Manage and track multiple compliance, risk, and governance operations
Gain control and efficiency with our comprehensive dashboard
Effortlessly centralize document and file management securely
Organize and streamline activities with automated scheduling calendar
Empower compliance with timely notifications, alerts, & deadline tracking
Ensure timely response, accountability, and risk mitigation through escalations
Gain compliance control, mitigate risks, & save time with framework library
Streamline assessments. enhance collaboration, ensure compliance.
Strengthen accountability, compliance, and transparency with audit logs
See our platform in action for free. No credit card required!
Integrate VComply with your everyday tools, and manage compliance and risk better
Manage multiple frameworks, implement controls, and protect your brand
Goin 360-degree visibility with intuitive compliance dashboard
Stay informed and proactive w ith notifications & alerts
Simplify file and document management with ease
Automate compliance workflows for seamless efficiency
Streamline compliance with customizable framework library
Enable collaboration across locations, departments, and teams
Centralize compliance work for streamlined efficiency
Goin actionable insights with robust reporting feature
Automate risk processes, assess risks, align risk and compliance
Identify and track risks using the centralized risk register
Enable collaboration across stakeholders for better resolution
Streamline risk assessment with process automation
Enhance risk visibility with intuitive and centralized dashboard
Establish connection across teams, departments, and locations
Elevate risk awareness through proactive notifications
Manage files & evidence centrally for efficient control
Enhance decision-making with actionable risk insights
Develop, review, approve, distribute, and track every policy with confidence
Efficient policy distribution through central repository
Streamline policy drafting and lifecycle management for simplicity
Simplify compliance with comprehensive policy templates
Simplify policy management with efficient version control
Accelerate policy approvals with automated processes
Collaborate seamlessly with cross-functional teams
Effortlessly measure policy training effectiveness with assessments
Manage policy life cycle with automated reminders and notifications
Streamline audit planning, fieldwork, and reporting using a unified platform
Maintain transparency and accountability with audit trails
Organize and streamline audit with automated scheduling and calendar
Centralize audit files for streamlined evidence collection and management
Stay informed with proactive audit activity notifications & alerts
Streamline audit assessments for comprehensive compliance
Bring audit plans, activities into the single space for complete control
Simplify audits with automated workflow efficiency
Gain 360-degree visibility with intuitive Audit dashboards
Empowering success through streamlined compliance, risk, and governance solutions
Empower your business with simplified regulatory compliance solutions
Empower your enterprise by elevating risk management practices
Transform GRC operations for optimized efficiency and effectiveness
Mitigate risks with seamless third-party risk management
Check out how VComply helps utilities comply with NERC’s reliability standards.
Empower your business with pre-built customizable regulatory and control frameworks
Achieve quality success through ISO 9001 Framework
Deliver compliance excellence with the power of SOX framework
Simplify your security approach with ISO 27001 framework
Navigate cybersecurity excellence with NIST framework compliance
Promote data security through compliance with PCI DSS framework
Unlock trust and security with SOC 2 framework for compliance
See the extensive compliance framework library of over 20+ supported framework
Achieve compliance for your electric utilities with these NERC-approved reliability standards
Empower your industry with unmatched effectiveness and efficiency
Help Financial Services power GRC processes
A smart GRC software that upgrades manufacturing compliance
Modernize banking compliance with VComply
Remove compliance risk from your non-profits
Effectively manage your higher education compliance and risk
Redefine healthcare compliance and risk with VComply
Build, boost your compliance in construction
Strengthen resilience for energy and utility companies
Turn risk into opportunities with F&B compliance software
Stay connected and grow alongside VComply
Stay informed on compliance, risk, audit, and policy management trends
Streamline work with comprehensive guides for seamless management
Navigate complex GRC challenges with valuable e-books
Discover user stories for valuable insights into user-experiences
Access comprehensive definitions and explanations for essential GRC terms
Gain a comprehensive understanding of the features, benefits, and capabilities
Discover insights from experts on the latest happenings in GRC
Learn tips, tricks, and insights to make compliance work for your organization through our expert webinars!
Utilize our go-to templates and checklists to help you stay compliant
Keep in sync with the latest changes by updated framework templates
Get compliance assistance through VComply compliance checklists
Download policy templates that you use to create guidelines and processes.
Discover the power of VComply through our detailed use case guides
Get to know what make VComply the best GRC platform on the market
Discover VComply's value, mission, and vision for better GRC future
Stay informed about VComply and GRC industrylatest updates
Join VComply, redefine compliance, unleash potential
Know about our partnership program
Get to know our board of advisors
Stay up to date on the latest VComply news
VComply offers unparalleled Sales and Customer Support
Send us your sales queries and let us know your needs
Get 24/7 quick and dedicated support anytime
Lets get social
Follow us on LinkedIn for company updates
Join VComply on Twitter for live updates
The insurance industry lately is facing consistently increasing regulatory obligations along with the rising demand to adopt new technologies and exceed customer expectations.
