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Ohio Insurance Regulation: Commitment to Consumer Protection and Marketplace Stability
by Judith L. French, Director
In celebration of Consumer Protection Week, March 2-8, the Ohio Department of Insurance reaffirms its commitment to protecting insurance consumers and fostering a stable and competitive insurance market to the benefit of all Ohioans. We aim to ensure that Ohioans have access to reliable insurance options with a strong focus on consumer protection and insurer financial stability.
Our efforts include educating Ohioans about insurance, addressing consumer complaints, evaluating the financial solvency of insurers to fulfill claims, and monitoring the conduct of insurers, agents, and other industry entities. We also analyze insurance rates and products, and combat insurance fraud and misconduct. This past year our consumer assistance teams helped Ohioans save $67 million.
Several of our current main priorities involve improving mental health insurance access, advancing insurance workforce development, and driving insurance innovation. And as a leader in the National Association of Insurance Commissioners, an organization that manages the country's state-based insurance regulation system, we address matters related to consumer protection, insurer stability, insurance rates and products, cybersecurity, emerging technologies, and more, always looking out for the needs of Ohioans.
Speaking of Ohio, the state's insurance market is a powerhouse. It is the fifth-largest in the United States and 16th-largest in the world, and one of the state's largest jobs producers. Five Ohio-based insurers are on the 2024 Fortune 500 list, second only to New York. A total of 1,730 insurers hold licenses to do business in Ohio, and more than 250 of them are headquartered here. This dynamic market helps make Ohio one of the least expensive states for homeowners and auto insurance, consistently ranking around the top 10 lowest for average premiums, even with recent rate hikes nationwide.
Through our ongoing efforts, the Ohio Department of Insurance remains committed to maintaining a stable and competitive marketplace that prioritizes consumer protection and insurer financial stability. We strive to help Ohioans make informed decisions, access necessary coverage, and safeguard their financial well-being.
Please visit insurance.ohio.gov to learn more about the Ohio Department of Insurance and to access contact information for our consumer assistance teams.
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Former Ohio Insurance Agent Sentenced for Thefts Exceeding $1.4 Million
Director French announced that former Ohio-licensed insurance agent Rhonda Chandler, of the Columbus area, was sentenced on Feb. 7 in Franklin County Common Pleas Court to five years of probation and three years in prison if the probation agreement is violated. Chandler, who pleaded guilty to felony theft involving numerous victims totaling more than $1.4 million, has paid $350,500 in restitution and was ordered to pay the remaining amount.
An Ohio Department of Insurance investigation revealed that Chandler, through her insurance businesses Senior Marketing Consultants and Chandler Insurance Agency, stole and misappropriated funds, including premiums for pre-need life insurance policies, commonly known as burial or funeral insurance.
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Ohio Mental Health Parity Annual Report Issued
The Ohio Department of Insurance, Ohio Department of Mental Health and Addiction Services, and RecoveryOhio have issued the latest annual joint Ohio Mental Health Parity Report. The report details engagement activity with consumers, payers, and other stakeholders, and identifies mental health insurance access and coverage trends and barriers.
The Ohio Department of Insurance handled 3,028 complaints specific to accident and health insurance in 2024. Of those complaints, 25 were related to coverage for mental health and substance use disorder services. The Ohio Department of Insurance also received 19 requests for external review related to mental health and substance use disorder benefits.
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Director French Participates in Insurance Event at Bowling Green State University
Director French recently participated in an event hosted by the Ohio Insurance Institute and the Toledo chapter of RIMS, a professional risk management organization, at Bowling Green State University. The university is home to one of Ohio’s leading risk management and insurance programs.
During a Q&A session, Director French highlighted the economic significance of Ohio’s robust insurance market, the Ohio Department of Insurance’s leadership roles within the National Association of Insurance Commissioners, and the state’s workforce development focus with a projected need for 108,000 insurance jobs in Ohio by 2031.
Director French also addressed topics around climate risks and insurance, expanding mental health insurance resources, overseeing the role of artificial intelligence in insurance, combating distracted driving, and tackling insurance fraud.
