Overview
For more than 100 years, insurance has been regulated by the states, with each state having its own unique regulatory system. It's a cumbersome patchwork of laws and regulations characterized by delays and expenses that ultimately disadvantage consumers. Further, consumer safeguards vary and products available in one state may not be available in another. An optional federal charter would create a uniform, consistent system that would remove barriers to consumer choice and offer consumers the same protections nationwide.
ACLI Position
ACLI strongly supports legislation to create an optional national regulator for insurers. The National Insurance Act of 2007 (S. 40), was reintroduced in the 110th Congress by Sens. John Sununu (R-N.H.) and Tim Johnson (D-S.D.) in May 2007. H.R. 3200, House legislation that closely parallels S. 40, was introduced by Reps. Melissa Bean (D-Ill.) and Ed Royce (R-Calif.) in July.
In addition to advancing optional federal charter legislation , ACLI continues to work closely with the National Association of Insurance Commissioners (NAIC) to make the current state-based system of life insurance regulation more efficient.