►
Description
This is the fourth meeting of the 2021-2022 Interim. Please see agenda for details.
For agenda and additional meeting information: https://www.leg.state.nv.us/App/Calendar/A/
Videos of archived meetings are made available as a courtesy of the Nevada Legislature.
The videos are part of an ongoing effort to keep the public informed of and involved in the legislative process.
All videos are intended for personal use and are not intended for use in commercial ventures or political campaigns.
Closed Captioning is Auto-Generated and is not an official representation of what is being spoken.
A
B
B
A
Thank
you
miss
roe.
If
you
would,
please
indicate
that
all
members
are
present
before
we
begin,
I
would
like
to
make
several
housekeeping
announcements.
First,
I
would
like
to
remind
everyone
in
person
here
in
las
vegas
and
in
carson
city,
to
please
silence
all
of
your
electronic
devices,
especially
cell
phones
and
laptops
during
the
meeting
for
members
joining
online.
Please
mute
your
microphone
when
you
are
not
speaking,
but
please
leave
your
camera
on.
Additionally,
I
ask
our
presenters
on
zoom
video
call
to
leave
your
cameras
off
and
microphones
muted.
A
Until
I
call
the
agenda
item
under
which
you
will
present
or
if
we
direct
any
questions
to
you,
I
would
like
to
remind
everyone
on
zoom
that
the
chat
feature
is
only
to
be
used
for
technical
assistance,
with
assistance
from
bps
any
links
or
information
or
questions
should
be
shared
verbally
on
the
record
and
not
shared
in
the
chat
feature.
The
committee's
meeting
materials
can
be
found
on
the
nevada
legislature's
website.
You
can
also
sign
up
for
electronic
notifications
related
to
any
activity
on
the
committee's
website
when
testifying
in
person.
A
A
We
will
have
public
comment
period
at
the
beginning
of
our
meeting
as
well
as
at
the
end
of
our
meeting,
and
public
comment
is
limited
to
three
minutes
per
speaker.
In
addition
to
testifying
in
person,
members
of
the
public
may
provide
public
comment
in
four
different
ways,
all
of
which
are
listed
on
the
agenda.
You
may
provide
public
comment
by
calling
in
669-900-6833.
A
And
then
pressing
the
pound
sign
when
prompted
for
a
participant
id,
please
press
pound.
Again,
you
can
also
email
your
comments
to
the
committee's
email,
address
and
mail
them
to
the
research
division
as
well
as
facts.
In
your
comments,
you
can
find
the
public
and
fax
numbers
and
email
address
and
mailing
address
on
the
agenda
with
that.
We
will
move
to
public
comment
and
begin
with
those
present
here
in
las
vegas.
Is
there
anyone
in
las
vegas
wishing
to
give
public
comment?
A
A
Okay,
thank
you,
bps
okay
committee
and
those
who
are
listening
in.
I
would
just
like
to
remind
you
guys
that
there
will
be
another
public
comment
period
at
the
end
of
the
meeting
meeting,
and
you
can
also
submit
your
public
comment
via
email,
mail
or
fax.
We
can
now
move
on
to
agenda
item
number
three,
which
is
approval
of
the
minutes
for
the
meeting
on
april
5th.
2022..
A
A
A
All
those
opposed
okay
motion
passes
unanimously.
Thank
you.
Okay,
we
can
move
on
to
our
next
agenda
item
agenda.
Item
number
four:
our
agenda
today
focuses
on
topics
related
to
insurance.
At
our
first
interim
meeting,
it
was
noted
the
legislature
provides
the
regulatory
framework
in
which
the
division
of
insurance
department
of
business
and
industry
operates
by
establishing
laws
that
grant
the
specific
regulatory
authority
and
approves
operating
budgets.
A
E
Okay,
so
I
want
to
say
good
morning
for
the
record
chairman
our
chairwoman
halagie
vice
chair
spearman
and
members
of
the
committee.
E
So
this
line
before
you
talks
about
the
gross
national
product
for
the
domestic
united
states,
so
the
insurance
industry
is
the
second
largest
financial
sector
in
the
united
states.
This
accounts
for
roughly
37
percent
of
the
gross
domestic
product
produced
by
financial
institutions
and
while
financial
industries
such
as
banking
and
securities
are
primarily
regulated
by
the
federal
government.
The
insurance
industry
has
always
been
predominantly
regulated
by
the
states.
Insurance
risks
and
hazards
often
vary
between
states
from
natural
exposures,
such
as
weather
and
earthquakes,
to
unique
industries
such
as
nevada's
mining
and
gaming.
E
E
E
The
number
of
insurance
producers
licensed
in
nevada
has
also
grown
by
approximately
30
in
the
past
year
to
over
twenty
two
hundred
twenty
thousand.
This
number
includes
over
twenty
five
thousand
nevada
resident
producers,
we've
seen
a
huge
spike
post,
covid
and
we've
seen
this
dramatic
increase.
We
believe
has
been
since
the
beginning
of
march
2020
and
its
effect
of
covet
19
on
the
economy
itself.
E
The
largest
sector
of
nevada's
insurance
written
premium
is
health
insurance,
which
had
7.7
billion
of
written
premiums
in
2020..
This
is
followed
by
property
and
casualty
at
6.4
billion
of
written
premiums
and
a
little
over
a
half
of
the
property
and
casualty
written
premiums
come
from
automobile
insurance.
E
E
The
division
of
insurance
regulates
both
the
forms
and
approves
the
rates
for
individual
small
group
insurance,
which
accounts
for
roughly
seven
percent
of
nevada's
covered
health
care.
The
essential
health
benefits
that
are
mandated
under
the
affordable
care
act
only
applied
to
individual
and
small
group
health
insurance
markets.
E
The
largest
sector
providing
health
care
coverage
in
nevada
is
self-funded
plans,
and
that
covers
approximately
32
percent
of
nevadans.
These
plans
are
federal
or
risk
plans
created
under
the
federal
employment,
federal
retirement,
employment,
security,
act
of
1974
and
they're
regulated
by
the
federal
department
of
labor.
So
these
self-funded
plans
are
not
subject
to
nevada
premium
taxes
and
health
insurance
coverage
and
benefits
that
are
mandated
under
the
nevada,
revised
statutes.
E
As
a
consumer
protection
agency,
our
consumer
services,
section
staff
historically
receive
eleven
thousand
to
thirteen
thousand
consumer
inquiries
and
handles
roughly
three
thousand
consumer
complaints.
Every
year
over
the
past
seven
years,
the
division's
eight
person
consumer
services
section
has
helped
consumers
recover
over
40
million
in
payments
or
refunds
related
to
consumer
complaints.
E
In
addition
to
the
traditional
insurance
products
we
regulate,
such
as
home,
auto
commercial
and
life,
the
vision
also
regulates
title
insurance
companies
and
our
agents,
which
ensures
the
titles
of
properties
that
are
purchased.
We
also
regulate
risk
retention
groups,
which
are
groups
that
are
formed
to
ensure
liability
risks
of
the
owners
of
these
rrgs
an
example.
This
is
would
be
a
group
of
doctors
that
create
an
rg
to
protect
their
risks
for
being
sued
for
malpractice.
E
The
division
also
regulates
biatical
settlements,
which
is
when
an
insurance,
a
life
insurance
policy,
is
sold
to
a
policyholder
from
the
policyholder
to
investors.
The
division
also
oversees
the
bail
industry,
which
includes
licensing
and
regulating
bail
agents
and
agencies,
along
with
bail
enforcement
agents.
E
So
this
predominant
slide
basically
is
here,
so
I
can
talk
about
the
the
national
association
of
insurance
commissioners,
so
division
of
insurance
is
part
of
a
state
regulatory
system
integrated
in
the
national
association
of
insurance.
Commissioners,
the
nac,
which
is
the
national
association,
is
governed
by
the
insurance
commissioners
from
the
50
states,
the
district
of
columbia
and
the
five
u.s
territories.
E
Most
insurance
carriers
licensed
to
conduct
business
in
our
state
are
domiciled
in
other
states.
The
majority
of
insurance
companies,
transact
businesses
in
multiple
states
or
multiple
countries,
and
many
of
the
insurance
carriers
who
offer
products
in
nevada
are
national
or
international
companies
through
the
neic.
The
commissioners
work
together
to
create
a
regulatory
framework
that
provides
increased
uniformity,
especially
when
we're
talking
about
solvency
controls,
information,
information
sharing
and
I
t
support
to
help
create
more
efficient
markets
and
better
consumer
advocacy
opportunities.
E
In
1999,
the
united
states
passed
the
financial
modernization
act,
which
established
a
framework
to
permit
affiliations
among
banks,
security
firms
and
insurance
companies.
This
bill
also
known
as
gram
leach
bliley
continued
the
state's
rights
to
regulate
insurance,
but
also
called
for
state
regulation
reforms
to
allow
insurance
companies
to
compete
more
efficiently
through
increased
uniformity
of
legislation,
licensing
and
simplicity
in
access
to
marketplace.
E
One
of
the
important
nasc
activities
is
the
drafting
and
adoption
of
model
laws
and
regulations
which
are
created
by
and
voted
on
by,
the
insurance
regulators
and
insurance
commissioners
through
a
transparent
collaborative
process.
So
the
model
laws
are
developed.
Industry
and
consumers
are
given
the
opportunity
to
provide
input
on
the
impact
of
the
proposals.
E
These
model
laws
can
take
up
to
two
years
to
go
through
the
process
of
adoption
as
they
as
they
continue
to
ask
for
consumer
and
industry
input
as
each
stage
of
the
edits
and
amendments
are
made
to
them.
These
approved
model
laws
that
are
recommended
for
each
state
to
enact
through
their
state
legislators,
under
the
division
of
insurance
regularly
or
under
the
division
of
insurance
regulations.
E
There
are
also
other
organizations
which
create
these
types
of
model
laws
for
insurance,
including
national,
the
national
council
of
state
insurance,
legislators,
or
we
know
that
as
encoil
or
the
national
council
of
state
legislators
or
ncsl,
the
nac
always
reviews
the
models
developed
by
these
other
organizations
to
look
for
ways
to
incorporate
them
into
the
models.
It
is
working
on
as
well.
