Director of the
Department of Insurance and Financial Services, Pat McPharlin, impressed a
joint meeting of the Senate Insurance and Banking and Financial Institutions
committees. Governor Snyder appointed Mr. McPharlin as director in April
following years of experience as the CEO of the Michigan State University
Federal Credit Union.
Director McPharlin
stressed to the joint committee hearing that he would bring experience from the
community banking world to the Department of Insurance and Financial Services,
even stating that he expects to run the department as he has run community
banks in the past. During his time as the CEO of the Michigan State University
Federal Credit Union, the credit union won many community awards and Mr.
McPharlin was able to increase the assets of the credit union from $500 million
to $3 billion.
Throughout the
hearing, Mr. McPharlin responded quickly and intelligently to the questions
brought to him by the Senators on topics ranging from the use of personal data in
determining insurance rates to the use of different rules for in and
out-of-state foreclosures. The Director stated that his first goal is to ensure
open lines of communication between all three levels of the industry to his
department in an attempt to understand their issues and how they need to be
solved.
During his
questioning, Mr. McPharlin answered questions regarding the effectiveness of
his department such as: the average time spent on examinations, how DIFS could
partner with the Legislature on foreclosures, and the average time it takes to
resolve a complaint filed with the department. Director McPharlin also stated
that he is unsure exactly how he feels about predatory lending.