Indeed, the new group of insurance commissioners could offer a voting block that will be more supportive of consumer protections, according to one consumer advocate, Kevin Hennosy, chairman of SpreadtheRisk.org in Kansas City, Mo.

At least 23 new governors were elected, which could lead to changes in the insurance commissioners in those states where the post is appointed.

Perhaps the most closely watched race for governor among insurers was in Kansas, where Democrat Kathleen Sebelius, insurance commissioner and former president of the National Association of Insurance Commissioners, handily won against her Republican opponent, Republican State Treasurer Tim Shallenburger, by a 53-to-45 percent margin.

In addition, four elected insurance commissioner posts were in play, producing one new face, two familiar faces, and one that resurfaced after seven years away from insurance regulation.

The new face--Sandy Praeger, a Kansas Republican--will fill the spot being vacated by Ms. Sebelius. In Georgia, John Oxendine, a Republican, was reelected for a third term, while Carroll Fisher, a Democrat from Oklahoma was reelected for a second term.

In California, John Garamendi, a Democrat who frequently clashed with insurers during a prior term as commissioner, beat his Republican opponent, Gary Mendoza. California is closely monitored by insurers because its legislature is addressing critical insurance issues that include long term care oversight, privacy protections, and workers' compensation reform.

Mr. Garamendi has expressed an interest in working with insurers and starting anew, according to representatives from the American Insurance Association in Washington, and the National Association of Independent Insurers, based in Des Plaines, Ill.

In his last term in office, his implementation of Proposition 103--a ballot initiative that ordered insurers to give auto premium rebates to policyholders--created severe tensions between Mr. Garamendi and insurers.

California's legislature is going to continue to present challenges to many business interests in California, according to industry trade groups.

Moderate Democrats will not be as strong a presence going forward in the state, and a more liberal legislature could act very quickly to pass privacy restrictions harmful to insurers, according to Bruce Ferguson, vice president of state relations with the Washington-based American Council of Life Insurers.

Mr. Ferguson suggested the California legislature could try to put privacy legislation in place earlier than any action by Congress, thus setting the benchmark for a national standard.

In Illinois there could be "pent up demand for additional insurance regulation," according to John Lobert, senior vice president of state government affairs with the Alliance of American Insurers in Downers Grove, Ill.

In Illinois the Democratic sweep over a longstanding Republican-controlled legislature--as well as a new Democratic governor, Rod Blagojevich, and attorney general--will create a different political climate, and could result in the appointment of a new insurance director to replace Nat Shapo, a Republican, according to industry observers.

Such an appointment, according to industry representatives, would create a hole in NAIC leadership since Mr. Shapo is slated to assume the number-two post of vice president. However, the reelection of Arkansas Governor Mike Huckabee will ensure that Mike Pickens, Arkansas insurance commissioner, becomes NAIC president during the winter meeting in San Diego next month.

The deregulation of the insurance market in Illinois might end as a result in the shift in power, said Mr. Hennosy of SpreadtheRisk.org. Indeed, the momentum might shift towards more regulation, including over ratemaking, said Roger Schmelzer, vice president of regulatory affairs with the National Association of Mutual Insurance Companies in Indianapolis.

In addition to Illinois, 14 other states elected new attorneys general--a position that insurers are careful to monitor given a history of suits that have been brought by individual states over insurer sales practices.

In Florida, a newly created post of chief financial officer won by Tom Gallagher, the current insurance commissioner, will leave the top insurance regulatory spot vacant. Mr. Gallagher and reelected Governor Jeb Bush will make an appointment to the post.

In Texas, State Rep. David Counts, D-Knox City, former president of the National Conference of Insurance Legislators and chair of the insurance task force of the National Conference of State Legislatures, was not reelected.

Rep. Counts has been an NCOIL member since 1988, and the loss of his experience on insurance matters will be keenly felt, according to Robert Mackin, executive director of NCOIL, based in Albany, N.Y.

Although Republican Governor Rick Perry was elected in Texas to keep the post he assumed when George W. Bush won the presidency two years ago, another key state official--Speaker of the House Pete Laney, a Democrat--was not reelected.

Mr. Laney's defeat could mean that regulation of county mutual associations could be reexamined, according to Robert Zeman, senior vice president and assistant general counsel with the NAII. Currently, he explained, county mutuals are regulated for forms, but not for rates.

Jim Connolly is a senior editor with NU's Life & Health/Financial Services edition.