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ORLANDO, Fla.-The National Council on Compensation Insurance has indefinitely postponed a board vote on a proposal to convert the data-gathering organization to for-profit from non-profit.
Member insurers' questions about whether such a conversion is the best alternative prompted the board's action, Senior Vp Everett Brookhart told members of the National Assn. of Insurance Commissioners' Workers Compensation Task Force during the NAIC's meeting last week in Orlando, Fla.
The NCCI began considering the change last April. It hoped the move would enable it to access capital and strengthen its ability to form external alliances so it could better compete with other data-gathering organizations (BI, April 8, 1996).
However, the conversion proposal led state insurance regulators to look at several issues, including preserving public access to state-mandated workers comp data as well as the price of NCCI products.
After board approval, at least two-thirds of the NCCI's members would have to ratify the proposal for it to be adopted.