AI governance for Alaska insurers
The Alaska Division of Insurance issued Bulletin B 24-01 on February 1, 2024, the first state to adopt the NAIC Model Bulletin on the Use of AI Systems by Insurers. It reminds insurers that any decision or action impacting consumers must comply with Alaska insurance law, including the unfair trade practices and unfair claims settlement statutes, regardless of whether an AI System supported it. The Division expects every insurer to maintain a written AIS Program sized to the harm a model could cause, and it recognizes the NAIC's 2020 AI Principles as appropriate guidance. The bulletin reaches the full insurance life cycle, from product development through claims and fraud detection.
What Alaska expects from your AIS Program
Alaska adopted the NAIC model verbatim, so the program expectations match the national framework.
Governance
A written program with clear ownership. Senior management is accountable to the board, and a cross-functional body oversees AI across its whole life cycle.
Risk Management & Internal Controls
Controls at every stage of the model life cycle, from data sourcing through retirement, sized to the potential harm to consumers.
Third-Party AI Systems & Data
The insurer stays responsible for AI it did not build. Vendor relationships need diligence, contract rights, and the ability to produce evidence.
Documentation & Audit-Readiness
Section 4 spells out what an examiner can ask for. Treating that list as a standing requirement is what keeps a program defensible.
Legal authority
The Alaska Division of Insurance grounds the bulletin in laws it already enforces:
- Unfair Trade Practices Model ActAS 21.36.010 - 21.36.120 and AS 21.36.130 - 21.36.920
- Unfair Claims Settlement Practices ActAS 21.36.125
- Property and Casualty Model Rating LawAS 21.39.010 - 21.39.070
- Corporate Governance Annual Disclosure Model ActAS 21.09.400 - 21.09.460
Who it applies to
The bulletin reaches every entity holding a Alaska certificate of authority, including:
- Property and casualty insurers
- Life and annuity insurers
- Health insurers and HMOs
- All insurers holding an Alaska certificate of authority
State-specific changes: Alaska tracks the NAIC model and lets the AIS Program adopt, incorporate, or rely on a recognized framework such as the NIST AI Risk Management Framework, in whole or in part. The core program expectations match the national framework.
Resources for Alaska insurers
Start with these plain-language explainers and field guides.
What is the NAIC Model Bulletin on AI?
The NAIC Model Bulletin on the Use of AI Systems by Insurers is the template most states use to set AI governance expectations. Here is what it says and why it matters.
GuideWhat is an AIS Program?
An AI Systems Program (AIS Program) is the written program the NAIC Model Bulletin expects every insurer to maintain. Here are its four pillars and what each one requires.
GuideWhat are the NAIC AI Principles?
The NAIC AI Principles, adopted in 2020, are the foundation beneath every state AI bulletin. The five principles spell FACTS: Fair, Accountable, Compliant, Transparent, and Secure.
GuideAI in Insurance: Key Regulatory Definitions
The NAIC Model Bulletin defines the terms that carry legal weight, from AI System to Adverse Consumer Outcome to Model Drift. Here is what each one means for insurers.
ArticleInsurance Regulators Are Forcing AI Governance. Most Carriers Aren't Ready.
State insurance regulators and bar associations are sounding the alarm on AI in insurance. Legal and regulatory pressure is forcing insurers to operationalize AI governance, not just document it.
ArticleThe NAIC Bulletin Is the Floor Your Reinsurer Will Hold You To
Twenty-four jurisdictions have adopted the NAIC Model Bulletin on AI. Most carrier compliance teams are working to the regulatory text. Their reinsurers will use the same document as an evidentiary baseline at the next placement, and the cedent that meets the floor and stops there is preparing for the wrong audience.
Alaska AI governance FAQs
What is Alaska Bulletin B 24-01?
Which companies have to comply in Alaska?
Can our AIS Program use the NIST AI Risk Management Framework?
How will Alaska enforce it?
How does an Alaska insurer get ready?
Sources
- Alaska Division of Insurance - Bulletin B 24-01 (February 1, 2024)
- NAIC Model Bulletin on the Use of AI Systems by Insurers (December 4, 2023)
- NAIC Big Data and AI (H) Working Group - Model Bulletin implementation tracker
- AS 21.36 (Unfair Trade Practices and Unfair Claims Settlement Practices)
- AS 21.39 (Property and Casualty Model Rating Law)
- AS 21.09.400 - 21.09.460 (Corporate Governance Annual Disclosure Model Act)
Get audit-ready for Alaska Bulletin B 24-01
Swept AI supervises your models and produces the AIS Program evidence Alaska examiners can request.