Ex-Insurance Commissioners Criticized for Moving Into Industry Roles

The National Association of Insurance Commissioners (NAIC) summer meeting in Minneapolis was briefly interrupted by protesters demanding stronger ethics rules for regulators. Organized by Public Citizen, the protest called for a two-year ban on lobbying or accepting industry positions after leaving public office.

Their concern stems from what they describe as a “revolving door” between regulators and the insurance industry—one that undermines public trust and weakens consumer protections.

According to an investigation by InsuranceNewsNet, nearly half of the insurance commissioners who served a decade ago moved directly into industry roles, often as vice presidents of regulatory affairs or consultants. Several others launched lobbying or advisory firms focused on insurance policy.

Critics argue that this close relationship blurs the line between oversight and influence.

“Regulators are supposed to stand for the public interest over corporate power,” said Rick Morris, campaigner with Public Citizen’s Climate Program. “Instead, many appear to be handing the pen to the very companies they’re supposed to regulate.”

Public Citizen’s report also highlighted rising executive compensation among major U.S. insurers—42 executives from nine top property and casualty insurers earned a combined $310 million in 2024, a 21% increase from the previous year.

To address the issue, Public Citizen urged all commissioners to adopt an Anti-Corruption Pledge, banning gifts, job negotiations, and lobbying for two years post-office. However, no commissioners have signed the pledge so far.

The NAIC responded by reaffirming that each state regulator operates under its own ethical and constitutional laws, and that the organization maintains a conflict-of-interest policy. However, critics argue the policy is “toothless and unenforced.”

As the debate continues, advocacy groups warn that this revolving door could erode confidence in regulatory integrity, especially as the insurance industry faces mounting challenges from climate change, AI regulation, and private equity influence.