US NAIC Summer 2026 National Meeting Highlights: Natural Catastrophe Risk and Resilience (EX) Task Force

The Natural Catastrophe Risk and Resilience (EX) Task Force (the “Task Force”) of the US National Association of Insurance Commissioners (“NAIC”) met on August 13, 2026 at the NAIC’s Summer 2026 National Meeting in Columbus, Ohio. In addition to routine matters, such as adopting meeting minutes from its prior meeting, the meeting covered the following matters.

California Insurance Commissioner Ricardo Lara chaired the meeting, which he opened by discussing a briefing prepared by NAIC staff on 2026 major catastrophes. The briefing, which will be updated throughout the year, is intended to serve as a common baseline for catastrophe risks. Prepared in light of the catastrophes experienced this summer, the briefing provides an update on 2026 major catastrophes, an overview of trends the Task Force is observing across the country, a summary of the tools implemented over the last few years, and an outline of preparation efforts underway to address future catastrophes.

Working Group Reports

The Task Force then adopted the reports of its working groups, which covered the following key updates.

• Pre-Disaster Mitigation and Risk Modeling (EX) Working Group: The Pre-Disaster Mitigation and Risk Modeling (EX) Working Group reported that it had exposed for comment a draft Residential Mitigation Grant Program Model Act, which provides a voluntary, peril-agnostic, standard-agnostic statutory framework for state mitigation programs administered through state departments of insurance. This model law is consistent with the working group’s charges, which include the development of a model law related to mitigation programs. The draft establishes common architecture for mitigation grant programs without requiring identical programs across states, granting states flexibility to adapt the model law to their specific hazards, market conditions, and risk profiles. The draft was exposed on August 7, 2026, for a 30-day public comment period ending September 8. The working group is seeking feedback on the draft generally but has requested comments on a few specific categories, including definitions, funding flexibility, standards, eligibility, administrative burdens, verification, and discretion by states.
• Severe Peril (EX) Working Group: The Severe Peril (EX) Working Group provided an update on the Flood Insurance Blueprint, a strategic initiative aimed at identifying and prioritizing strategies that expand flood insurance awareness, availability, affordability, consumer protections, mitigation, and market participation through coordinated regulatory, educational, and research-based actions. The working group has developed key strategies and tactics for the blueprint, aligning them with Task Force and group charges and incorporating consumer perspectives to create a comprehensive campaign for flood insurance. The working group highlighted five themes emerging from its work: (1) communication and outreach—engaging with consumers through focus groups and surveys to understand how they receive information on flood susceptibility; (2) product innovation—exploring new approaches aimed at closing coverage gaps; (3) risk assessment, data, and modeling—discussing how to move beyond FEMA maps to communicate flood risk more effectively; (4) producer education and communications—expanding engagement with producers, who have direct connections with policyholders; and (5) market development and solvency monitoring. The working group is advancing multiple deliverables, including a state consumer flood education toolkit.

Presentation on IBHS Fortified Homes

The Task Force heard a presentation from Roy Wright, CEO of the Insurance Institute for Business & Home Safety (“IBHS”), titled The Next 100,000: How States Can Scale Fortified Resilience, on IBHS’s achievement of 100,000 FORTIFIED home designations and its strategic path forward. Wright discussed the path toward achieving the 100,000 FORTIFIED designation goal, emphasizing the importance of state leadership, state partnerships, and training initiatives. He highlighted progress in Alabama and Louisiana, noting that meaningful gains took time to materialize. Wright also observed that an increasing number of states have adopted FORTIFIED grant programs and the Wildfire Prepared Home program. Looking ahead, Wright outlined the next planning cycle, which will focus on expanding resilience at a larger scale.

Update on Property and Casualty Reinsurance

The Task Force heard a presentation from Dan Dick of Aon on the state of the property/casualty reinsurance market. During the presentation, Dick reported that global reinsurer capital rose by $5 billion to a new high of $790 billion during the three months ended March 31, 2026, with third-party capital (including catastrophe bonds and sidecars) at $141 billion. Mid-year 2026 renewal rates showed US rates down by 15%-20%, despite demand being up 5%-10%, which he attributed to strong reinsurance supply. He said that the factors contributing to strong reinsurance supply include record traditional equity, softening retrocession markets, record third-party capital, and attractive pricing. He said that the modest demand increase was driven by a volatile risk environment, exposure growth, and elevated loss cost inflation.

Dick noted that notable events are becoming more frequent, with an average of 27 events causing more than $1 billion in damage over the past 10 years, compared to an average of 17 such events over the preceding 26 years. He attributed this increase primarily to increased property valuation and risk aggregation rather than hazard frequency alone. Dick concluded by encouraging regulators to address recency bias, educate consumers on the value of mitigation, and lean on the NAIC’s catastrophe modeling center of excellence for analytical support.

Update on the Association of Insurance Supervisors of Latin America

The Task Force then received an update on training provided by the Association of Insurance Supervisors of Latin America (“ASSAL”) and the new partnership between the NAIC and ASSAL. The NAIC and ASSAL are building a hemispheric partnership to address the shared and growing catastrophe risks facing insurance markets across the Americas through stronger data, modeling, mitigation, and regulatory collaboration. Their joint work—including a catastrophe risk assessment, regulator and actuarial training, and the exchange of innovative approaches, such as parametric insurance and nature-based solutions—is designed to close protection gaps and strengthen resilience in both the United States and Latin America.