A nationwide data call was put out recently to property insurers to assist state insurance regulators in better understanding property markets, coverages and protection gaps, according to the National Association of Insurance Commissioners (NAIC).
“Increasing climate risks, reinsurance costs and inflationary pressures” are the main factors driving property insurers’ re-examination of books of business in states where risk is the highest.
Florida, California and Louisiana have seen the most exits of insurers to date.
According to the NAIC, work on the template for the ZIP code-level data state insurance regulators will request from insurers is continuing under the direction of the Property and Casualty Insurance (C) Committee, chaired by Alan McClain, commissioner of the Arkansas Insurance Department.
The NAIC has been engaged in ongoing discussions regarding the data call with members of the insurance industry and state insurance regulators, as well as the U.S. Department of the Treasury’s Federal Insurance Office (FIO).
The FIO has announced its own plans to proceed with a call for data.
Part of a long-term strategy, the additional collection of granular data on availability and affordability of property coverage will add to the robust financial data on solvency and investments the NAIC already maintains.
While the data template and criteria hasn’t been finalized yet, the NAIC expects to ask property/casualty insurers representing a significant market share of homeowners insurance coverage to submit ZIP code-level data across the U.S. on premiums, policies, claims, losses, limits, deductibles, non-renewals and coverage types.