E
Much
of
the
title,
57
statutes,
along
with
the
applicable
chapters
of
the
nevada
administrative
code,
contain
language
developed
throughout
the
years
by
the
neic
model
language
development
process.
The
nevada
legislature
plays
an
important
public
policy
role
in
the
regulation
of
insurance,
including
proposing
debating
and
amending
insurance
related
bills.
Each
session
legislators
provide
the
regulatory
framework
in
which
the
department
operates
by
establishing
laws
which
grant
the
specific
rally
authority
and
the
approval
of
our
operating
budgets.
E
They
also
are
very
helpful
in
making
appropriate
changes
where
the
state
itself
is
potentially
has
a
potential
issue
like,
for
example,
in
our
state
gaming,
where
we
want
to
make
sure
that
either
there's
a
carve
out
necessary
or
that
there's
additional
protections
put
in
place.
E
So
insurance
is
a
heavily
regulated
industry
because
of
its
potential
risk
and
impact
to
consumers
and
businesses.
State
regulators
perform
quarterly
annual
financial
analysis
on
all
licensed
insurance
companies
each
year
and
they
perform
in-depth
financial
examinations
on
companies
no
less
than
once,
every
five
years
to
ascertain
whether
the
carrier
is
in
sound
financial
condition.
E
Regulators
from
the
state
the
insurance
company
is
domiciled
in
are
responsible
for
conducting
these
analysis
and
examinations.
The
results,
the
analysis
exams
are
shared
and
relied
upon
by
the
other
members
of
the
nac.
With
information.
Through
these
naic
shared
databases,
the
efficiency
of
the
shared
system
of
oversight
has
provided
much
greater
cost
controls
to
the
carriers
which
ultimately
provides
lower
rates
to
the
consumers,
while
still
maintaining
solvency
protections
based
upon
the
multiple
insurance
company
insolvencies
that
occurred
in
the
late
1980s
and
early
1990s.
E
The
national
association
of
insurance
commissions
commissioners
formed
a
special
committee
in
1988
to
address
inconsistencies
with
the
state
financial
solvency
practices
for
insurance
companies.
In
june
of
1989,
the
naic
adopted
the
financial
regulation
standards,
which
established
a
baseline
for
effective
regulatory
system
in
each
state
and
subsequently
became
known
as
the
accreditation
standards
under
the
accreditation
program.
Each
state's
insurance
department
is
viewed
by
an
independent
review
team
that
assesses
the
department's
clients
with
these
accreditation
standards
to
provide
for
uniformity
and
training
proficiency
and
standards
among
the
state
examiners.
E
All
naic
state
insurance
regulators
are
subject
to
an
accreditation
process.
Every
five
years
the
nac
performs
a
comprehensive
audit
and
review
to
ensure
the
departments
have
adequate
statutory
and
administrative
authority
to
regulate
and
ensures
corporate
and
financial
affairs,
as
well
as
the
property,
as
well
as
the
properly
trained
and
effective
staff
and
resources
to
carry
out
that
authority.
Nevada
successfully
completed
its
most
recent
accreditation
review
in
2017
and
will
undergo
our
next
reunion
october
of
this
year.
E
These
changes
to
our
statutes
impact
the
reserving
requirements
for
reinsurance
that
is
purchased
from
a
reinsurer
based
in
the
european
union
or
great
britain,
and
this
was
based
on
originally.
The
reason
it
came
about
is
because
brexit
caused
this
potential
change
in
the
way
that
the
the
united
states
dealt
with
the
european
market
with
the
european
union
versus
the
great
britain
issue.
E
So,
in
addition
to
the
nac,
the
nevada
is
also
a
member
of
the
interstate
insurance
product
compact
commission.
So
this
compact
enhances
the
efficiency
and
effectiveness
of
the
way
insurance
products
are
filed,
reviewed
and
approved,
allowing
consumers
to
have
faster
access
to
competitive
insurance
products.
E
So
the
iiprc
which
the
commission
serves
as
the
central
point
of
electronic
filing
for
certain
insurance
products-
these
include
life
insurance,
annuities
disability,
income
and
long-term
care
insurance
to
develop
uniform
product
standards,
and
this
affords
a
higher
level
of
protection
to
purchases
of
these
products.
The
compact
has
47
compacting
states
signed
on
and
over
100
adopted,
uniform
standards.
E
E
The
division
has
been
working
with
the
industry
and
producers
over
the
past
several
years,
come
up
with
revisions
to
nec
689,
b,
350
and
neac
689
c.250,
and
we're
hoping
to
provide
the
proper
balance
of
making
self-funded
plans
more
available
to
smaller
employers.
While
providing
necessary
protections
to
employers,
employees
covered
participants
and
the
fully
insured
and
small
group
markets
after
two
recent
workshops
on
r15120,
the
proposed
regulation
was
sent
back
to
the
lcb
for
revisions.
Just
this
january
and
2022.
E
R152-20
is
updating
the
annuity
suitability
model
and
that's
found
in
the
administrative
code
under
chapter
688a.
So
annuity
is
a
tax-deferred
product
that
includes
both
investment
insurance
features
and
is
primarily
used
by
consumers.
To
accumulate
money.
Annuities
can
also
be
annuitized,
and
this
is
where
the
accumulated
value
in
the
annuity
can
be
converted
into
guaranteed.
E
Payments
such
as
specific
dollar
amounts
until
the
money,
runouts
or
payments
for
a
period
of
time
or
what's
called
a
certain
period
of
time,
which
means
10
years
20
years
on,
whatever
you
determine
or
level
payments
for
the
lifetime
of
the
beneficiary.
E
The
latest
version
of
the
model
includes
the
industry
supported
standard
of
best
interest,
which
is
a
term
of
art
in
determining
suitability
of
annuity
sales
under
numerous
excuse
me,
after
numerous
discussions
with
the
members
of
the
industry,
the
most
recent
version
of
the
proposed
language
from
nevada
was
set
to
the
lcb
in
january
of
2022.,
so
regulation
r153
relates
to
the
business
of
bail
and
includes
prohibiting
certain
acts
by
a
person
who
does
not
hold
the
appropriate
bail
license.
E
It
also
updates
the
continuing
education
and
advertising
requirements.
The
most
recent
revisions
of
this
language
to
the
proposed
laying
to
the
proposed
regulation
was
sent
to
the
lcb
on
october
of
2019.
E
R154-20
has
been
received
by
the
division
and
we
are
actually
preparing
to
send
out
notice
of
the
first
workshop.
This
regulation
is
an
updated
naic
model
regulation
based
on
what
we
call
model
787,
and
its
purpose
is
to
establish
uniform
national
standards
governing
reserve
financial
arrangements
pertaining
to
certain
life
insurance
policies.
E
The
financial
requirements
pertain
to
insurance
that
seed
liabilities
to
reinsure,
and
it
applies
to
insurers
that
are
domiciled
in
this
state.
The
proposed
regulations
listed
on
slide
a
b
as
a
b.
Excuse
me,
the
proposed
regulation
on
the
very
bottom
listed
on
the
slide,
as
still
as
ab
250
is
still
in
the
process
of
division
internal
review
and
has
not
yet
been
sent
to
the
lcb
for
developing
the
initial
agency
proposed
regulation.
E
This
regulation
is
intended
to
provide
regulatory
clarity
for
av
250,
which
was
sponsored
by
chairwoman
howdy
last
session,
and
the
bill
itself
provides
for
the
opportunity
for
seniors
to
have
an
open
enrollment
period
each
year
to
shop
for
a
new
medicare
supplement
plan
plan
during
the
month
of
their
birthday.
The
regulation
that
we're
working
on
is
intended
to
provide
clarity
for
insurers
producers
and
consumers
that
the
open
enrollment
shall
apply
to
nevada
residents,
even
if
they
purchase
their
current
plan
in
another
state
and
that
policies
will
not.
E
Policy
holders
will
not
be
able
to
re-enroll
with
the
same
company
with
the
same
plan
to
go
from
a
non-standard
to
a
standard
rate
and
to
clarify
the
commission
limitations
for
replacing
medicare
supplements
in
nac.
687B
275
apply
to
replacements,
made
during
the
birthday
open
enrollment
period,
and
we've
been
working
very
closely
with
the
industry
on
this
particular
regulation,
which
is
why
we're
still
in
the
the
drafting
phase.
E
So
next
I'm
going
to
talk
about
the
potential
2023
bdr
topics
and
I'm
going
to
spend
some
time
highlighting
some
of
these
topics
that
we
propose
will
most
likely
be
contained
in
the
division's
2023
bdrs.
One
of
our
potential
bdrs
will
be
centered
on
the
associations
of
self-insured
employers,
which
are
also
known
as
self-injured
groups
or
sigs.
E
So
the
stig
statutes
which
reside
in
nrs
chapter
616b,
were
added
to
the
nevada,
revised
statutes
in
1993
and
the
language
remained
un,
mainly
unchanged
since
that
time.
So
sigs
are
associations
of
self-insured,
public
or
private
employers,
which
include
private
companies
or
government
agencies
to
pull
the
account
their
workers
comp
risks
for
their
employees,
so
sigs
themselves
have
grown
over
the
years
as
an
alternative
to
commercial
insurance
for
workers,
compensation
coverage
in
nevada
for
small
and
medium-sized
employers.
E
The
statutory
requirement
for
an
employer
to
join
a
sig
is
a
tangible
net
worth
of
at
least
500
000
or
payroll
during
the
previous
12
months.
That
would
have
resulted
in
at
least
15
000
of
the
workers,
comps
manual
premiums
or
annual
premiums.
These
these
minimum
employer
requirements
have
remained
unchanged
since
they
were
added
to
the
statutes
in
1995..
E
So
the
reason
we're
we're
focusing
on
this
is
because
workers
comp
compensation
is
a
very
neat,
very
unique
so
as
statutorily
injured
workers
who
are
permanently
disabled
or
paid
their
lost
wages
during
the
lifetime
of
the
injured
worker
adequately.
Reserving
for
these,
what
we
call
long-tail
claims
can
create
major
challenges
to
provide
sufficient
assessments
to
cover
both
the
claims
throughout
today
and
for
those
that
will
be
paid
long
into
the
future
statute.
E
So,
under
the
current
nevada
statute,
sigs
are
not
financially
regulated
by
the
division
of
insurance.
