The National Association of Professional Insurance Agents (PIA) trumpeted the reintroduction of S. 524, the Federal Insurance Office Abolishment Act.
Previously introduced in the 116th Congress, the bill was reintroduced by Sen. Ted Cruz, R-Texas.
The FIO was established as part of the 2010 Dodd-Frank law.
“Many of the FIO’s duties are examples of federal overreach in the context of our system of state insurance regulation,” PIA National President Wayne White said in a news release. “In addition, the FIO has consistently sought new ways to expand its mandate beyond the intent of Congress, which put specific limits on its authority.”
Since 2016, PIA has called for the repeal of the FIO.
Throughout the last decade, the FIO has called for federal regulation of mortgage insurance; for its inclusion in supervisory colleges with state regulators, and for uniform national standards for state guaranty associations. In addition, it seeks to administer the National Association of Registered Agents and Brokers (NARAB).
PIA believes each of these actions is an overreach. “As long as the office continues to exist, it will remain a very real threat to the successful state-based system of insurance regulation,” White said.