RIMS congratulates U.S. Reps. Melissa Bean, D-Ill., and Ed Royce, R-Calif., in introducing the National Insurance Consumer Protection Act (NICPA) yesterday. RIMS supports efforts to address the antiquated state system of insurance regulation, which increases costs to commercial insurance buyers—represented by RIMS and who are the primary purchasers of commercial insurance.
The Society is pleased to see that 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.
The new regulatory framework designed by this legislation balances two policy goals:
- It assures stronger and more comprehensive federal oversight; and
- It provides a more efficient delivery system of insurance products to consumers at potentially more affordable prices.
RIMS looks forward to working with Reps. Bean and Royce to pass this legislation.