The U.S. House of Representatives on Wednesday passed the Transparent Insurance Standards Act, which directs federal regulators to solicit public comments, consult with state officials, and report to Congress before adopting international capital standards for U.S. insurance companies.
The bill was sponsored by U.S. Rep. Blaine Luetkemeyer (R-MO), chairman of the Subcommittee on Housing and Insurance. It passed by a vote of 239-170.
Backers of the bill said the legislation was necessary to ensure that U.S. federal regulators, who generally have less experience in insurance regulation than states do, are not swayed to vote for European Union-based International Association of Insurance Supervisors standards that disadvantage U.S.-based companies or consumers to advance global relations.
“H.R. 5143 provides greater transparency, it allows for a stronger Team USA in negotiations, it sends a signal to foreign governments and international organizations that the U.S. again will lead and not be led into bad agreements,” said U.S. Rep. Jeb Hensarling (R-TX). “With the greater congressional oversight the bill provides, we can ensure that any deal that is reached will be a fair deal and a good deal for the American people.”