Insurance

Insurance is a complex and important part of the U.S. financial industry with more than $6.3 trillion in assets under management and $1.23 trillion in annual premiums. Modernizing the overall regulatory treatment of insurance is a must. Protecting against the risks certain sectors of the industry may pose and address the greater sensitivity that some industry segments have to external events is also examined.

Unlike other financial sectors that have evolved over time to include some degree of Federal and State regulation, States alone continue to have the primary authority to regulate insurance today. For that reason, Congress has historically only passed insurance legislation to respond to a crisis, address a market failure, or adopt narrowly-focused insurance reforms.