The National Association of Insurance Commissioners (NAIC) is a voluntary U.S. organization of state insurance regulators whose goal is to protect consumers, establish regulatory standards and modernize the nation’s insurance market. By setting regulations governing the conduct and operations of all insurance companies, the NAIC is the leading source of information and regulation of the insurance industry in the U.S.

The NAIC is comprised of the insurance commissioners of the 50 states, the District of Columbia and five U.S. Territories. In addition, they have representatives from 27 international jurisdictions, the Consumer Liaison Council, the National Association of Mutual Insurance Companies, among other members and participants.

The mission of the organization is to ensure the protection of insurance policyholders and consumers, ensure enough capital backup for the insurance companies, promote as well as enforce the importance of insurance regulation, review any form of potential financial harm caused by the products and services of the insurance market and to endorse a good and healthy public policy.

The NAIC functions by means of developing model rules and regulations for the different types of insurance products and services. The resulting update of model laws and regulations act as guidelines for the insurance companies to regulate their operations in the insured market. It also provides education, research, and assistance in the areas of insurance and financial regulation.

The NAIC offers programs, information, and online tools to provide insurance consumers in the United States with information and resources to help them make informed decisions. Consumers can find out about different types of insurance coverages and policies, the cost of insurance and how to complain, if the need arises.

The NAIC has also been instrumental in facilitating buyout agreements among insurance companies to prevent insolvencies. When companies are unable to pay out their claims and policies, the NAIC works to facilitate the buyout agreement among other insurance companies to guarantee the protection of the policyholders and the continued operations of the processing companies.

All in all, the National Association of Insurance Commissioners (NAIC) is a vital part of the regulatory body of the insurance market in the United States. By providing protection to consumers, controlling the activities and operations of the insurance companies and providing helpful resources to the insurance consumers, the NAIC is at the forefront of the industry.