 2018 The Alabama legislature on March 27 enrolled SB 283, legislation to modernize the state guaranty association limits. The bill increases coverage up to $300,000 and includes other modernizations. The House had given SB 283 third reading on March ... Read more

NAIC Seeking Input on Commercial Lines Modernization, Including Compact Idea

June 15, 2017 The NAIC's Property Casualty (C) Committee is seeking input from industry and other interested parties regarding commercial lines modernization and... Read more

Property Casualty Committee Eyeing Commercial Lines Modernization Again

April 19, 2017 The NAIC's Property Casualty (C) Committee announced plans to renew an examination of the topic of commercial lines modernization during the NAIC's Spring National Meeting in Denver, with... Read more

Property Casualty Committee to Revisit Topic of Commercial Lines Modernization

April 4, 2017 The NAIC's Property and Casualty (C) Committee will revisit the topic of commercial lines modernization when it meets on April 10 during the NAIC's Spring National Meeting in... Read more

NAIC Commercial Lines Working Group Issues Recommendations

July 2, 2015 The Commercial Lines Modernization (EX) Working Group has finalized its recommendations to its parent Speed to Market (EX) Task Force, recommending that the task force disband the working group upon completion of its charges. NAMIC has been an active pa... Read more


Andrew Pauley
Government Affairs Counsel