The
same
way
that
private
insurance
companies
are,
for
example,
by
statutes.
Sigs
are
not
current
considered
insolvent
unless
they
cannot
meet
their
current
obligations,
regardless
of
the
amount
of
their
unfunded
liabilities.
For
these
long-term
claims,
they
are
only
required
to
pay
today's
bills,
but
the
liability
could
be
for
payments
to
an
injured
worker
could
last
the
rest
of
that
worker's
life.
E
So
traditional
insurance
are
considered
insolvent
under
nrs,
696b,
110,
subsection
2.,
if
their
assets
do
not
at
least
equal
the
sum
of
their
liabilities,
including
its
paid
in
capital
stock
account,
and
they
maintain
the
minimum
required
surplus.
That
means
that
they
must
have
enough
money
to
cover
both
short-term
and
long-term
liabilities.
E
In
addition,
insolvent
worker
compensation
claims
in
the
additional
market
are
covered
by
the
state's
insurance
guarantee
association.
E
E
This
liability
extends
to
claims
against
any
one
insolvent
association
licensed
in
nevada,
regardless
of
the
sig
you
belong
to.
This
basically
means
if
one
sig
goes
down
that
all
members
of
the
other
sigs
must
pay
the
claims
going
forward
because
of
the
growth
of
the
nevada,
sigs
and
the
importance
of
sig
financial
security
to
nevada's,
injured,
worker
and
nevada's.
Small
and
medium-sized
member
businesses.
E
Sig
financial
solvency
and
reporting
requirements
is
a
topic
that
may
be
included
in
this
in
the
upcoming
bdrs,
and
if
so,
we
look
forward
to
an
open
dialogue
with
the
legislature
and
the
cigs
about
needed
reforms
and
what
we
expect
that
the
division
will
also
have
an
omnibus
bill.
We
are,
I
don't
know
if
we're
proud
or
happy
to
say,
but
we
believe
it'll
be
the
smallest
in
size
that
it
has
been
in
numerous
sessions,
and
we
expect
that
that
actually
might
be
well
received
by
our
lcb
drafters.
E
So
the
expectation
is
to
propose
language
that
is
intended
to
correct
errors,
clarify
statuary
language
that
is
either
unclear
or
creates
unintended
consequences
and
adds
some
appropriate
regulatory
oversight
of
insurers
and
licensees
to
ensure
nevada's
insurance.
Consumers
are
properly
protected.
Our
proposed
bill
is
expected
to
contain
updates
to
one
national
association
returns
commissioner's
model
law.
E
We're
looking
at
clarifying
the
term
associations
and
appointments
the
term.
The
two
terms,
associations
and
appointments,
seem
to
be
used
in
the
chapters
interchangeably,
but
they
actually
mean
two
different
things.
E
This
would
include
the
staff
deliberation
of
documents
and
information
that
results
in
an
informal
action
by
the
consumer
I
mean
by
the
commissioner.
I
apologize
and
the
679b
190
confidential
provisions
related
to
captive
insurers,
we're
also
looking
at
changing
the
filing
date
of
captive
insurer
reports
of
financial
condition
to
match
the
date
of
their
other
annual
required
filings
to
make
it
easier
on
the
industry.
E
So,
as
part
of
our
discussion
here,
chairman
helgeti,
how
vicky
wow
I
am,
I
need
a
big
breath
chairman
howdy,
that
I
should
also
spend
a
few
minutes
this
morning
discussing
some
of
the
other
insurance
divisions,
insurance
issues,
the
division
and
the
neic
may
be
currently
working
with
so
bigger
picture
throughout
the
world.
E
The
insurance
industry
has
seen
increases
in
both
the
frequency
and
severity
of
catastrophic
losses
in
recent
years
and,
according
to
munich
re,
catastrophic
losses
exceeded
210
billion
in
2020,
compared
to
166
billion
in
2019,
insured
losses
during
that
period,
total
82
billion
compared
to
57
billion
in
2019
and
in
some
areas
of
the
country.
Catastrophic
losses
have
greatly
impacted,
both
the
availability
and
the
cost
of
insurance.
E
E
Unfortunately,
the
exposure
to
wildfires
has
started
to
impact,
though
both
the
cost
and
availability
of
property
insurance
to
residents
and
businesses.
In
now,
the
brush
and
forested
areas,
so
ab-100
from
the
2021
nevada
legislature,
was
a
bill
related
to
wildfire
risk
and
section
9
of
the
bill
authorized
the
commission
of
insurance
to
create
a
program
for
insurers
to
provide
incentives
to
promote
and
encourage
property
owners
to
take
measures
to
mitigate
the
risk
of
property
loss
or
damage
caused
by
wildfire.
E
The
division
of
insurance
has
been
studying
this
issue
and
held
a
wildfire
mitigation
incentive
discussion
on
december
15th
of
last
year.
The
discussion
included
presenters
that
were
from
the
state
foresters
and
that
included
the
firework.
The
chief
of
the
lake
tahoe
fire
station
and
members
of
the
property
casualty
insurance
industry,
as
well
as
nevada
insurance
producers.
E
The
division
is
currently
continuing
to
research
and
discuss
the
issues
surrounding
wildfire
mitigation
incentives
and
we'll
be
addressing
this
topic
at
the
may
19th
meeting
of
the
commissioner's
property
and
casualty
advisory
committee.
E
The
last
emerging
issue
I
will
briefly
address
this
morning-
is
the
naic's
committee.
It's
called
the
special
committee
on
race
and
insurance,
which
I
serve
on
some
of
the
issues.
This
special
committee
is
looking
into
include
race,
diversity
and
inclusion
in
access
to
the
insurance
sector
and
insurance
products,
as
well
as
practices
within
the
insurance
sector
that
potentially
disadvantage
people
of
color
and
or
historically
underrepresented
groups.
E
A
D
D
E
So
for
the
record,
this
is
barbara
richardson,
I'm
just
going
to
go
through
the
formal,
if
I
so
we're
we're
actually
using
some
of
our
staff
in
alternate
ways.
We
happen
to
have
some
very
highly
talented,
actuarial
students
and
they've
been
helping
out
with
our
accreditation
models,
so
we
are
currently
in
standard,
but
so
close
that
it's
it's
breathtaking.
E
E
No
we're
not
oh,
I
apologize
at
this
point.
We
actually
are
in
probation,
but
that
has
nothing
to
do
with
the
amount
of
people
we
have.
E
That
was
due
to
a
change.
We
actually
had
a
change
in
our
chief
over
a
time
period.
So
during
that
time
period
the
cleanup
put
us
in
a
probation
period
because
they
always
look
at
those
kind
of
issues
to
make
sure
that
there's
a
chief
in
play-
and
we
currently
have
a
chief
in
play.
D
D
E
Okay,
I'm
sorry
I
just
I
I
just
want
to
try
back,
so
we
actually
reached
out
to
all
these
things.
We
spoke
to
them
at
the
last
at
the
last
legislative
session
and
I
personally
reached
out
to
all
of
them
and
was
invited
in
to
speak
with
several
of
the
boards,
and
I
gave
them
information
about
what
we're
doing.
Why
we're
doing
it
where
we're
going,
and
then
we
had
several
boards
who
declined
to
have
me
come
and
present
to
them.
D
Okay
last
question:
if
I
could,
madam
chair,
have
we
lost
any
carriers
in
the
state
of
nevada.
D
E
No,
we
haven't
had
any
large
movements,
we've
had
some
captive
movements,
but
those
would
affect
a
particular
company
who
altered
their
captive
structure.
We
haven't
had
an
insurance
carrier
left.
I
think
what
we
have
been
seeing,
which
is
probably
what
you
might
be
hearing,
is
that
there's
a
slight
bit
of
hardening
of
the
market,
especially
with
home
insurance
because
of
the
the
wildfire
disasters.
We
had
some
carriers
who
were
concerned
about
writing
in
areas
if
there
wasn't
enough
other
insurance
carriers
to
share
the
burden,
but
we
haven't
had
them
leave.
D
Appreciate
it
and
thank
you
for
all
the
information
I'm
concerned
about
the
fact
that
we're
in
probation,
so
hopefully
that
gets
resolved
very
quickly
because
of
the
danger
to
the
industry
is
just
so
great.
You
know
if
nevada
loses
that
accreditation
from
naic,
then
all
these
carriers
have
to
leave
adaptively
getting
insurance
from
other
states,
and
I
find
that
very
problematic.
A
Thank
you,
senator
members,
any
other
questions
before
I
have
a
few,
but
I
want
to
give
members
the
opportunity
for
us
anyone
on
zoom,
okay,
commissioner,
I
do
have
a
couple
of
questions
and
thank
you
senator.
You
actually
asked
one
of
mines,
but
then
you've
just
created
another
one
for
me
this
probation
period,
commissioner,
what
does
that
mean?
How
long
does
it
last
because
you
did
say
we
are
in
compliance
now,
so
why
are
we
currently
still
in
probation.
E
Because
the
probation
will
last
until
we
finish
our
full
evaluation,
which
is
in
october,
which
is
the
normal
time
we
have
our
full
evaluation.
It's
just
the
way
they
work.
A
Okay,
thank
you
and
then
I
do
have
a
couple
of
questions
from
a
slide
on
one
of
the
slides,
the
one
that's
showing
the
total
direct
premium
written
in
state
and
it
was
showing
about
20
million.
Does
that
mean
that
there's
premiums
written
out
of
state
and
if
so,
do
you
have
a
number
of
how
much
premiums
that
we're
losing
to
other
states
and
and
is
there
anything
we
can
do
to
attract
that
back
into
nevada,
because
I'm
assuming
that's
a
revenue
loss
for
us
so.
E
It's
not
premium
and
that's
how
much
the
nevada
consumers
are
buying.
It's
not
a
loss
to
the
other
states.
Okay,.
A
E
You
can't
sell
insurance
unless
you
have
a
license
to
sell
in
the
state.
So
no
it's
in
the
state,
okay,.
A
And
just
I
wanted
to
ask
some
questions
just
related
through
the
covet
period,
did
your
office
see
any
increase
or
decrease
in
the
amount
of
consumer
inquiries
to
your
office
during
that
time
period,
whether
it
was
like
health
insurance,
like
complaints
or
or
property,
and
casualty
so.
