Key Takeaways
- The Nevada Division of Insurance regulates all insurance activities under Nevada Revised Statutes (NRS) Chapter 680-693
- The Commissioner of Insurance is appointed by the Governor and oversees the Division
- Nevada uses a competitive rating (file-and-use) system for most property and casualty insurance rates
- The Division handles licensing, rate filings, market conduct examinations, and consumer complaints
- Nevada emphasizes market-based competition while maintaining consumer protection standards
Nevada Division of Insurance (DOI)
The Nevada Division of Insurance (DOI) is the state agency responsible for regulating the Property & Casualty insurance industry in Nevada. The Division operates under the Nevada Department of Business and Industry.
The Commissioner of Insurance
The Commissioner of Insurance is:
- Appointed by the Governor
- Responsible for enforcing Nevada Revised Statutes (NRS) Chapters 680-693
- Authorized to adopt regulations, review rate filings, investigate violations, and discipline licensees
- Supported by the Division of Insurance staff
Commissioner Powers for P&C Insurance
| Power | Description |
|---|---|
| Licensing | Issue, suspend, and revoke producer licenses |
| Rate Filing Review | Review P&C insurance rate filings under file-and-use system |
| Market Conduct | Examine insurer business practices and compliance |
| Enforcement | Investigate and prosecute violations of insurance law |
| Consumer Protection | Handle complaints and protect policyholders |
| Rulemaking | Adopt regulations interpreting Nevada insurance law |
Exam Tip: The Commissioner is APPOINTED by the Governor, not elected. This is a common exam question.
Rate Regulation System
Nevada uses a competitive rating (file-and-use) system for most P&C insurance:
Key Provisions
- File-and-Use: Insurers file rates with the Division and can use them immediately (no prior approval required)
- Competitive Market: Relies on market forces to keep rates reasonable
- Post-Use Review: Division can review rates after implementation
- Rate Standards: Rates must not be excessive, inadequate, or unfairly discriminatory
- Rate Filing Requirements: Insurers must file rates and supporting data with the Division
File-and-Use Process
- Insurer Files Rates: Submits rate filing with actuarial support
- Immediate Use: Can implement rates without waiting for approval
- Division Review: DOI reviews filing for compliance
- Objection Period: Division may object if rates violate standards
- Rate Adjustment: Insurer must adjust rates if Division objects
Exam Tip: Nevada's file-and-use system differs from prior approval states like Massachusetts. Know that insurers can use rates immediately after filing.
Nevada Insurance Law Structure
Nevada Revised Statutes (NRS) Chapters 680-693
Nevada insurance regulation is codified in NRS Chapters 680-693, which cover:
Chapter 680 - Insurance Code in General
- Definitions and general provisions
- Commissioner authority
- Insurance Department organization
Chapter 681 - Insurance Companies Generally
- Insurer licensing and authorization
- Financial requirements
- Annual reporting and examinations
Chapter 681A - Regulation of Property Insurance
- Property insurance specific provisions
- Policy requirements
- Loss settlement standards
Chapter 681B - Regulation of Liability, Motor Vehicle and Other Insurance
- Auto insurance requirements
- Liability insurance provisions
- Uninsured/underinsured motorist coverage
Chapter 683A - Insurance Producers and Solicitors
- Producer licensing requirements
- Continuing education mandates
- Prohibited practices
Chapter 686A - Unfair Practices
- Unfair trade practices definitions
- Prohibited acts
- Penalties for violations
Chapter 687B - Insurance Claims
- Claims handling requirements
- Unfair claims practices
- Time limits for claim processing
Chapter 688A - Guaranty Fund
- Nevada Insurance Guaranty Association
- Coverage and limits
- Assessment procedures
Exam Tip: You don't need to memorize all chapter numbers, but understand that NRS 680-693 covers insurance regulation comprehensively. Focus on Chapters 681B (auto), 683A (producers), and 686A (unfair practices).
Nevada Division of Insurance Organization
The Division operates through several functional areas:
| Division | Responsibilities |
|---|---|
| Licensing Section | Producer and company licensing, continuing education tracking |
| Rate and Form Review | Review rate filings and policy forms |
| Consumer Services | Handle consumer complaints and inquiries |
| Financial Oversight | Monitor insurer financial condition and solvency |
| Market Conduct | Examine business practices and compliance |
| Captive Insurance | Regulate Nevada's large captive insurance industry |
Consumer Protection Functions
Consumer Services
The Division provides consumer protection through:
- Consumer Hotline: (888) 872-3234 for complaints and questions
- Licensing Inquiries: (775) 687-0700, option 2
- Email: nevada.licensing@doi.nv.gov
- Online Complaint Filing: Available at doi.nv.gov
- Educational Resources: Consumer guides and insurance information
Complaint Process
- Consumer Files Complaint: Online at doi.nv.gov or by phone/mail
- Division Review: DOI reviews complaint and contacts insurer or producer
- Investigation: Division investigates and requests documentation
- Response Required: Insurer/producer must respond within specified time
- Resolution: DOI facilitates resolution or takes enforcement action
- Follow-up: Division tracks outcome and consumer satisfaction
Common Complaint Types
- Premium disputes and billing issues
- Claims handling and delays
- Policy cancellations and non-renewals
- Producer misconduct or misrepresentation
- Coverage disputes
Exam Tip: The Nevada Consumer Services hotline is (888) 872-3234. The licensing line is (775) 687-0700, option 2. These numbers appear on exams.
How is the Nevada Commissioner of Insurance selected?
What type of rate regulation system does Nevada use for most P&C insurance?
What is the consumer services hotline number for the Nevada Division of Insurance?