Consumer Protection and Regulatory Modernization Act, that’s the name of the bill and I have not read it all but it sure sounds Orwellian. The bill introduced by Ed Royce of California and Melissa Bean of Illinois, who also received most of their campaign contributions from the insurance industry was first introduced as the National Insurance Act of 2007.
Requires the Commissioner to supervise national insurers and national agencies, including chartering and licensing. Removes them, as well as federally licensed insurance producers, from state oversight of insurance business practices.Authorizes the Commissioner to provide for the organization, operation, and regulation of National Insurance Companies and National Insurance Agencies, including U.S. branches of non-U.S. Insurers.Requires national insurers to obtain a federal license.Provides for conversion of state insurers to national insurers or state insurance agencies to national agencies, and vice versa.
We shall see if it goes anywhere this time but I can’t imagine it would be good for consumers to replace local state control with national control.
{ 0 comments… add one now }