The National Association of Professional Insurance Agents (PIA) is calling on legislators to fully repeal the Federal Insurance Office (FIO).
The PIA is pointing to the opportunity presented by the impending Republican majority in both the House and the Senate to re-evaluate significant aspects of the regulatory framework for insurance.
“With Congress poised to significantly roll back key provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act, we ask that they repeal the FIO,” PIA National Vice President of Government Relations Jon Gentile said. “A June 2013 report issued by the Government Accountability Office found that the state-based system of insurance regulation helped to mitigate the negative effects of the financial crisis on our industry. This report highlights the unnecessary bureaucracy that the FIO represents.”
The Republican legislators beginning their terms of office in January will likely focus on financial regulatory reforms including tax cuts, and the pursuit of policies that will benefit businesses in the U.S.
“If the goal is to eliminate unnecessary federal regulation, getting rid of the FIO makes good sense,” Gentile said. “Doing so would reaffirm that regulation of insurance should continue to be the responsibility of the states. PIA will also remain vigilant in its efforts to ensure that no new paths to the federal regulation of insurance are created as part of any Dodd-Frank rollback.”