Market Regulation Market Conduct Annual Statement The Market Conduct Annual Statement (MCAS) was developed through the National Association of Insurance Commissioners (NAIC) with the input of state regulators and representatives from the industry. The MCAS is designed to provide analysis of certain key market performance data that will help regulators allocate market regulation resources where they can be most effective. It is an analysis tool that states use to review market activity of the insurance marketplace in a consistent manner and to identify companies whose practices are outside normal ranges. For more information about the MCAS, please visit: www.naic.org/industry_market_conduct_statement.htm Market Conduct Annual Statement Industry Averages The statewide averages and charts (a.k.a. scorecards) for all participating MCAS jurisdictions can be viewed on the webpage http://www.naic.org/industry_mcas_states.htm#nc. The data indicates where the number of reporting companies whose ratios fall within various ranges can be found are for informational purposes only and do not represent standards for market behavior. This information does not establish compliance or non-compliance.