Michael McRaith, director of theFederal Insurance Office (FIO), is moving aggressively to reducethe differences between European and U.S. insurance regulatory andsupervisory schemes.

McRaith met July 11 in Frankfurt, Germany with officials of theEuropean Insurance and Occupational Pensions Authority (EIOPA), andindustry officials in Washington said he told them before he leftthat he hopes to have a template in place by November for smoothingover differences between the two regulatory schemes.

Also at that meeting were Susan Voss, Iowa commissioner andimmediate past president of the National Association of InsuranceCommissioners (NAIC), and NAIC Executive Director TerriVaughan.

Industry lawyers and lobbyists familiar with McRaith’s visit saythey believe the U.S. will likely have to agree to some uniformcollateral requirements for foreign insurers beyond the ability ofthe NAIC to enforce in order to facilitate an even playing fieldfor U.S. insurers doing business in Europe.

According to EIOPA Chairman Gabriel Bernardino, the EU and theU.S. began the talks in order to increase mutual understanding andcooperation with a view to identifying the main commonalities anddifferences of the two insurance regulatory and supervisoryregimes.

Bernadino said the next Steering Committee meeting is scheduledfor October in Washington.

Meanwhile, rumors are circulating that the Obama administrationwill release over the August congressional recess the long-delayedreport on insurance modernization that the FIO and McRaith havebeen working on. Difficulties in cooperation between FIO and theU.S. Trade Representative (USTR) over who will primarily representthe U.S. on international insurance issues are delaying the report,industry lobbyists and officials say.