With rising inflation, perpetual war, and the constant loom of a major recession, the insurance industry is facing the heat to navigate through uncertainty and chaos.
The insurance industry lately is facing consistently increasing regulatory obligations along with the rising demand to adopt new technologies and exceed customer expectations.
With rising inflation, perpetual war, and the constant loom of a major recession, the insurance industry is facing the heat to navigate through uncertainty and chaos. Over the last few years, on one hand, the emergence of new technologies in the insurance space has been phenomenal. On the other hand, so has the incessant growth of regulatory requirements. These factors altogether are forcing insurance companies to look beyond the obvious and address the issues in a systematic and methodical manner. In this article, let’s dive deep to understand the present-day regulatory compliance for insurance companies in detail.
The risk of data breaches isn’t new to insurance companies, but the consequences have been greatly increased by the General Data Protection Regulation (GDPR) and the California Consumer Protection Act (CCPA). As a result of these new laws, regulators are examining with unprecedented rigor how companies protect and store their data.
Insurance companies have already started leveraging consumer data to offer targeted solutions and implementing new technologies that address various aspects to automate their mundane operations such as claims processing, and document management. According to the new rules and stringent regulatory compliance for insurance companies, they must put mechanisms in place to protect and manage their customer data. Insurance companies must design and implement robust data protection and security plans and develop them not only to protect consumers but also to avoid fines and other penalties imposed by regulators.
Multiple regulatory changes or upgrades have put the insurance companies in a difficult situation. The key regulations for insurance companies in 2023 are:
ARPA: American Rescue Plan Act of 2021 or better known as (ARPA) has transformed and revolutionized the insurance domain forever. ARPA provided an upgrade to the Premium Tax Credit (PTC) for two years for individuals who are eligible to purchase coverage through health insurance marketplaces. The upgrade increases the amount of PTC available for all income levels and removes the income limit to qualify for PTC previously set at 400 % of the federal poverty line (FPL) or $51,520/year.
Some of the impacts of ARPA on insurance companies are (based on the data shared by 13 states):
LDTI: Long duration targeted improvements (LDTI), is a modified accounting standard that the FASB updated to address its key concerns, driving leaps and bounds in insurance areas with new changes. Some of the notable impacts are:
For some insurers LDTI will be a catalyst for carve-out from operations that are no longer core to their strategy. For others, it may provide an opportunity to exert core competency in certain areas.
IFRS 17: IFRS 17 insurance contracts establish principles for the recognition, measurement, presentation, and disclosure of insurance contracts within the scope of the standard.
The objective of IFRS 17 is to ensure that an entity provides relevant information that truly represents the contracts. This information provides users with a basis for assessing the effects of insurance contracts on the company’s financial position and the results of operations.
Some of the implications of IFRS 17 are:
Changes in Affordable Care Act: The Affordable Care Act (ACA) has given millions of Americans new access to insurance, in some cases for the first time. Under the Affordable Care Act (ACA), insurance companies that sell health insurance through state or federal marketplaces generally offer plans in four different cost tiers, also known as actuarial value (AV): Bronze, silver, gold, and platinum.
Plans must offer the ACA essential health benefits package of covered services at each level. The differences between tiers reflect the differences between deductibles, and maximum deductible limits, as well as different co-payment and co-insurance levels and other plan features.
Plans with higher actuarial values, such as B. Gold and Platinum plans typically have fewer cost shares and higher rewards. Insurance companies need to be updated and thorough with the recent changes and the new regulations of ACA in place.
2023 Notice of Benefits and Payment Parameters Final Rule: On April 28, 2022, the Centers for Medicare & Medicaid Services (CMS) released their latest notice on benefits and payment parameters for plan year of 2023. Beginning in 2023, plans must ensure that members can access services within a maximum time or distance. These standards are specified in the final 2023 letter to issuers, which CMS also published on April 28, 2022. A few reforms to be in force are:
In its proposed rule, CMS would amend several ACA rules to restore prohibitions against discrimination based on gender identity and sexual orientation. Previous protections against such discrimination were repealed in a 2020 rulemaking.
CMS sets a uniform annual deadline for states to submit proposals for revisions or new benchmark plans submission. That deadline is the first Wednesday in May, two years before the effective date of the new EHB benchmark baseline.
CMS is removing a requirement that each year a state must submit a report on government service contracts that are added with those offered under the government EHB plans.
In the future, states will no longer be able to allow insurers to substitute benefits between the categories of EHB benefits, although they do so and can still do within a performance category.
