The National Association of Insurance Commissioners is expected to delay collection of key insurer mortality data until 2021.
Due to the ongoing COVID-19 pandemic disruption, submitting the mortality data is not feasible this year, the association announced Wednesday.
The data "remains a high priority regulatory issue for the NAIC, and the proposed one-year delay in the collection of this data should not be interpreted as diminishing the importance of this issue to the NAIC," the association said in a memo.
The delay had been requested by the American Council of Life Insurers, the NAIC said. Mortality data is collected annually from selected insurers and helps the carriers determine premiums and regulators to make sure the insurance companies remain solvent.
At a June 25, 2019 Life Actuarial Task Force meeting, 176 companies were selected to provide 2018 mortality data, representing 31 states of domicile. Since then, all selected companies were notified, and the data call was planned to begin during the second quarter of 2020, the NAIC said.
The new schedule calls for 2018 and 2019 mortality data to be collected in 2021. The NAIC reminded life insurers to stay on top of their data collection.
"It is expected that life insurers taking advantage of this accommodation will take care to ensure this continuity takes place and future experience reporting submissions will be of high quality, even with the one-year delay and potential temporary disruption of continuity," the memo said. "Lack of quality data submissions could create uncertainty which could lead to additional margins in reserve assumptions being required."
InsuranceNewsNet Senior Editor John Hilton has covered business and other beats in more than 20 years of daily journalism. John may be reached at firstname.lastname@example.org. Follow him on Twitter @INNJohnH.
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