If you would like to take action on any of the issues below, please visit the RIMS Legislative Action Center. The Legislative Action Center tutorial can be found here.
Non-admitted and Reinsurance Reform Act of 2009 (Surplus Lines Bill)
RIMS supports the passage of the “Non-Admitted and Reinsurance Reform Act”, which has been reintroduced in the House by Representative Dennis Moore (D-KS), and in the Senate by Senator Sen. Evan Bayh (D-IN), Sen. Bill Nelson (D-FL), and Sen. Mike Crapo (R-ID). This bill passed the House of Representatives for the third time on September 9, 2009. No action has yet been taken in the Senate.
National Insurance Consumer Protection Act (NICPA)
U.S. Representatives Melissa Bean (D-IL) and Ed Royce (R-CA) introduced the National Insurance Consumer Protection Act on April 2, 2009. The NICPA authorizes the National Insurance Commissioner to issue charters for national insurers for both life and property and casualty insurance as well as reinsurance. The bill establishes federal regulatory framework which will be optional for certain insurers and mandatory for those deemed systemically important. RIMS believes this legislation assures a stronger and more comprehensive federal oversight and provides a more efficient delivery system of insurance products to consumers at potentially more affordable prices.
Optional Federal Charter
RIMS has strongly supported the concept of an Optional Federal Charter which would permit insurers to choose whether to take out a federal charter, exempting them from most state insurance regulations, or to continue under a state charter and the 50 state system of insurance regulation. RIMS has been a long-time proponent for an optional federal structure because the ability to achieve national treatment would enable a single charter insurer to do business in all states and avoid higher costs of state regulation due to the need to comply with a multitude of regulators. This would ensure a greater supply of insurance and lower cost to consumers as insurance companies compete on a national scale.
Federal Insurance Office
RIMS supports this legislation which would would establish the nation's first federal insurance office. The FIO would be the first centralized authority on insurance matters and would enable the federal government to gain an insurance expertise as well as speak with one voice on international insurance policy. This legislation was passed in the form of HR 2609 by the House Financial Services Committee on December 2, 2009.
Medicare Reporting Requirements
RIMS filed comments with CMS on the data-reporting requirements, raising issues about the ability to obtain required social security numbers as well as questions about reporting structured settlements, document retention, handling claims with multiple insurance carriers, and costs of compliance.
An industry coalition, the Medicare Advocacy Recovery Coalition (MARC), in which RIMS has been participating, has been working on obtaining a delay in implementing the reporting requirements. CMS recently announced a three month delay in implementation of the MSP reporting process (until January 1, 2010) and established an interim reporting threshold of $5,000 which is phased down to $600 beginning January 2012. MARC now plans to address other implementation issues raised by the MSP program.
RIMS position is to advocate for an extension of time for non-GHP compliance and for modification of onerous reporting requirements.
RIMS Comments to CMS on this issue can be found here.
For RIMS full position statement on this issue click here.