Regulation/Legislation

The G-20 meeting generated a number of proposals that if implemented would have a strong benefit for U.S. insurers, according to officials at an industry trade group.

In a report last week, the General Accounting Office advised Treasury to withhold $30 billion from American International Group until the company agrees to renegotiate contracts with employees and final counterparties.

Competing U.S. and Bermuda insurance interests have been ramping up lobbying efforts over a proposed tax code change that would impact Bermudian carriers U.S. profits.

Former American International Group Chief Executive Officer Maurice Greenberg arrived on Capitol Hill last week to tell a House panel how the government should fix AIG, but heard a congressman call him the wrong witness because of his own legal problems.

A unit of the European Union reached informal agreement last week on Solvency II, a broad framework to enhance insurer capital requirements and supervision. The action drew a positive response with reservations from some insurance segments.

Last week, the chairs of key Senate and House committees promised President Obama they will work together to have legislation on his desk by year's end creating a "new, more robust regulatory framework" for financial services firms.