INSURANCE HOLDING COMPANY LAW CHANGES

SB 277 amends New Mexico's Insurance Holding Company Law to strengthen oversight of large insurance groups. It requires insurance holding companies with international operations to file annual enterprise risk reports detailing potential financial threats to their systems and mandates the creation of regulatory "supervisory colleges" to coordinate oversight across states. The bill adds key definitions like "enterprise risk" (activities that could materially harm an insurer's finances) and clarifies requirements for "liquidity stress tests" to assess financial stability. These changes directly affect major insurance holding companies operating across state lines, particularly those with significant international business. The bill passed committee in March 2025 but was postponed indefinitely on June 3, 2025.