LINCOLN, Neb.—Nebraska Department of Insurance Director Ann Frohman plans to step down in October to pursue private-sector opportunities, according to the state's governor.

Gov. Dave Heineman said Tuesday that Ms. Frohman will resign the post she has held for three years effective Oct. 29.

It was not disclosed what private opportunities Ms. Frohman, who has served the state for more than 20 years, plans to pursue.

She became director of the Nebraska Insurance Department in November 2007 after briefly serving as acting director. Previously, she had been deputy director of the department since 2004 and spent four years as general counsel.

Ms. Frohman also worked as state risk manager with the Nebraska Department of Administrative Services.