E
To
be
honest,
you
know
we
did
not
see
an
increase,
we
expected
it,
but
we
didn't
see
an
increase
in
any
of
the
complaints
and
inquiries
and
we
were
able
to
handle
them
with
the.
E
It
stayed
pretty
steady.
The
only
thing
that
we
saw
decreases
like
the
other
state
agencies.
We
didn't
have
people
coming
in
the
door,
but
we
had
a
lot.
You
know
the
market
just
switched
and
they
started
using
the
online
services
that
were
available.
A
Okay
and
then
you
also
touched
a
little
bit
on
licensing
and
you
said
maybe
making
it
easier
for
service
members.
But
can
you
talk
to
me
a
little
bit
about
the
licensing
prices
like
a
process
for
health
and
then
for
pnc?
If
someone
comes
in
from
another
state
to
nevada,
do
we
do
we?
Do
we
have
a
reciprocity
process,
or
can
you
explain
how
that
works
and
how
easy
we
make
it
for
people
to
come
in
and
practice
in
our
state?
E
So,
yes,
nevada
is
reciprocal
with
the
other
states.
So
if
you
have
a
license
in
another
state
and
you
want
to
sell
in
nevada,
you
apply
just
like
anybody
else
and
you
apply
online
and
there's
five
different
criteria
that
you
have
to
get
through.
But
all
of
those
can
be
shown
to
be
valid
by
checking
out
the
home
state,
which
is
what
we
do
and
we
get
the
information
from
the
home
state
so
basically
to
to
be
a
somebody
from
idaho
or
iowa.
E
If
they
want
to
sell
in
nevada,
they
will
apply
online
and
get
all
that
information,
because,
because
we're
reciprocal
were,
if
there's
a
problem,
we
go
to
the
home
state
and
talk
to
them
about
it.
So
those
if
you
have
your
license
in
the
state
the
speed
to
get
license
in
nevada
is
quite
fast
because
we're
not
doing
all
the
secondary
looks
like
the
other
states
are
doing
for
their
own
home
folks,
which
is
that
explains
why
we
have
220
000
licensees.
A
How
quick
is
that
process
like
so,
if
someone
submits
an
application
for
for
a
license
in
nevada,
because
we
are
reciprocal
state?
How
quickly
do
they
get
their
license
and
are
they
required
to
have
a?
Are
they
required
to
be
a
part
of
a
company
that
has
a
brick
and
mortar
shop
in
nevada
or
they
they
can
just
be
like
an
online
carrier
and
sell
insurance
here.
E
So
if
you're
talking
about
carrier
carriers
take
a
long
time
because
we
no
matter
what
we
check
their
insolvency,
if
you
talk
about
licenses
for
producers
or
sales
people,
then
that's
very
fast.
And
if
you
talk
about
carriers
that
can
take
anywhere
between
90
to
180
days,
depending
on
how
ready
the
carrier
is
to
come
in
the
door,
because
we
also
need
to
make
sure.
E
For
example,
a
company
can
be
perfectly
fine
in
its
home
state,
but
it
needs
a
statutory
deposit
to
be
in
our
state
and
they
have
to
come
up
with
that
funds
as
well.
So
sometimes
it
takes
them
a
little
bit
longer
to
get
in
the
door.
But
it's
mainly
just
to
sort
of
cr
across
the
threshold
for
consumer
protections.
A
E
So
that
that
happened
quite
a
while
ago-
and
so
I
think
the
popularity
is
the
same
reason
why
folks
move
to
any
kind
of
self-interest
is
they
want
control
of
their
own
destiny,
which
is
perfectly
reasonable?
I
mean
you
know
you
want
to
support
that
kind
of
kind
of
move.
You
just
want
to
make
sure,
though,
that
in
the
long
run
that
they
can
pay
their
long-term
bills
so
and
it's
it's
not
a
problem.
We've
seen
states
go
different
directions.
E
As
a
matter
of
fact,
we
did
have
one
of
the
the
sigs
who
decided
that
they
weren't
going
in
that
direction
anymore
and
they
moved
back
into
the
the
regular
market,
and
I
would
suggest
that
years
ago
the
cost
of
workers
compensation
was
much
higher
and
in
the
you
know,
the
regulated
market,
and
it
has
gone
down
every
year
significantly
for
the
past
eight
years.
So
now
the
prices
are
coming
more
in
line.
So
we
should
see
some
stabilization
in
that
that
move.
F
Thank
you,
madam
chair,
how
you
doing,
commissioner,
I
just
had
a
couple
questions
and
I
just
got
the
last
called
the
last
portion
of
it.
You
were
talking
about
cultural
competency
and
talking
about
some
of
the
ways
in
which
you
all
look
at
that
for
training
et
cetera.
So
my
question
is
this:
we
know
that
there
are
some
neighborhoods,
although
quote
redlining
doesn't
exist,
it
does
exist
and
I
want
to
know,
are
you
all
doing
anything
or
is
there
any
program
available?
F
That
would
be
able
to
show
you
some
inconsistencies
in
terms
in
terms
of
how
some
properties,
some
neighborhoods,
some
businesses,
small
businesses,
or
what
have
you
are
either
receiving
the
proper
level
of
insurance
for
the
accurate
price
or
not.
E
So
yes,
as
as
an
organization,
that's
one
of
the
data
points
that
we're
requesting,
because
what
we're
trying
to
do
is
find
out
if,
if
they're,
getting
redlined
by
zip
code,
if
they're
getting
red
lined
by
neighborhood,
if
if
other
issues
are
creating,
the
red
line,
factor
I
mean:
are
there
actually
risk
issues
that
are
causing
it?
E
So,
yes,
all
of
those
things
are
being
looked
at
and
one
of
the
issues
that
we're
looking
at
now
is
something
that
colorado
has
already
put
forward
and
it's
it's
called
algorithmic
auditing.
So
it
looks
for
a
discrimination
that
is
illegal
versus
discrimination
that
might
be
okay.
So
there
are
allowances
for
discrimination
and
risks
in
general
for
insurance,
because
different
people
have
different
risk
profiles.
However,
there
are
some
types
of
discrimination
which
are
illegal.
F
So
if,
if
an
insurer
is
found
to
be
guilty
of
that,
what
if
any,
are
the
consequences
and
are
those
consequences
published?
And
I'm
looking
for
a
way
that
we
can
talk
about
deterrence,
because
it's
these
types
of
prices
that
are
hidden
cost
to
bypass
communities
and
that
that
also
minimizes
the
opportunity
to
go
from
where
they
are
to
grow
to
where
they
want
to
be.
E
And
I
I
appreciate
where
you're
going.
I
think
that
the
national
association
of
insurance
commissioners
is
going
the
same
place.
I
just
don't
think
they
have
all
the
data
yet
to
be
making
those
kind
of
calls.
So
that's
that's
where
we're
starting
from
right
now
and
we've
been
starting
to
gather
data,
but
just
not
quite
in
there
yet.
So
I
don't
want
to
say
what
the
consequences
are,
because,
ultimately,
that
would
be
up
to
you
as
legislators
to
determine
what
the
consequences
would
be
if
we
found
such
an
issue
in
an
insurance
carrier.
A
Okay
committee
members:
our
next
agenda
item
agenda
item
number:
five:
it's
a
presentation
by
the
nevada's
patient
protection
commission
of
the
department
of
health
and
human
services
and
the
cost
growth
benchmark.
The
patient
protection
commission
was
established
in
2019
by
the
legislature
to
systematically
review
health
care
needs
of
nevada's
citizens
and
the
accessibility,
affordability
and
quality
of
health
care.
The
commission
also
reviews
the
disparity
of
care
among
different
communities,
including
the
availability
of
health
insurance
plans.
I
believe
we
have
missed
sellers
here
to
present.
C
I
apologize
for
that
good
morning,
madam
chair
and
members
of
the
committee.
Thank
you
for
having
me
here
today.
My
name
is
melinda
southard
and
I
am
the
newly
appointed
executive
director
for
the
patient
protection
commission
and
I've
been
in
this
position
for
about
a
month.
So
please
bear
with
me
today.
I
will
be
giving
you
an
overview
of
the
patient
protection
commission
or
ppc,
as
well
as
the
priority
focus
of
the
ppc
over
the
past
year.
The
healthcare
cost
growth
benchmark.
C
C
This
bill
changed
the
commission's
members
out
of
responsibilities
and
topics
for
review
assigned
to
the
ppc,
moved.
The
ppc
from
the
governor's
office
to
the
department
of
health
and
human
services
required
the
ppc
to
adopt
bylaws
and
designated
the
ppc
as
the
sole
state
agency
responsible
for
managing
nevada's
participation
in
the
peterson
millbank
program
for
sustainable
health
care
costs
and
I'll
talk.
A
little
bit
more
about
that
later,
the
current
makeup
of
the
ppc
is
as
follows.
As
you
can
see,
we
have
quite
a
variety
of
organizations,
patient
advocates
and
viewpoints.
C
As
noted
in
nrs,
the
ppc
is
charged
with
systematically
reviewing
issues
related
to
the
healthcare
needs
of
residents
of
nevada
and
the
quality,
accessibility
and
affordability
of
health
care,
including
prescription
drugs,
most
notably
for
our
current
focus.
This
review
includes
examining
the
cost
of
health
care
and
the
primary
factors
impacting
those
costs.
C
C
This
is
one
of
the
first
steps
in
helping
to
make
health
care
more
affordable
and
transparent
in
nevada.
To
support
this
statewide
effort
with
peterson
millbank
governor
sislak
requested
assistance
of
the
ppc
to
provide
recommendations
to
develop
a
statewide
healthcare
cost
growth,
benchmark,
calculate
and
analyze,
statewide
healthcare
cost
growth
and
analyze.
Drivers
of
health
care
cost
growth
per
this
request.
The
ppc
has
been
hard
at
work
with
peterson,
milbank
and
baylet
health
to
be
able
to
provide
those
three
recommendations
to
the
governor.
C
So
what
is
a
health
care,
cost
growth
benchmark?
Here's
the
official
definition
being
an
annual
rate
of
growth
benchmark
for
healthcare
costs
for
a
given
state.
I
also
provided
some
national
statistics
here,
so
you
can
see
between
2015
and
2019,
the
average
per
capita
health
care
cost
growth
was
4.1
percent.
