TRENTON – New Jersey Department of Banking and Insurance (DOBI) Commissioner Tom Considine today announced that in 2010 the Department admitted for business or extended new lines of insurance to 55 carriers – an increase over both 2009 and 2008 – and recovered nearly $20.7 million for consumers and medical providers during the same period.
“I am very pleased we were able to increase the number of new insurance companies admitted to the State and the extensions of lines of business for existing companies while at the same time recovering nearly $20.7 million for medical providers and consumers,” said DOBI Commissioner Tom Considine. “DOBI’s mission is two fold – to promote the growth and financial stability of the industries we regulate and to protect consumers. Last year, DOBI showed it is achieving both parts of its mission. We are carrying out Governor Christie’s pro-business agenda by streamlining the regulatory process and cutting red tape while maintaining consumer protection, and recovering funds for New Jersey’s medical community.”
Last year, the Department admitted 27 new insurers and extended new business lines to 28 carriers. That number is up nearly eight percent from 2009 when the Department approved 51 new admissions and business extensions, and up 25 percent from 2008 when the Department approved 44.
Included in the 2010 admissions were 10 new commercial insurance carriers, six new workers’ compensation carriers and three new homeowners and auto insurance companies. Extensions were granted in the commercial lines, homeowners and workers’ compensation markets.
In addition to these admissions and insurance line extensions, DOBI regulators recovered more than $11.3 million from insurance companies for consumers and returned nearly $9.4 million to medical providers, such as doctors and hospitals. Consumers and providers received the payments for claims processing delays, improper handling, and denials of claims, and premium refunds due to improper ratings or failures to return unearned premiums. Insurers made the payments resulting from probes into consumer complaints against licensees, enforcement investigations and errors found during market conduct examinations.
“Lessening the regulatory burden on businesses and protecting providers and consumers are not mutually exclusive,” said Considine. “At DOBI we are doing both. This Department will continue to work with businesses, while being second to none in protecting consumers and the medical providers who treat our State’s citizens.”
For additional information on insurance matters go to: www.njdobi.org.