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It’s the insurance industry’s worst nightmare–Congress seriously considering a bill to repeal its longtime exemption from federal antitrust laws. The mood on Capitol Hill towards the industry is ugly these days, in the wake of alleged mishandling of Hurricane Katrina claims. What do you think would happen if both the Justice Department and Federal Trade Commission were given authority over insurers? Would it seriously hinder the industry’s operations? Lower profitability? Would it hasten outright federal regulation?

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