McRaith to Answer Congressional Questions on Role of FIO

NU Online News Service, Oct. 21, 12:00 p.m. EST

Michael McRaith will make his first congressional appearance as head of the fledgling Federal Insurance Office Tuesday when he testifies before a House subcommittee.

Members of the committee are expected to ask McRaith about how the FIO will stick to its legislative knitting as a provider of information to federal official, and not expand the office to include day-to-day oversight of insurers and agents.

The hearing will be held Tuesday at 2 p.m. by the Subcommittee on Insurance, Housing and Community Opportunity, chaired by Rep. Judy Biggert, R-Ill.

According to several industry officials, at the request of the Treasury Department there will be no questions regarding McRaith's views on legislative initiatives he thinks the administration should pursue.

One of McRaith's first jobs will be advising the Financial Stability Oversight Council on which insurers should be federally regulated as systemically significant.

He will also be charged with preparing a report to Congress on how insurance regulation can be modernized and improved.

The report is due in late January.

The FIO earlier this week published a request for comment on a number of topics to be covered in its report.

Some insurers have expressed concerns to members of Congress that the FIO's data-gathering initiatives may duplicate data-gathering mandates from other federal and state regulators, making it costly to insurers, especially smaller ones.