C
C
Some
key
points
to
keep
in
mind
about
a
health
care
cost
growth
benchmark.
Are
that
setting
a
public
benchmark
for
health
care
spending
growth
alone
will
not
slow
the
rate
of
growth.
A
cost
growth
benchmark
serves
as
an
anchor
establishing
an
expectation
that
can
serve
as
the
basis
for
transparency
at
the
state,
insurer
and
provider
levels.
The
cost
growth
benchmark
is
a
support
strategy
to
help
ensure
costs
don't
rise
faster
than
the
economy,
stay
revenues
or
wages
to
be
effective,
it
must
be
complemented
by
supporting
strategies.
C
Here.
I'd
like
to
share
with
you
the
logic
model
associated
with
explaining
what
a
cost
growth
benchmark
is
so
we'll
start
with
measuring.
We
have
to
first
measure
performance
relative
to
the
anchor
or
the
benchmark.
Next,
we
analyze.
Okay,
we
see
that
our
performance
either
falls
above
or
below
the
benchmark
for
a
given
year.
Now,
let's
do
a
deeper
dive
into
that
data.
To
find
out
why
what
specific
factors
relative
to
health
care
costs
are
driving
those
costs
higher
or
lower
in
a
given
category
after
the
analysis
is
complete.
We
then
report
on
the
findings.
C
Here's
what
we
found
out
as
to
what
specific
factors
are
driving
up
health
healthcare
costs
in
the
state.
It
is
also
important
to
note
here
that
the
findings
will
be
shared
with
the
healthcare
industry
prior
to
being
publicly
released,
so
the
industry
can
additionally
validate
the
findings
for
accuracy
and
be
well
poised
for
a
public
release
of
the
report.
C
After
reporting
out
on
the
analysis,
we
would
then
have
conversations
with
healthcare
industry
experts
in
nevada
to
identify
those
opportunities
and
potential
strategies
to
help
slow
healthcare
cost
growth
in
the
state.
Lastly,
of
course,
we
work,
together
with
our
partners,
to
implement
those
cost
growth
strategies.
C
C
C
This
data
was
just
recently
presented
at
our
monthly
ppc
meeting
on
april
20th.
Our
cost
growth
benchmark
program
will
assess
health
care,
cost
growth
for
all
nevada
residents,
with
commercial,
both
insured
and
self-insured,
medicaid
and
medicare
coverage,
or
who
receive
health
care
through
the
veterans,
health
administration
and
the
state
correctional
system.
C
C
C
C
Further,
the
timeline
for
potential
policy
initiatives
is
outlined
here
by
the
end
of
may.
The
ppc
is
planning
to
make
a
decision
on
what
three
bills
to
draft
for
the
2023
legislative
session
and
by
the
end
of
july.
The
ppc
is
planning
to
vote
on
and
submit
three
bill
draft
requests
for
the
2023
session,
and
that
concludes
my
slideshow
I'll
stand
by
for
questions.
A
F
Thank
you,
madam
chair,
so
just
a
couple
of
quick
questions
and
welcome,
I
hope
you're
enjoying
yourself
and
it's
everything
that
you
wanted
it
to
be.
That's
good
and
nothing
that
you
didn't
want
it
to
be.
That's
not
so
good.
So
the
this
is
a
rather
new
committee
or
entity.
So
my
question
would
be
what
does
the
committee
make
up?
Look
like
demographically.
C
Demographically,
we
have
a
wide
variety
of
members.
I've
been
meeting
with
each
of
them
individually
lately
to
get
to
know
them
a
little
bit
better,
and
I
can
tell
you
that
we
do
have
a
wide
variety
and
it's
not
one
silo.
F
C
F
Follow
up
and
ask
that
question
because
I
think
it's
very
important.
One
of
the
things
that
was
lacking
during
covet
was
a
wide
range
of
diversity
with
respect
to
providers
and
then
connection
with
the
some
of
the
programs
that
were
supposed
to
be
there
for
people
specifically
for
bipolar
communities.
F
And
since
we
do
know
that
racism
is
a
public
health
crisis
that
seems
to
like
center
in
on
patient
protection,
because
the
level
an
emotional
competency
but
the
level
of
care
and
treatment
for
people
in
different
ethnicities
varies
not
just
from
you
know,
north
to
south,
but
varies
typically.
I
just
heard
from
a
mother
last
night
who
buried
her
daughter
last
year
because
the
people
weren't
doing
for
her
what
she
should
have
been
done
so
having
different
people
from
different
backgrounds,
different
ethnic
backgrounds
and
differently.
F
F
A
Thank
you,
and
actually
I'm
going
to
just
ask
one
question.
I
saw
that
there
was
a
vacancy
for
your
12th
member.
How
long
has
that
seat
been
vacant
for
and
do
you
guys
have
someone
already
in
line
to
fill
the
seat.
C
Sure
so
that
seat
has
been
vacant
for
about
a
month,
I
would
say,
and
we
do
have
somebody
outlined
for
that
seat
thanks.
A
Bps,
if
we
could
just
pan
out
so
I
could
see
those
on
zoom
just
to
see
if
they
have
their
hands
up.
A
A
C
A
Okay
committee
members
that
moves
us
on
to
agenda
item
number
six.
We
have
a
mark
krueger
here,
who's,
the
chief
deputy
attorney
general
and
consumer
counsel,
with
the
office
of
the
attorney
general,
he
will
make
a
presentation
on
the
enforcement
authority
of
the
bureau
of
consumer
protection
of
the
attorney
general's
office
over
the
unfair
trade
practices
act
with
an
emphasis
on
mergers
and
acquisitions
in
health
care
markets.
A
G
G
Thank
you
for
having
me
here
today
and
I
will
hopefully
answer
all
of
your
questions,
but
no
doubt
maine
may
not
be
able
to,
but
we'll
we'll
try,
let's
go
over
quickly.
The
bureau
of
consumer
protection
does
a
number
of
things.
However,
one
of
the
important
things
we
do
is
we
enforce
the
nevada's
unfair
trade
practices
act,
which
is
an
antitrust,
essentially
provision.
G
The
statutory
authority
of
our
of
the
unfair
trade
practices
act
is
found
under
598
a
zero
seven,
zero
subservient
paragraph
one.
Basically,
we
also
look
and
and
work
often
in
conjunction
with
our
federal
partners,
to
enforce
anti-trust
violations,
both
in
for
state
law
and
with
our
federal
partners.
Looking
at
federal
law,
types
of
claims
for
relief
are
available
to
the
attorney
general
for
violations
of
antitrust
law.
G
G
Then
we
also
have
equitable
relief
violations
I'll
get
into
some
of
that.
A
little
bit
as
we
go
down.
It's
important
to
note
that
the
attorney
general's
office
has
parent's
patreon
authority
parents
patriari
standing
is
asserted
whenever
a
state
claim
is
of
injury
to
a
quasi-sovereign
interest
is
the
well-being
of
its
populace.
That
is,
we
represent
the
people
and
and
that's
been
well
defined
within
different
court
decisions,
and
I've
listed
one
here.
G
G
So
for
tools
and
resources
for
investigation
by
the
attorney
general's
office,
we
actually
cooperate
and
coordinate
anti-trust
enforcement
with
other
states.
Often
we
call
this
a
multi-state
actions,
but
we
also
work
with
a
federal
trade
commission
and
the
u.s
department
of
justice,
who
also
do
a
lot
of
federal
anti-trust
work.
G
Our
primary
tool
for
investigations
begins
with
a
civil
investigatory
demand
that
is
basically
a
subpoena
that
we
have
authority
under
our
statute
to
issue
to
gather
documents
and
information
in
order
to
investigate
and
determine
whether
or
not
there's
violations
of
the
chapter
any
598,
a
110
provides
any
materials
and
information
officer
receives
in
response
to
civil
investigation.
Demand
is
confidential.
G
G
Okay,
so
going
into
a
few
harms
examples
of
substantial
and
generalized
harms
price
fixing
in
a
pharmaceutical
case.
This
is
an
ongoing
case,
so
I
can't
go
into
a
lot
of
detail
about
it,
but
it's
being
litigated
through
several
several
states.
Nevada
is
a
participating
state
in
that
it
is
basically
looking
at
price
fixing
or
allegations
of
price
fixing
with
generic
drugs.
G
This
does
not
include
opioids.
I
just
wanted
to
make
sure
that
was
clear
that
I
get
that
question
a
bit,
but
we've
also
reviewed
a
mergers
and
acquisition
in
healthcare
and
health
insurance
and
a
lot
of
times.
I
think
people
don't
know
about
the
fact
that
we're
out
there
doing
this,
but
we're
we're
heavily
involved
in
it.
G
So,
for
example,
we
look
at
consolidation
of
hospital
services
may
achieve
cost
savings
through
economies
of
sale.
Such
cost
savings
don't
always
accrue
to
the
consumers.
We
want
to
make
sure
that
those
cost
savings
do
hospital.
Mergers
have
not
always
been
demonstrated
to
improve
quality
of
care,
access
and
cost.
In
some
instances,
concentration
in
the
market
for
hospital
services
have
been
found
to
increase
inpatient
services.
So
these
are
the
types
of
things
that
we're
looking
at
to
make
sure
that
we
can
keep
those
costs
down.
G
The
some
other
additional,
generalized
and
substantial
harm
is
price
fixing
the
effect
of
a
hospital
consolidation.
This
can
be
magnified
in
geographic
markets,
which
already
consolidated
and
could
result
in
price
increases.
G
A
horizontal
consolidation
of
physician
practices
has
at
times
been
found
to
be
associated
with
increase
in
price
for
food
physician
services,
and
I
should
also
say
that
that
we
also
look
at
vertical
consolidation
as
well.
Minoxis
mini
power
exercise
over
independent
provider.
Practice
groups
by
dominant
health
insurers
can
result
in
a
compromise
of
the
quantity
and
quality
of
care.
These
are
all
in
the
health
market.
What
we
are
looking
at
to
prevent
through
our
investigations,
also
the
federal
law
as
well
as
state
law,
prohibits
agreements
and
restraint
of
trade,
monopolization
or
attempted
monopolization
and
mergers.
G
All
right,
andrew
trust
violations
are
enumerated
in
our
law.
