Statement from BAM Re: Acceptance to NAIC REACAP PROJECT for Nationwide Licensing
NEW YORK, September 04, 2012
Build America Mutual Assurance Company (BAM) is pleased to announce that the National Association of Insurance Commissioners (NAIC) has accepted BAM's request for a coordinated insurance company licensing application review under its Review of Electronic Application Coordination and Processing (REACAP) Project.
“We believe that the NAIC’s coordination of the licensing process will greatly enhance the efficiency and timeliness of securing nationwide licenses,” said Michael J. Moriarty, Head of Regulatory Oversight and Compliance for BAM. BAM, which is licensed in the State of New York, has submitted applications for licenses in all states.
Applications that are accepted into the REACAP program will have the timing, technology and substantive processing of the application review monitored by the National Treatment and Coordination Working Group, which is the NAIC group charged with overseeing the REACAP project. BAM has committed to offering financial guaranty insurance on U.S. municipal bonds nationwide, to file its licensing applications electronically, and to work with the states and the Working Group during the application review process.
In applying for admission to the program, BAM outlined for the Working Group's consideration the national and regional market need for financial guaranty insurance to lower the cost of financing essential public infrastructure (particularly for smaller and less frequent issuers), the lack of capacity in the current marketplace, BAM's unique public/private partnership, its robust financial condition as evidenced by the AA rating from Standard & Poor's, and the deep experience of BAM's management team in the municipal financial guaranty industry.
Domiciled in New York, Build America Mutual Assurance Company is a mutual bond insurer of essential public purpose U.S. municipal bonds, exclusively. Our members are the cities, states and other municipal agencies issuing bonds with Build America Mutual’s guaranty to lower their cost of borrowing. BAM, which is licensed in the State of New York, is permitted to write business in many jurisdictions throughout the United States. BAM is not yet authorized to do business in California and certain other states. BAM’s website address is www.BuildAmerica.com.