Consumer expectations over the years have increased by leaps and bounds. With the advent of new technologies, consumers are no longer interested in the traditional insurance processes; rather, they want new-age bundled offerings. As insurance companies strive to improve their customer experience through automation tools that result in faster or streamlined claims processing and underwriting processes, they must consider the regulatory implications of these technologies. Also, integrate them into their monitoring and analysis processes to ensure fair enforcement across the board.
By using data and analytics, self-assessments, and internal audits to proactively monitor their own operations, insurance companies can avoid getting caught in regulatory problems that stem from poor oversight or rogue agents. Insights from these ratings help insurance companies identify outliers, monitor rate compliance, and verify that products and services are being offered fairly to customers. This allows companies to fix any issues before receiving negative results and tarnishing their reputations.
Blockchain, cryptocurrencies, and other parts of the digital asset ecosystem have evolved exponentially. The Silk route and a plethora of cryptocurrency scams such as FTX have shaken the entire regulatory world over the last few years. This has raised regulatory concerns over customer protection, economic loss, and consumer education. In 2023, legislation could expand the scope of regulated financial entities and instruments.
States are expected to amend their state economic laws to accommodate changes to the Uniform Commercial Code to bring digital technologies under the ambit of regulatory laws.
Throughout 2022, the world has witnessed increasing interest from investors, regulators, customers, and other stakeholders in understanding and exploring the environmental, social, and governance (ESG) activities of organizations. The UK intends to make TCFD-compliant disclosures mandatory across the economy by 2025, with a significant portion of the mandatory requirements to be put in place by 2023.
These issues will continue to be a key focus for its regulators in the coming year. The Federal Insurance Office, NAIC, and SEC are expected to continue assessing climate change’s impact in the United States. The insurance industry is exploring other regulations in this area related to disclosure, risk, and resilience, among others.
Insurers are likely to be judged not just on the plans outlined in their annual sustainability reports, but on how their initiatives actually limit the impacts of climate change and other emerging systemic environmental risks. All this while addressing carbon emissions at source, diversifying the leadership and workforce, improving the inclusion of its products and services, and increasing transparency and accountability in its governance structures.
The insurance industry has been dealing with serious concerns about cybersecurity and privacy. The industry is responding to potential risks in related areas:
Citing insurer and 3rd-party incidents, USA Government insurance regulators have been warning for a while that no other industry is as vulnerable to security breaches as the insurance industry. At the same time, insurance companies collect significantly more data from personally identifiable customers than any other industry. To further improve cybersecurity, state regulators and industry participants are jointly drafting a third version of the NAIC Insurance Data Security Act by a government regulator.
Attention is primarily focused on regulatory consistency, the triggers that define a data breach, the definition of personal information, and the appropriateness of a waiver when a company complies with the Health Insurance Portability and Accountability Act of 1996 (HIPAA). Any regulation that is eventually passed will require licensees to ensure that third parties also have adequate safeguards in place to protect the information in their possession, and the licensee will be responsible for any failure by third parties to protect such information.
Fraud is a pervasive threat in all types of insurance, although it’s a huge problem in auto insurance and health insurance. Insurance fraud is perhaps most commonly associated with consumers defrauding insurance companies, but it can happen vice-versa as well.
From a regulatory perspective, insurance companies should be extra cautious while dealing with fraudulent activities. Employees who act unscrupulously, such as collecting consumer premiums without returning a policy can potentially tarnish the insurance company’s reputation.
This potential risk has been heightened following the July 2019 updates to the Insurance Fraud Model Act, which strengthened prosecutors’ powers and eliminated many previous standards of evidence. For organizations that are often large and complex, self-regulation can be difficult. As a result, companies are turning to advanced analytics to identify anomalies and uncover potential fraud before it becomes a bigger threat.
Managing compliance on spreadsheets does more harm than good. Multiple versions of the data, inaccurate and outdated data and challenges in interdepartmental collaboration are some of the many drawbacks of using spreadsheet-based solutions for insurance companies.
Instead, a GRC platform like VComply not only tracks compliance and regulatory process but also monitors organizational risks and mitigates them quickly while tracking governance within the organization.
In addition, now, more than ever, compliance officers in the insurance industry are playing a critical role in assessing, monitoring, and mitigating risks on a daily basis.
In this volatile economic environment, industry executives now have to make an array of deliberate and quick strategic choices to succeed. Slow and incremental change might no longer be a viable option. VComply GRC platform can help insurance companies sail through this difficult situation with their all-in-one software solution.
The benefits of having VComply risk management solution include:
The insurance industry which used to be the yardstick for stability and predictability has been going through a complete paradigm shift. Constant pressure for growth without compromising profit, unprecedented climate change, increasing consumer demand, and too much regulatory compliance for insurance companies are disrupting the industry more than ever.
To know more about how VComply helps insurance companies keep pace with the key regulatory obligations in 2023, sign up for a personalized demo.
Ready to set up a trial of VComply and automate your compliance process?