You are here:HomeNews CenterInsurance News2011Federal Insurance Regulation Not On Radar of Congress

Federal Insurance Regulation Not On Radar of Congress

Sen. Jack Reed (D-R.I.), chairman of the Securities, Insurance & Investment Subcommittee of the Senate Banking Committee, recently told members of the National Conference of...
August 9, 2011

Sen. Jack Reed (D-R.I.), chairman of the Securities, Insurance & Investment Subcommittee of the Senate Banking Committee, recently told members of the National Conference of Insurance Legislators (NCOIL) that Congress does not have much interest in federal regulation of insurance.

"States are the regulators for insurance in the U.S.," said Reed. "I know in the past there have been some attempts to develop federal insurance charters, but that is not something that has a lot of traction today. We're going forward with the perception that insurance remains primarily a state function, with state regulation as the key."

Sen. Reed's comments are consistent with remarks by the chairwoman of the House Financial Services Subcommittee on Insurance, Housing and Community Opportunity, Rep. Judy Biggert (R-Ill.), who says optional federal charter legislation will not come to a vote in the current Congress. Leaders of PIA National met with Rep. Biggert in a private briefing and luncheon on March 31, 2011 on Capitol Hill. PIA leaders and staff briefed Chairwoman Biggert on PIA's issues, including our opposition to OFC and our strong support for state regulation of insurance. The next day, Rep. Biggert indicated in a press interview OFC won't get a vote.