Of the Dodd-Frank Act's sundry requirements, few have caused as much consternation among bank regulators as the mandate to evaluate capital without the help of credit ratings.

However, state insurance regulators aren't struggling with the issue like their banking counterparts. The National Association of Insurance Commissioners replaced ratings-based capital determinations for mortage-backed and other structured securities with a centralized, third-party loss-modeling system — voluntarily and more than a year ago. The association and others say their method could readily translate to banking.

Register or login for access to this item and much more

All Digital Insurance content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access