Panel advances bill to align Idaho insurance rules with national standards, supporters say it protects local insurer
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Summary
House Bill 71 would allow the Idaho Department of Insurance to participate in standards set by the National Association of Insurance Commissioners; the House Business Committee advanced the measure by voice vote after testimony from the insurance director and the only Idaho‑domiciled life insurer.
BOISE — The House Business Committee voted to advance House Bill 71 on Thursday after testimony that the measure is necessary to maintain Idaho’s insurance accreditation and to allow Idaho‑domiciled insurers to operate under uniform standards used by other states.
State Representative Brent Crane (R‑Nampa) sponsored House Bill 71 and told the committee the measure "allows the Department of Insurance to be a part of the National Association of Insurance Commissioners" and would renew an existing, longstanding practice. "By doing this it allows for uniform standards and certifications so that insurance companies that do business within the State of Idaho... have the ability to go directly to our insurance commissioner," Crane said.
Dean Cameron, Director of the Idaho Department of Insurance, described the bill as focused on holding companies and a "group capital calculation" for holding companies, particularly those with foreign ownership. Cameron said the provision is already in place in a majority of other states and is needed for Idaho to remain "substantially similar" to other jurisdictions for accreditation purposes. "There is no federal entity that regulates the insurance industry. All insurance ... is regulated by the states," Cameron said, citing the McCarran–Ferguson Act as part of the regulatory framework.
Jeff Neumeier, chief administrative officer and general counsel for United Heritage Insurance, testified in support and said United Heritage Life Insurance is the only life insurer domiciled in Meridian. "House Bill 71 is critical to allow us to remain domiciled in Idaho and to remain based in Meridian," Neumeier told the committee. He said without the accreditation and reciprocal recognition in other states, regulatory burdens could make remaining domiciled in Idaho untenable for a relatively small life insurer.
There was little other public opposition in the hearing. Representative Crane asked the committee to send the bill to the floor with a do‑pass recommendation; the committee approved the measure by voice vote.
Supporters said the bill preserves jobs and Idaho’s regulatory authority by bringing the state’s statutes into alignment with widely adopted interstate standards. The measure now moves to the House floor for further consideration.
