Industry News
July 20, 2010
Federal Insurance Office in Financial Reform Package
A new Federal Insurance Office ("FIO") is created by the financial reform legislation within the Treasury Department. The main purpose of the FIO seems to be handling issues of international insurance and negotiating international insurance agreements with other countries. However, the FIO is given oversight to look into insurance issues that might contribute to systemic risk and make recommendations to the Financial Services Oversight Council charged with addressing systemic risk. The FIO does not have any regulatory authority but questions are already being raised as to whether this will be the first step towards Congress setting up a federal regulatory scheme for insurance.