They
obviously
go
with
price
fixing.
That's
I
gave
you
an
example
of
the
the
generic
drugs
litigation
that
we're
looking
into
those
allegations:
division
of
markets,
allocation
of
customers,
tying
arrangements,
monopolization
or
attempted
monopolization,
and
antitrust
reviews
and
mergers
of
acquisitions.
G
Typical
types
of
unlawful
conduct
in
healthcare
under
s598a-
and
this
is
really
specific
to
healthcare.
What
we
really
look
at
and
that
is
obviously
monopolization
tying
arrangements,
allocation
of
customers
or
agreements
among
competitors
to
restrict
the
volume
of
production
and
we're
talking
about
the
ability
for
practitioners
to
be
out
there
and
be
competitive
in
the
market.
G
Additional
conduct
in
in
the
following
types
of
contracts
and
clauses
are
are
often
what
we
look
at
here,
and
these
clauses
come
up
a
lot
of
times
with
purchase
of
healthcare
practitioners
by,
for
example,
larger
groups
or
insurance
carriers.
We
look
for
out
for
anti-steering
clauses,
anti-tiering
clauses
and
then
tying
agreements,
arrangements
and
exclusive
contracts.
G
Some
of
these
examples
I
went
over
a
little
bit
earlier
and
I'll
go
over
again.
The
generic
pharmaceuticals
and
natural
trust
litigation
is
a
allegations
of
price
fixing.
We've
talked
about
that
joint
merger
review
with
the
department
of
justice
results
in
an
independent
consent
decree
with
the
nevada
attorney
general's
office.
G
That
was
with
the
united
health
group
on
a
health
insurance
merger
review.
We've
also
done
a
joint
merger
review
with
the
ftc
or
the
doj,
resulting
in
federal
agency,
consent,
decrees
and
those
particular
ones,
the
matter
of
renowned
health,
and
that
was
a
consent
decree
some
time
ago
concerning
the
acquisition
of
a
cardiology
practice
that
has
been
monitored
for
several
years
and
and
is
has
done
well
following
that.
We've
also
had
a
consent
decree
involving
managed
care
provider
organizations
which
provide
primary
care,
physicians
and
specialty
specialists
to
m.a
organizations.
G
G
In
addition
to
that,
we
are
actively
involved
in
the
national
association
of
attorneys
generals,
multi-state
working
groups.
We
have
several
of
them
that
we're
involved
in
which
continually
monitor
particular
areas
for
any
kind
of
violations
of
federal
or
state
laws.
With
regard
to
unfair
trade
practices,
we
do
a
lot
of
work,
also
submitting
briefs
amicus
briefs
on
litigation
that
is
finding
its
way
up
through
the
courts
and
then
finally,
we
evaluate
whether
potential
anti-competitive
conduct
by
state
agency
qualifies
for
state
action,
immunity
and
there's
a
specific
citation
for
that.
G
So
what
happens
if
we
find
violations?
Well,
we
have
the
ability
to
seek
damages.
We
also
have
the
ability
to
seek
enforcement
actions
such
as
injunctive
relief.
We
want
to
prevent
and
and
fix,
as
well
as
impose
civil
or,
as
I
said
earlier,
criminal
penalties,
and
then
we
have
some
equitable
remedies
which
were
pleased
to
have
been
incorporated
through
ab47
as
well,
which
allow
for
disgorgement
and
restitution.
G
Injunctive
relief,
typical,
horizontal
merger
review
and
a
consent
degree
is
how
we
normally
look
for
injunctive
relief,
an
example.
The
united
health
group,
which
we
talked
about
earlier.
A
common
injunctive
remedy
is
a
required
divestiture
of
a
good
or
service
to
an
independent
third
party
to
maintain
a
competitive
market.
G
Sometimes
it
doesn't
require
when
there's
a
merger,
a
divestiture
of
the
en
of
an
entire
unit.
It
could
just
be
like
a
a
certain
portion
of
a
practice
needs
to
be
divested
and
that's
what
we
saw
in
health
care
in
the
united
health
group
merger
reparative
injunction
prevent
future
harms
and
effects
of
past
acts,
particularly
when
they
violate
the
clayton
act
or
or
parallel
nevada
statute.
G
For
example,
in
in
this
particular
case,
we
are
actively
involved
in
new
york
versus
facebook,
which
is
a
multi-state
case.
We
also
have
some
other
examples
here:
california,
american
stores
company
and
some
and
stevenson
sons
inc
the
I
left
the
citations
in
there
in
case
you
you
want
to
read
on
them.
I
I
don't
have
the
information
on
them
on
the
top
of
my
head.
G
So
if,
if
you're
inclined
to
ask
questions
I'll
have
to
defer
to
some
of
my
my
experts
or
get
back
to
you,
a
common
injunctive
remedy
is
to
require
the
implementation
of
antitrust
compliance
program,
and
you
know,
as
you
can
tell
from
this
whole
entire
slide,
and
my
testimony
here
today
that
it's
not
always
about
you,
know
finding
damages
it's
about
finding
an
injunction
of
relief
to
get
somebody
into
the
right
track
and
prevent
the
non-competitive
harm.
G
That's
occurring
in
the
marketplace,
so
adjunctive
relief
can
be
more
severe,
though,
and
that's
one
of
the
reasons
we
by
setting
aside
mergers
or
acquisitions.
That's
why
we
went
ahead
and
sought
the
requirement
under
the
law
through
ab47,
to
get
notifications
of
mergers,
especially
in
the
healthcare
market
prior
to
the
merger
being
consummated.
That
way,
we
can
address
the
concerns
earlier.
So
everyone's
happy,
you
know
or
happier
because
it's
not
like
you
have
to
undo
a
transaction.
We
hope
to
get
there
before
the
transaction
is
completed.
G
G
G
Vertical
issues
can
also
arise.
I
alluded
to
that
earlier,
for
example,
allowing
an
insurer
to
foreclose
these
providers
from
providing
their
services
to
rival
insurers,
anti-anti-tiering
tying
and
somewhat
steering
a
provision
or
providing
a
hospital
greater
leverage
to
steer
patients
to
their
facilities
so
requiring
them
to
go
to
a
different
facility.
G
It's
important
to
review
whether
assertions
of
merger-specific
efficiencies
are
likely
and
that
that's
why
we
find
that
the
merger
review
and
investigation
up
front
helps
to
protect
consumers
by
not
allowing
these
types
of
activities
to
occur,
and
with
that
I
I
know,
whenever
I
get
into
antitrust
and
the
deeper
we
get
into
it,
even
my
my
own
staff
it
can,
it
can
get
a
bit
overwhelming
at
first,
it's
extremely
complicated
area.
I
will
do
my
best
to
endeavor
to
answer
your
questions.
A
F
I
I
don't
know
if
it's
that
I'm
just
inquisitive
or
maybe
I
don't
catch
it
all,
but
how
you
doing
mr
kruger,
so
I
guess
the
first
question
I
would
have
is
when
you
start
talking
about
antitrust-
and
you
know
people
trying
to
limit
the
number
of
providers.
F
How
do
you
know
if
it's,
not
hospitals
or
how
do
you
know
and
I'm
thinking
specifically
about
we've-
talked
about
in
the
past
some
some
of
our
boards
limiting
the
number
of
people
who
can
come
in
or
who
get
licensed?
So
how
do
you
know.
G
Now
we
have
the
ability
to
review
this
up
front
and
find
out
whether
there
will
be
an
impact
exactly
what
you're
describing
if
something
in
the
past
had
come
to
our
attention.
It
usually
was
from
a
complaint
by
another
provider
or
another
or
consumer
or
another
organization,
usually
within
the
same
market,
so
somebody
would
bring
it
to
our
attention,
which
could
then
trigger
us
to
take
a
look
and
start
an
investigation.
As
I
said,
usually
we
start
by
issuing
a
cid.
F
G
G
I
I
would
surmise
that
there
is
a
potential
if
you
had
some
nefarious
conduct
in
attempting
to
limit
the
number
of
providers
by
say
a
licensing
board
then
yeah
that
that
could
impact
and
obviously
would
impact
the
market
if,
if
it
was
done
for
some,
you
know,
as
I
said
nefarious
reason,
not
not
a
legitimate
reason
on
the
flip
side
of
that,
if
there
was
a
limit
on
providers
like
hypothetically
for
a
legitimate
reason
that
could
also
impact
a
certain
market
area
and
remember
we're
not
just
looking
at
the
market
as
nevada
as
a
whole.
G
We
look
at
geographic
markets,
we
look
at
other.
You
know,
industry,
specific
markets,
there's
a
lot
of
different
markets
that
could
potentially
be
impacted.
So
I
don't
have
a
specific
answer,
your
question,
but
other
than
to
say
that
hypothetically
yeah
it
could
be
an
an
impact
and-
and
that
would
be
something
that
if,
if
someone
had
any
concerns
about,
I
would
hope
that
they
would
bring
it
to
our
attention.
F
One
last
problem,
so
the
last
one
would
be.
We
talked
about
hospitals.
Is
there
anything
in
statute
that
looks
at
print
media
merger.
F
Newspapers,
you
know
consolidating
into
one
even
tv
stations.
G
So
so
senator
I'll
I'll
answer
that
kind
of
in
the
reverse,
there's
nothing
in
this
statute.
That
specifically
says
look
at
this
type
of
of
industry,
if
you
will,
but
what
it
does
is
through
the
federal
and
state
laws.
It
grants
us
the
authority
to
look
at
all
industries.
A
There
had
been
an
issue
in
reno
with
anesthesiologists,
and
so
they
had
called
me
to
see
if
ab47
would
be
would
be
able
to
help
and
where
all
of
the
anesthesiologists
were
under
a
contract
with
one
with
one
business
one
company
and
when
they
left
they
were
not
allowed
to
go
to
any
other
place
or
provide
any
other
services,
because
there
was,
they
were
enforcing
the
non-compete,
which
means
that
everybody
in
reno
had
no
access
to
an
anesthesiologist,
and
so
which
means
they
had
to
bring
in
anesthesiologists
from
out
of
the
area
right,
which
again
is
going
to
cost
cause
and
prices
to
go
up.
