One of the main pillars of our mission to serve and protect Ohio insurance consumers is to effectively monitor the financial solvency of insurance companies to pay consumers’ insurance claims.

It is an intricate process conducted by the department’s Office of Risk Assessment staff, one of the most experienced and credentialed teams in this field in the country. They are paying close attention to the 1,724 insurance companies – 275 of them domiciled in the state – that write more than $143 billion in premiums in Ohio, one of the largest insurance marketplaces in the world.

The Ohio Department of Insurance takes a comprehensive approach to meet insurance company financial solvency oversight criteria set by the National Association of Insurance Commissioners (NAIC). This includes having adequate solvency laws and regulations to protect consumers and safety-net guaranty funds, sufficient financial analysis and examination processes, and effective practices for the review of organization, licensing, redomestication, and change of control of Ohio domestic insurance companies.

During the State of Ohio’s recently completed fiscal year, the department’s Office of Risk Assessment staff completed all reviews of insurance company quarterly and annual financial statements within timeframes prescribed by the NAIC. A total of 601 insurance company transactions, including three applications for Ohio domestic certificates of authority, were analyzed and reviewed, seven mergers and acquisitions were also reviewed, and financial examinations of 35 Ohio domestic insurance companies were completed.

Along with our work educating insurance consumers, addressing insurance complaints, investigating insurance fraud and misconduct, and reviewing insurance rates and policy provisions for compliance with the law, our examination of the financial soundness of insurance companies will always be one of the most important vehicles for us to serve and protect Ohio insurance consumers.