Officials from the Financial Services Roundtable (FSR) called on Congress to pass insurance legislation that reduces regulatory overlap and maintains the competitiveness of the United States in global markets.
“The goal of FSR and its members is to ensure that the financial system can effectively serve consumers and businesses while maintaining the soundness of the broader market,” Anthony Cimino, head of government affairs at FSR, said. “We can achieve this objective when regulators carefully implement new regulations to ensure they are tailored to market needs and avoid regulatory duplication.”
Cimino mentioned two bills that support this notion — H.R. 3179, the Transparency and Accountability for Business Standards Act, and H.R. 3746, the Business of Insurance Regulatory Reform Act.
The Transparency and Accountability Act, sponsored by Rep. Trey Hollingsworth (R-IN), would require federal banking agencies to offer a rationale and supporting research when proposing prudential standards that are different than international standards. In many cases, U.S. standards are out of step with international standards, putting American companies at a competitive disadvantage.
The Business of Insurance Regulatory Reform Act, sponsored by Reps. Sean Duffy (R-WI) and Gwen Moore (D-WI), would clarify the Consumer Financial Protection Bureau’s authority. Further, it would establish that insurance regulation is the purview of state insurance regulators.
Cimino said FSR will work with lawmakers to push these bills forward.