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NAIC Announces 2025 Roadmap and Priorities for Committees
The National Association of Insurance Commissioners (NAIC) announced its 2025 roadmap “Securing Tomorrow: Advancing State-Based Regulation” and that its committees have outlined strategies to implement key initiatives and charges.
The roadmap, designed to support the mission of state insurance regulators to protect consumers and monitor industry solvency, is focused on maintaining fair, sound, and stable insurance markets, and protecting and educating consumers. The roadmap's initiatives include aligning communication strategies and services, amplifying the state-based insurance regulatory system domestically and abroad; ensuring resilience, relevance, and prosperity for generations to come; and focusing on committee priorities.
The NAIC committees, in which Ohio Department of Insurance staff hold key roles, will lead the organization's efforts to address issues impacting the current insurance market and work to secure a resilient market for the future. In addition to catastrophe resiliency efforts, the committees will prioritize cybersecurity incident and market-disruption frameworks, enhancing consumer privacy protections, enforcing annuity protections for consumers, monitoring implementation of the insurer group capital aggregation method, protecting consumers’ access to health insurance options, and risk-based capital modernization.
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NAIC Names Director French Co-Chair of New Risk-Based Capital Task Force
Director French has been named Co-Chair of the National Association of Insurance Commissioners (NAIC) Risk-Based Capital (RBC) Model Governance Executive Committee Task Force.
The NAIC recently launched this new task force to develop guiding principles for future RBC adjustments, conduct a comprehensive gap analysis to identify areas for improvement, and design a communication campaign highlighting the RBC formulas' strengths in the U.S. state-based system of insurance company financial regulation and solvency oversight.
The task force will also evaluate when to integrate new risks into the RBC formulas, the data needed for setting associated factors, and approaches for addressing emerging risks when a framework did not previously exist. Additionally, it will review statistical safety levels and establish guidelines for recalibrating RBC formulas to ensure the formulas remain effective.
Before this announcement, Ohio Department of Insurance employees had been selected to serve on 18 NAIC committees and task forces in 2025.
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Review and Consider Flood Insurance Coverage
Ohio Spring Severe Weather Awareness Week is March 16-22 and serves as a crucial reminder to discuss the risks and impacts of flooding, and to ensure appropriate financial protections are in place.
Flooding can occur anywhere in the state -- sometimes in areas that are not typically associated with high flood risks. Whether from rain, melting snow, or a combination of both, the potential for flooding is always present. The damage can be devastating, as just one inch of floodwater can result in up to $25,000 in damage to a home, according to the National Flood Insurance Program.
While most homeowners, renters, and business insurance policies do not include flood coverage, it is an important protection to seriously consider. Flood insurance must be purchased separately, often through an insurance agent, and usually comes with a 30-day waiting period before it takes effect.
Visit floodsmart.gov to learn more about flood risks and insurance. The Ohio Department of Insurance provides a Severe Weather Preparation and Recovery Toolkit, which offers safety tips, guidance on filing insurance claims, and advice on avoiding contractor fraud during repairs.
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Avoid Costly and Destructive Water Leaks
Fix a Leak Week, observed from March 17-23, highlights the importance of monitoring and repairing common household leaks to conserve water, reduce utility costs, and prevent costly property damage.
In Ohio, the average family can waste hundreds of gallons of water each week due to leaks. Thankfully, many common leaks are simple to fix, and the cost of basic repair tools can quickly be recouped through the savings on water bills.
The Ohio Department of Insurance also warns that leaking or burst pipes and water fixtures can lead to severe property damage. Without adequate insurance, repair costs can add up quickly. To stay financially protected, conduct an insurance review with an insurance agent. Discuss coverage limits, provisions, exclusions, and any endorsements related to water damage.
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Through the 988 Lifeline, you have access to free, quality, one-on-one assistance. The skilled, judgment-free counselors are there to provide compassionate support. You deserve to feel heard and cared about anytime, anywhere, 24/7/365.
Text 988 or CHAT WITH THE 988 LIFELINE
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