In a recent decision, a Massachusetts trial court addressed whether an insurer could recoup previously-paid indemnity and defense costs from its insured. Finding that the insured had not obtained the payments as a result of fraud or bad faith, and that the insurer had failed to cite policy language permitting…
Read More Massachusetts Court Rejects Insurer’s Attempt to Recoup Defense and Indemnity Payments

Co-Authored by: Ben Sykes and Barry Weissman

During a special meeting of the National Association of Insurance Commissioners (NAIC) on February 8, members elected Missouri Insurance Director John M. Huff to the office of NAIC President-Elect. The office was vacated on January 20 when former Pennsylvania Insurance Commissioner Michael F.

Read More New NAIC President – Elect

CMS to Update the EHR Incentive Program

On January 29, the Centers for Medicare & Medicaid Services (“CMS”) announced its plan to propose changes to the Electronic Health Record Incentive Program (“EHR Incentive Program”). According to CMS, the rule will address provider concerns and reflect developments in the industry since…
Read More Healthcare Update: CMS to Update the EHR Incentive Program; HHS Announces Timeline for Medicare Payment Reform; OIG Issues Favorable Advisory Opinion Regarding Patient Assistance Program; HIPAA Settlement Following Breach Caused by Malware

On Wednesday, the Financial Stability Oversight Council (FSOC) announced that it had changed its non-bank review process. The Council will now inform companies earlier on in the process if they are under review and provide firms with additional opportunities to work with FSOC. In addition, more information about the designation…
Read More FSOC Amends Non-Bank Review Process

Earlier this week, the U.S. Department of Treasury Federal Insurance Office released Interim Guidance on implementation of the Terrorism Risk Insurance Program Reauthorization Act of 2015, which was signed into law last month after the prior program had expired on January 1. Some of the key features of the Interim Guidance include:…

Read More Treasury Issues Interim Guidance on Implementation of TRIA

Treasury Secretary Jacob (Jack) Lew presided over an executive session of the Financial Stability Oversight Council (Council) on Wednesday, February 4.  The preliminary agenda consists of administrative business of the Council, including a discussion regarding the Council’s outstanding notice seeking public comment on asset management products and activities, which was…
Read More Secretary Lew Presided Over an Executive Session of the Financial Stability Oversight Council

President Obama’s fiscal year 2016 budget once again contains a revenue proposal to tax certain reinsurance transactions between U.S. insurers and foreign reinsurers.  The proposal would apply to a U.S. ceding company that reinsures property/casualty risks with an affiliated foreign reinsurer.  Under the proposal, in general terms, a U.S. ceding…
Read More Taxing Foreign Reinsurance Transactions: Déjà vu All Over Again

Since the Terrorism Risk Insurance Program Reauthorization Act was signed into law by President Obama on January 12, many have been waiting on guidance from the U.S. Treasury Department regarding implementation of the new program. The property and casualty insurance industry is awaiting interim direction from the Department, through the…
Read More Industry Guidance on the Implementation of TRIA Reauthorization Anticipated Soon from Treasury Department

The Illinois Department of Insurance recently published proposed regulations impacting insurance producer licensing in Illinois.  While largely technical in nature, the proposed rules do require an individual to spend at least 51% of their time in Illinois to be considered a “resident” producer.  Moreover, with respect to business entities which…

Read More Illinois DOI Proposes New Producer Rules

The NY State Department of Financial Services has announced new IT examination procedures for banks chartered or licensed in NYS to focus on cyber security. The announcement, found here, sets out areas of focus in upcoming examinations, including written policies and procedures, intrusion protection, information security testing (including penetration…
Read More NY DFS Announces New Focus on Cyber Threat in Bank Exams