Does a ''revolving door'' between the industry and regulators prove that the insurance industry and the state regulatory systems are corrupt or that the insurance industry ''owns'' state regulators?
Not more so than any other heavily regulated industry.
Insurance regulation is a complicated business that requires a high degree of specialized knowledge of the industry and state regulations. Close ties between regulators and regulated are inevitable in any heavily regulated industry: The industry provides a pool of people who can understand the intricacies of its own regulation and former regulators will make very appealing hires for any company in the industry. The only way to avoid a revolving door is to deregulate the industry. An OFC would help accomplish that.
