Eight industry trade groups--including the American Insurance Assn., Council of Insurance Agents and Brokers and the Reinsurance Assn. of America--support an optional federal insurance charter in a recent letter to key members of Congress. The letter, which was sent to the leadership of the Senate Banking Committee and the House Financial Services Committee, asks members to consider the proposal as the committees deal with legislation creating a systemic regulator with authority to oversee all financial services firms. While stating that "state insurance regulation should remain available for those who choose it," the letter stated that strong and uniform federal regulation and supervision of insurance companies, producers and holding companies "would reduce costs and risks to consumers and the economy." The letter also called for creation of a federal guaranty agency, and said a systemic regulator should work through the federal insurance regulator.
From the June 2009 issue of American Agent & Broker • Subscribe!
Industry IQ: Eight industry groups support optional federal charter
Eight industry trade groups--including the American Insurance Assn., Council of Insurance Agents and Brokers and the Reinsurance Assn. of America--support an optional federal insurance charter in a recent letter to key members of Congress. The letter, which was sent to the leadership of the Senate Banking Committee and the House Financial Services Committee, asks members to consider the proposal as the committees deal with legislation creating a systemic regulator with authority to oversee all financial services firms. While stating that "state insurance regulation should remain available for those who choose it," the letter stated that strong and uniform federal regulation and supervision of insurance companies, producers and holding companies "would reduce costs and risks to consumers and the economy." The letter also called for creation of a federal guaranty agency, and said a systemic regulator should work through the federal insurance regulator.
