Dealing with Natural Disasters: A regulator’s perspective Angela Nelson Insurance Market Regulation Division

Overview When a disaster hits How regulators work through CAT events What a regulator needs to know What to do AND more importantly, what not to do

“A fist coming out of the sky …” Joplin, Missouri / 5-22-2011 / 5:34 pm EF5 multiple-vortex tornado Single most costly tornado in US history 25% of Joplin destroyed $3 Billion to rebuild Seventh deadliest tornado in US history 161 fatalities 1000 injured

When a disaster hits State Emergency Management Governor’s Office Insurance industry Consumers Media/Press Local government Other state insurance regulators FEMA

So what are regulators doing?

What a regulator needs to know What is your claim volume – received and expected? What is your call volume? If disaster is widespread – where is the greatest impact for the company? Where can I send policyholders? How can we expedite consumer complaint issues? We need to know if companies are seeing anything unusual? We need to know if companies run into an internal problem? We would like to know if companies are making any across the board policy exemptions?

To do’s (and NOT to do’s) Figure out the key contacts within the DOIs you deal with Consumer Affairs, Market Conduct, and Enforcement and Licensing (adjuster issues) Introduce yourself to these individuals BEFORE a disaster. After a disaster, monitor your complaints for issues – data mine them. If you know the media or a legislator has an issue – tell your regulator. Don’t wait until the DOI calls you. If the company has developed a problem, call the DOI and tell them. Don’t let your complaint volumes mount, be proactive. Don’t assume. If in doubt how to handle an issue, call and ask.

My contact information Angela Nelson Director, Division of Insurance Market Regulation Telephone: 573-522-9869 angela.nelson@insurance.mo.gov https://www.linkedin.com/in/angela-nelson-mo/