What is the time frame covered in market conduct examinations?

Market conduct examinations typically focus on a period of two full calendar years prior to the date of the examination. This time frame is significant because it provides a comprehensive understanding of the insurer's practices, allowing regulators to assess compliance and the overall conduct of the insurer within the market during that specific period. By analyzing two full years, examiners can obtain enough data to identify patterns, trends, and potential issues while also ensuring that their findings reflect the most relevant and current regulatory environment.

This approach helps to balance the need for thoroughness with practicality, as examining an extended period could lead to unnecessary complexities and resource burdens for both the regulator and the insurer. The specific focus on two years also enables regulators to establish a consistent and fair assessment framework across different examinations.