Rep. Balkcom files bill in North Carolina House on insurance holding company regulations

A new bill filed by State Rep. Jennifer Balkcom seeks to uphold North Carolina’s Department of Insurance accreditation by implementing capital and liquidity testing standards for insurance holding companies, according to the North Carolina State House.

The bill, filed as HB 358 on March 10 during the 2025 regular session, was formally listed with the short title: ‘Maintain NAIC Accreditation of DOI.-AB’

The following is our breakdown, based on the actual bill text, and may include interpretation to clarify its provisions.

In essence, this bill aims to maintain the NAIC accreditation of North Carolina’s Department of Insurance by implementing group capital calculation and liquidity stress test requirements for insurance holding company systems. It mandates the annual filing of a group capital calculation report by the ultimate controlling person of every insurer subject to state registration, with certain exemptions. The bill also requires the inclusion of insurer entities in the NAIC liquidity stress test framework and adherence to its reporting standards. It prohibits the dissemination of information related to group capital calculations and liquidity stress test results unless correcting materially false information. The bill also includes confidentiality clauses and conditions for information sharing between state, federal, and international regulatory bodies. The act becomes effective January 1, 2026.

A related bill, SB 51, was also filed in the North Carolina Senate, introduced by Sen. Todd Johnson (and two others) on Feb. 4, 2025.

Of the three sponsors of this bill, Mitchell S. Setzer and Balkcom proposed the most bills (15) during the 2025 regular session.

Bills in North Carolina follow a multi-step process before becoming law. A lawmaker starts by filing a bill, which is assigned to a committee for review. The bill must be read three times in each chamber. If one chamber changes the bill after the other passes it, both must agree on the final version. Once both chambers approve the same bill, it goes to the governor, who has 10 days (or 30 if the legislature is not in session) to sign, veto, or let it become law without a signature.

You can read more about the bills and other measures here.

Balkcom graduated from Blue Ridge Community College in 2016 with an AA.

Balkcom, a Republican, was elected to the North Carolina State House in 2023 to represent the state’s 117th House district, replacing previous state representative Timothy Moffitt.