FOR IMMEDIATE RELEASE
NAIC TESTIFIES BEFORE CONGRESS
ON DODD-FRANK IMPLEMENTATION
WASHINGTON, D.C. (Nov. 16, 2011) — Today the National Association of Insurance Commissioners (NAIC) reaffirmed the strengths of state-based regulation at a hearing of the House Financial Services Subcommittee on Insurance, Housing and Community Opportunity. Joseph Torti, III, Rhode Island Deputy Director and Superintendent of Insurance and Banking, testified on behalf of the NAIC.
The chair of the subcommittee, Congresswoman Judy Biggert (R-Ill.), commended the work of state regulators and affirmed that insurance continues to be a growing and vibrant source of financial security for many Americans.
"State insurance regulation has been subject to stringent review at the federal level many times, and this type of review is healthy for our system," said Torti. "But it is critical that scrutiny of our system be balanced against the strengths that helped the insurance sector weather the financial crisis far better than others."
The focus of the hearing was on three legislative proposals before the committee that would modify the Dodd–Frank Wall Street Reform and Consumer Protection Act as it relates to insurance regulation. Torti's testimony emphasized the collaborative relationship between state regulators and the federal agencies that supervise other financial sectors.
"To be clear, the NAIC has no position on the Dodd-Frank Act or any current legislative proposals to modify it," testified Torti. "The NAIC does, however, strongly believe that the implementation of Dodd-Frank by the federal financial agencies or any legislative efforts to amend it should reflect the strength of our national state-based system of insurance regulation."
Click HERE to view Superintendent Torti's testimony.
Click HERE to visit the NAIC's special section on Dodd-Frank implementation.