A
G
G
G
I
wouldn't
say
that
there
was
some
there
was
some
independent
litigation
and
and
so
it
it
whether
or
not
it's
still
pending
there,
there
might
be
some
provisions
still
pending,
but
there's
independent
litigation.
That
is
before
the
district
court.
A
If
it
hadn't
been
resolved
on
its
own,
would
it
have
been
resolved
through
ab47?
Would
the
mechanisms
we
put
in
place
through
ab47
been
able
to
have
stepped
in
and.
G
To
to
degree,
some
of
the
enforcement
provisions
that
I've
talked
about
here
today
that
were
added
to
ab47
could
potentially
have
has
assisted.
Yes,
the
attorney
general's
office.
A
Oh
thank
you,
mr
kruger
committee
members.
A
A
Okay
committee
members,
we
are
moving
along
and
we
are
now
on
agenda.
Item
number.
Seven
agenda
item
number:
seven:
are
presentations
by
the
american
property
casualty,
insurance
association
and
the
nevada
justice
association.
I
do
want
to
let
the
committee
members
know
and
those
who
are
tuning
in
online
that
we
actually
received
notice.
There
was
some
scheduling
issues
and,
unfortunately,
the
nevada
justice
association
can't
be
here
to
present
today,
but
we
still
do
have
the
american
property
casualty
insurance
association
and
I
believe
we
have
miss
karen
collins.
A
Miss
karen
collins
is
the
assistant
vice
president
of
personal
alliance
policy,
research
and
international
of
the
american
property
casualty
insurance
association,
and
she
will
be
here
to
present
on
some
of
the
needs
of
the
industry.
Miss
collins
when
you're
ready.
Please
turn
on
your
screen
and
presentation
on
the
floor
is
yours.
B
Yes,
I'm
karen
collins,
I'm
the
assistant
vice
president
of
personal
alliance,
with
the
american
property
casualty,
insurance,
association
or
apcia.
For
short,
our
organization
is
the
primary
national
trade
association
for
home,
auto
and
business
insurers,
and
our
goal
is
to
promote
and
protect
the
viability
of
private
competition
for
the
benefit
of
consumers
and
insurers
with
a
legacy
that
dates
back
150
years.
Briefly,
our
members,
which
our
insurance
companies
represent
all
sizes
structures
and
regions
and
offer
insurance
products
and
services
that
help
protect
families
and
businesses
in
the
u.s
and
also
around
the
globe.
B
One
of
the
important
contributions
of
our
association
provides
us.
We
conduct
and
share
research
and
analysis
of
trends
and
challenges,
insurance
companies
and
consumers
face,
and
we
will
often
examine
these
issues
from
a
national
and
at
times,
international
perspectives,
such
as
climate
change
impacts
or
supply
chain
constraints,
and
how
these
issues
may
affect
the
frequency
and
severity
of
loss
events,
including
natural
disasters
in
individual
states
such
as
nevada.
B
B
The
number
and
cost
of
extreme
weather
events
has
also
been
increasing
over
the
past
several
decades
and
I
will
get
into
those
on
how
climate
impacts
are
also
contributing.
Overall,
inflation
within
property
lines
a
little
towards
the
end,
but
in
march
inflation
has
hit
a
40-year
record
reaching
eight
and
a
half
percent,
and
climbing
upward
spikes
in
inflation
are
particularly
pernicious
to
insurers,
because
there's
a
time
lag
in
forecasting
and
obtaining
state
approval
for
offsetting
rate
increases.
B
High
inflation
means
necessary
rate
increases.
Are
more
likely
to
exceed
state
flex
fans
where
those
exist
or
run
up
against
political
resistance,
particularly
when
they
reach
these
higher,
singular
double-digit
values?
Insurers
are
also
the
risk
is
increasing
over
long-tail
exposures,
with
inflation,
as
well
as
increasing
risk
exposures
from
climate
change,
cyber
attacks
and
higher
home
replacement
costs.
B
Insurance
investments
have
been
hit
a
little
bit
hard
in
2022,
with
hundreds
of
billions
pulled
from
money,
market
and
bond
funds,
while
the
dow
and
nasdaq
equities
indexes
have
also
fallen
in
recent
months
for
auto
insurance.
Specifically,
we
recently
published
a
research
report
that
really
digs
into
the
headwinds
that
our
auto
insurers
are
facing.
B
One
of
the
biggest
auto
trends
specifically
has
been
the
return
of
driving
levels
following
a
brief
dip
in
miles
driven
in
2020,
which
was
at
the
beginning
of
the
pandemic.
As
shown
by
this
orange
line
on
this
chart.
What
you
can
see
from
the
red
line
is
that
miles
driven
in
2021
were
almost
completely
normalized,
largely
tracking
the
same
patterns
from
2019,
the
blue
line-
and
this
is
consistent
with
a
growing
number
of
insurers,
which
are
reporting
rising
trends,
as
drivers
have
returned
to
the
roads,
which
typically
corresponds
with
increased
accident
frequency.
B
However,
higher
concern
is
the
cost
to
settle
claims
which
has
risen
significantly
as
insurance
claims.
Inflation
in
many
cases
has
exceeded
broader
inflation,
which
is
the
dotted
line.
The
top
two
lines
in
this
graph,
the
blue
and
orange
lines,
represent
the
escalating
cost
of
used
cars
and
rental
cars,
which
have
spiked
far
higher
than
underlying
inflation.
B
Now
anyone
who's
tried
to
run
a
car
recently
has
probably
noticed
limited
availability
of
rental
cars
or
that
the
prices
are
much
higher
recently
when
travel
ceased
with
stay-at-home
orders,
orders
rental
companies
in
response
sold
many
of
their
vehicles
to
help
with
cash
flow,
then
plan
to
repurchase
their
fleets
as
needed.
However,
the
demand
for
vehicles
actually
increased
sharply
during
the
pandemic,
as
more
people
wanted
to
avoid
mass
transit
or
move
out
of
cities.
B
At
the
same
time,
the
availability
of
computer
chips
used
in
cars
dramatically
contracted
with
a
shortage
that
has
not
been
expected
to
begin
easing
until
at
least
the
third
quarter
of
this
year,
with
some
recent
reports
indicating
that
could
even
stretch
into
2023,
if
not
beyond.
B
B
However,
the
trickle-down
impact
is
the
industry
is
now
experiencing
challenges
from
repair
shop
capacity.
We
are
observing
longer
days
from
skilled
labor
shortages
and
lack
of
car
parts
needed
to
maintain
and
repair
vehicles,
whether
due
to
a
car
accident
or
simply
servicing
your
own
vehicle,
as
it
relates
to
an
auto
insurance
claim.
B
B
B
Also
in
this
chart
you
can
see
the
homeowner's
loss
ratios
in
the
last
five
years,
so
looking
at
2017
to
2021
have
consistently
been
more
elevated
versus
really
the
prior
five
years,
looking
at
2012
to
2026
2016,
roughly,
as
our
nation
is
really
continuing
to
face
more
frequent
and
severe
natural
disasters
such
as
hurricanes,
wildfires
and
tornadoes
we're
still
awaiting
final
industry
results
for
properties,
property
line
combined
ratios,
however,
november
report
from
millerman.
B
B
Here
you
can
see
the
escalation
of
auto
insurance
inflation,
which
is
the
gray
line,
has
unfortunately
been
outpacing
wage
growth.
The
blue
line,
with
only
a
brief
improvement
at
the
outset
of
the
pandemic,
which
we
understand
is
having
an
impact
on
affordability
for
consumers
to
help
address
these
rising
costs
for
auto.
Our
industry
is
continuing
to
advocate
at
the
state
and
federal
level
for
better
infrastructure,
including
reliable
supply
chains
for
critical,
auto
parts
and
safer
roads
that
should
help
result
in
fewer
accidents
and
ultimately
lower
claim
costs
that
keep
insurance
premiums
more
affordable
for
consumers.
B
Digging
into
the
property
trends
a
little
further.
We
also
recently
published
a
research
report
explaining
the
challenges
for
property.
Insurers
similar
to
auto
cost
inputs,
have
soared,
unfortunately,
for
property
lines.
Since
the
pandemic,
we
have
seen
an
increase
in
demand
for
residential
contractors
and
materials
to
construct
new
homes
and
also
to
complete
remodeling
projects.
B
B
Looking
at
materials
specifically
since
the
start
of
the
pandemic,
steel
mill
products
have
climbed
nearly
140
percent,
while
lumber
price
prices
shot
up
for
74
with
lumber
futures.
Much
higher
prices
for
gypsum,
which
is
the
main
ingredient
of
drywall,
have
been
up
significantly
and
copper.
Prices
have
also
been
hitting
new
records.
B
B
B
The
lack
of
rainfall
due
to
drought,
combined
with
increasing
average
temperatures
due
to
climate
change,
are
leading,
unfortunately,
to
longer
hotter
and
drier
conditions.
These
conditions
weaken
and
dry
out
vegetation
and
fire
officials
across
western
states
are
observing
a
distinct
change
in
fire
behavior.
As
a
result,
reports
are
indicating
fires
are
being
started
more
easily
and
also
spreading
more
rapidly,
making
them
difficult
to
suppress
and
contain.
B
We
are
seeing
severe
wildfire
events
at
times
of
the
year
that
were
not
typically
considered
wildfire
season,
such
as
the
marshall
fire
in
colorado
in
december,
and
the
wildfires
currently
burning
in
multiple
southwestern
states
in
the
last
month.
Well
ahead
of
what
has
historically
been
the
typical
fire
season
and
we
are
seeing
record
acres
burned
and
in
patterns
never
seen
before,
such
as
the
two
fires
last
summer
that
the
dixie
fire
and
caldorfire,
which
each
burned
from
one
side
of
the
sierra
nevada
mountains
to
the
other,
which
was
a
first
in
recorded
history.
B
Now
insurers
must
purchase
re-insurance,
which
is
essentially
insurance
for
insurance
companies
to
help
pay
for
the
potential
claims
that
may
occur
for
risk
they
insure.
Given
recent
trends
here
in
the
u.s
and
abroad.
These
reinsurance
costs
have
similarly
increased
substantially
adding
more
pressure
to
insurers
and
including,
in
some
cases,
impacting
the
ability
for
insurance
company
to
obtain
the
necessary
reinsurance
capital
for
catastrophe
events
or
within
a
reasonable
price
point.
