Lt. Governor Mary Taylor today announced passage of legislation providing the Ohio Department of Insurance with better, more common sense tools when it comes to evaluating the financial health of Ohio’s insurance industry. The measure passed with overwhelming bipartisan support in both the Ohio House and Ohio Senate and now goes to Governor John Kasich to be signed into law.
“I want to thank Senator Kevin Bacon for sponsoring the corporate governance act as well as Speaker Rosenberger and President Faber for their leadership on this issue,” said Taylor. “Ohio is home to one of the largest and most dynamic insurance markets in the world creating more than 100,000 jobs. By protecting that competitive market, we can ensure consumers have more choice and lower premiums and the corporate governance act does that by helping provide a balance between strong consumer protections and fair, but vigilant regulation of the industry.”
Senate Bill 273, sponsored by Senator Kevin Bacon (R-Minerva Park), requires Ohio insurers to file an annual corporate governance disclosure to the Department. The law is in line with best practices outlined by National Association of Insurance Commissioners (NAIC) – a group the Ohio Department of Insurance is both a member of and accredited by.
Specifically, the annual disclosure will give Ohio insurers an opportunity to outline their corporate structure to the Department as well as any changes to that structure that have taken place in the past year. It also provides the Department with information necessary to helping ensure Ohio’s insurers are financially stable and well positioned to meet consumers’ needs when it comes to paying claims.