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PIA 2006 Federal Legislative Summit - Issues Focus

Opposition to proposals for optional federal charters and support for a public-private natural catastrophe plan top the list of issues on the minds of PIA...
April 4, 2006

Opposition to proposals for optional federal charters and support for a public-private natural catastrophe plan top the list of issues on the minds of PIA members, as they embark upon the 2006 PIA Federal Legislative Summit April 5-6 in Washington, D.C.

"This year has seen a renewed push by advocates of federal insurance regulation to revive a proposal that has fortunately languished since it was first introduced in the Senate in 1976, optional federal charters for insurers," said PIA National Executive Vice President & CEO Len Brevik. "It needs to stay dead. PIA supports state-based functional regulation of insurance. PIA opposes an optional federal charter and supports modernization of the state system."

Congress is expected to begin consideration soon of a natural catastrophe plan. Several proposals are being discussed. In September 2005, the PIA National Board of Directors unanimously endorsed creation of such a plan, one that is national in scope and structured as a federal-state-private partnership.

"Our members and their clients in the Gulf Coast states have suffered greatly as the result of hurricanes, especially Hurricane Katrina," said PIA National Vice President/Treasurer Robert Page of Houma, Louisiana. "Now in 2006, the time has come for a serious national discussion on comprehensive natural disaster preparedness."

Other issues PIA members will focus on during the two-day summit include long-term solutions for terrorism insurance, reform of the National Flood Insurance Program (NFIP) and crop insurance.

For a complete overview of the 2006 PIA Federal Legislative Summit including a schedule of events, click here.