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Defund the FIO Study

PIA is advocating that Congress defund a study of insurance regulation slated to be conducted by the new Federal Insurance Office (FIO). We are objecting...
March 1, 2011

PIA is advocating that Congress defund a study of insurance regulation slated to be conducted by the new Federal Insurance Office (FIO). We are objecting to the FIO conducting the study of, as the law currently states, the "benefits" of federal insurance regulation across multiple lines and making recommendations to Congress, because such a study by FIO will be biased in favor of federal regulation.

Additional impetus for PIA's argument on the FIO study is how the Treasury Department is treating Missouri Insurance Director John Huff, a member of the Financial Stability Oversight Council (FSOC). Huff was nominated to the 18-member body by the National Association of Insurance Commissioners (NAIC), as provided by law. But Treasury has blocked Huff from sharing FSOC information with other state regulators and his own staff in Missouri. Treasury
contends Huff only represents Missouri on the panel, despite the fact that the law says NAIC makes the appointment. NAIC President Susan Voss says Treasury is disrespecting all the state insurance commissioners by doing this.

This shabby treatment afforded state regulators by the feds is another reason why funding for a study of the "benefits" of federal insurance regulation should be stripped by Congress from Treasury's new Federal Insurance Office (FIO). PIA's call to defund the FIO study is the subject of an article by PIA's Ted Besesparis in the March 2011 issue of American Agent & Broker magazine.

Click here to read PIA: Defund the FIO Study (American Agent & Broker 3/2011)