State regulators, legislators and even a consumer advocate group expressed alarm last week over efforts in Congress to usurp some insurance oversight power, warning that federal lawmakers are going too far in preempting local authority over the industry.

The National Association of Professional Insurance Agents fears that a provision in the House version of health care reform legislation would allow a federal agency to crowd out insurance agents as marketers of health care products.

The House Democratic leadership proposed health care reform legislation that includes a public option at an estimated cost of $894 billion over 10 years.

Legislation to control non-bank firms large enough to pose systemic financial risk should complement not displace state regulation, an insurance commissioner told House lawmakers.

Compromise legislation proposed by the Obama administration and Rep. Barney Frank, D-Mass., would give federal banking regulators broad authority to regulate large, troubled insurers as well as resolve them, as necessary.

A proposal to allow the Treasury Department to enter into "international agreements" on solvency measures is drawing strong objections from state insurance regulators

Any legislation creating a Federal Insurance Office will include a strong role for the Treasury Department in negotiating international insurance agreements, the leadership of the House Financial Services Committee made clear.

American International Group said in a filing with the Securities and Exchange Commission that it has paid $12.1 million in past-due executive retention payments, including $4 million to four top employees.