The Kansas Insurance Department has gotten accreditation for its financial regulation of coverage providers, regulators have announced.
The Financial Surveillance Division of the state Insurance Department was re-accredited last week for its oversight of Kansas auto insurance and other coverage providers by the National Association of Insurance Commissioners (NAIC).
“It’s important for our financial surveillance division to correctly monitor the practices and financial soundness of companies doing business in Kansas,” Sandy Praeger, the state insurance commissioner, said in a news release. “The 18 division staff members have an ‘ear to the ground’ when it comes to the financial ability of … companies to adequately cover Kansans who have policies with them.”
The Kansas department is accredited for the next five years. It joins Ohio and Oklahoma as states to have recently received approval from NAIC, which sets and maintains standards for financial solvency regulation of insurers. Accreditation is awarded for five-year periods, with annual reviews within that time frame that focus on regulators’ financial analysis and personnel practices.
The program is aimed at ensuring proper oversight of companies that do business in multiple states.
Kansas has had a busy year for damage claims, with high winds, hail and tornadoes inflicting more than $1 billion in estimated insured losses.
The estimated damage to homes, automobiles and crops is based on about 197,000 insurance claims filed with the state’s coverage providers. The losses are far worse than the previous record of $700 million on 365,500 claims set in 1992.
More than half the damage was done in April, when residents filed 66,000 claims for $502.5 million in losses after hail and wind storms hit the state, regulators reported.