B
B
One
of
the
biggest
hurdles
recently
for
wildfire
mitigation
has
been
the
lack
of
a
clear
standard.
Now
wildfire
is
unique
risk
from
other
catastrophic
perils
such
as
hurricanes
and
that
to
effectively
and
meaningfully
reduce
risk
mitigation
requires
both
structural
adaptation
as
well
as
management
of
fuels,
the
latter
of
which
must
be
done
on
a
recurring
basis.
B
However,
we
do
have
good
news
on
this
issue.
In
june,
the
insurance
institute
for
building
and
home
safety,
known
as
ibhs
they'll,
be
introducing
a
new
wildfire
prepared
home
designation
in
california,
and
this
translates
essentially
a
decade
of
wildfire
research.
They
have
done
and
put
it
pulled
it
from
all
of
their
technical
reports
into
an
applicable
standard
for
homeowners
to
meet
their
designation
will
include
a
set
of
requisite
mitigation
actions
that,
when
taken
together,
will
significantly
reduce
a
given
property's
wildfire
risk.
B
Their
research
stresses
that
mitigation
for
wildfire
must
be
a
set
of
actions
to
meaningfully
reduce
risk,
meaning
implementing
only
one
or
two
will
not
be
effective
and
to
obtain
a
designation
for
that
program.
The
items
that
are
most
critical,
which
you
can
see
here
in
brown,
much
each
be
done
and
verified
with
some
pieces
that
will
need
to
be
confirmed
annually
in
blue,
are
additional
items
which
have
been
shown
to
help
further
reduce
risk
and
can
be
done
to
earn
a
higher
plus
designation
in
time.
Ibhs
will
also
be
rolling
out.
B
A
community
designation
as
their
research
clearly
and
strongly
indicates
both
individual
home
and
community
hardening
are
needed
to
meaningfully
reduce
risk.
As
I
mentioned,
this
program
is
initially
being
rolled
out
in
california
this
year
before
it
will
expand
to
additional
states.
But
the
information
regarding
how
to
mitigate
a
home
is
now
publicly
available
to
all
through
their
website
which
I've
included
on
the
slide.
B
Similarly,
state
officials
in
california
also
just
announced
in
february
a
new
safer
for
wildfires
framework,
which
very
closely
mirrors
the
science-based
research
of
ibhs,
thus
we're
seeing
a
coalescing
around
a
standard
for
wildfire
mitigation,
which
all
western
states
are
beginning
to
explore
as
a
key
priority
to
help
address,
wildfire
related
challenges,
and
this
includes
nevada
through
the
efforts
under
av-100.
As
commissioner
richardson
briefly
mentioned
earlier,
into
which
I
appreciate
the
opportunity
to
speak
on
behalf
of
insurers
in
their
december
14th
meeting.
B
A
A
Okay,
well,
I
I
do
have
a
couple.
I
just
want
to
make
sure
I'm
reading
the
graph
right,
but
it
was
the
driving
returns
to
pre-pandemic
levels
that
graph
so-
and
these
are
miles
and
billions
correct.
I
know
so
in
2019,
like
we
were
driving
right
under
around
this
time,
we
were
driving
right
under
300
billion
miles,
u.s
and
now
we're
about
250,
but
we
dropped
in
2020.
In
april
we
dropped
to
almost
150
billion.
Is
that
correct.
A
A
Okay
and
then
just
my.
I
just
wanted
to
make
sure
I
was
understanding
everything
correctly
and
then
my
last
question:
it's
just
you
know,
because
you
ended
with
this
and
you
touched
on.
You
know
the
mitigation
of
of
natural
disasters
and
what
we
can
do,
especially
with
wildfires
and
here
in
nevada.
A
I
know
we
can
take
steps
to
mitigate
like
you
know,
make
a
home
fire
proof,
but
I
think
prevention
is
key
as
well
right.
So
have
you
guys,
partnered
at
all,
with
the
conservation
community
or
taking
an
interest
in
what
we
can
do
to
impact
the
climate
crisis?
Because,
unfortunately,
you
know,
if
we
don't
do
anything
it?
Just
it's
going
to
mean
more
wildfires,
it's
going
to
which
is
going
to
impact
the
industry.
B
I
can't
speak
to
each
individual
member
company
there's
a
lot
of
individual
companies,
as
well
as
the
efforts
of
various
trade
associations
that
are
working
at
the
federal
and
the
state
level
working
with
law
makers,
help
educate
on
these
issues.
You
know,
eco
forestry
is
an
area
that
we're
looking
at
closely,
certainly
the
need
for
for
lumber
and
having
sustainable
practices
and
recognizing
that
on
ongoing
storms,
crate
losses
which
will
create
a
repetitive
cycle
of
rebuilding,
and
we
want
to
have
all
of
these
issues,
looked
at
and
approached
in
a
very
responsible
manner.
A
Thank
you,
and
actually
I
learned
about
the
the
mitigation,
the
california,
the
mitigation
strategy,
just
I
think
a
couple
months
ago,
because
I
was
being
proactive
and
seeing
like
if
it's
gonna
become
our
norm,
wildfire
seasons
destroying
communities.
What
can
we
do?
I
know
that
this
would
impact
homeownership
in
some
way,
but
it
will
there
be
because
I
believe
this
california
is
doing
this.
B
Right,
there's
currently
a
number
of
carriers
in
california
that
are
to
my
understanding,
offering
discounts
on
a
community-wide
basis
for
home
hardening
and
those
are
often
done
through
what
is
referred
to
as
the
firewise
program.
One
of
the
challenges
that
has
faced
our
industry
with
wildfire
and
what
we
refer
to
as
premium
credits
for
wildfire
mitigation
is
that,
while
we
directionally
know
that
wildfire
mitigation
will
lead
to
fewer
losses,
the
economic
analysis
of
that
the
actuarial
science
behind
that
is
still
underway
to
quantify
what
that
mitigation.
B
You
know
discount
would
translate
to
so
we're
trying
to
approach
this
cautiously
as
an
industry
so
that
we
don't
get
too
far
ahead
of
ourselves
and
create
more
challenge
or
adverse
impact.
If
we
try
to
overextend
before
we're.
Actually
you
know
supported
on
what
those
should
look
like,
so
there's
some
hesitation
by
some
carriers
to
do
that.
But
there
are
some
carriers
that
have
moved
forward,
and
so
we
just
encourage
folks
to
you
know
shop
around
if
those
companies
are
offering
those
potentially
in
the
state
of
nevada
as.
A
F
F
Have
you
looked
at
anything
like
that
that
might
be
implemented
across
any
particular
industry
or
sector
that
might
help
to
reduce
the
the
number
of
losses
during
wildfires.
B
We
are
absolutely
looking
at
what
materials
and
construction
approaches
will
result
in
more
resilient
structures.
We
we
know
that
we
can't
adapt
homes
to
be
resistant
to
the
ember
storms,
things
such
as
enclosing,
eaves
and
vents,
and
making
sure
that
certain
vegetation
is
not
right
up
against
the
home,
so
it
doesn't
create
obviously
an
opportunity
for
the
home
to
ignite.
B
We
can't
prevent
ultimately
every
home
front
from
burning,
but
we
can
certainly
reduce
that
substantially
and
as
far
as
the
individual
materials,
this
is
where
I
tend
to
defer
to
ibhs
in
their
research
as
being
more
experts
in
the
individual.
You
know,
construction
techniques
and
materials
and
and
the
builder
you
know
trades
as
well,
but
there
are
certainly
standards
and
and
clear
options
that
are
available
that
make
a
home
more
resilient
and
we're
certainly
looking
at
what
is
also
sustainable
within
that
as
well.
F
Yes,
ma'am
it
does,
but
he
gave
me
another
question
too,
so
so
that,
as
that
is
the
case
that
you're
looking
into
it,
have
you
all
looked
at
any
type
of
possible
collaborations
with
the
way
that
building
residential
and
commercial?
F
Those
aspects
are
going
on
right
now
to
maybe
look
at
integrating
whatever
the
concerns
are
and
whether
the
mitigations
are
in
place.
Right
now
put
those
overlay,
those
as
a
template
on
what
the
building
industry
the
construction
industry
is
looking
at
and
perhaps
come
up
with
some
type
of
a
hybrid
solution
that
could
be
implemented
down
the
road
but
because
you're
working
in
tandem
with
them.
It
wouldn't
be
like
they
create
this,
and
that
now
you
got
to
figure
out
how
to
get
in
there
and
make
it
fit.
B
Yeah
now
our
industry
is
really
about
bringing
together
all
of
the
stakeholders
and
working
collectively
for
the
broader
benefit,
of
course,
of
consumers
and
our
policyholders,
and
so
the
the
construction
trades.
The
building
trades
amongst
many
other
groups
are
organizations
that
we
are
collaborating
with.
We
we've
had
many
conversations
with
them
following
the
marshall
fire
right
now,
that's
going
through
that
reconstruction
effort.
Similarly,
you
know
within
other
coastal
states
and
really
understanding
that
there
are
standards.
Ibhs
has
excellent
standards
that
they're
putting
forward.
B
They
are
essentially
the
research
arm
of
the
insurance
industry
as
a
non-profit,
and
they
have
worked
closely
with
the
building
trades
and
the
international
code
councils
in
developing
what
should
be
specific,
what
wild,
then
urban
interface
will
be
specific
building
code
standards
and
our
organization
is
generally
promoting
states
to
you
know,
adopt
those
standards
and
enforce
those
standards,
including
after
you
know,
rebuilds
whether
it's
really
the
best
opportunity
for
for
the
reconstruction
incorporating
all
of
those
codes
and
techniques
so
that
those
properties
are
more
resilient
and
not
just
going
back
to
a
pre-standard.
A
Thank
you
vice
chair
committee
members,
those
on
zoom,
okay,
miss
cullen.
Thank
you.
So
much
for
being
here,
we
appreciate
your
presentation.
Thank
you.
Thank
you.
Community
members,
that
takes
us
to
our
last
agenda
item
agenda.
Item
number
eight,
which
is
public
comment.
I
am
going
to
go
to
see
if
there's
anyone
here
in
carson
city,
I'm
in
las
vegas
and
seeing
no
one
here.
Is
there
anyone
in
carson
city.