FOR IMMEDIATE RELEASE
NAIC Responds to Treasury/EU Deal
WASHINGTON, D.C. (Jan. 13, 2017) —State insurance regulators and attorneys from the National Association of Insurance Commissioners (NAIC) are reviewing the agreement between the U.S. federal government and the European Union (EU). The review will seek to ensure consumers remain protected and U.S. companies are not competitively disadvantaged relative to foreign insurers.
"After more than a year of secret meetings it’s disappointing that in the waning days of the administration we are finally seeing the details of what purports to be a covered agreement between the U.S. and EU," said Ted Nickel, NAIC President and Wisconsin Insurance Commissioner. "As most state regulators were not allowed to participate in the process, the NAIC is coordinating a thorough review of the agreement to ensure consumer protections are not compromised through the preemption of state law, and we encourage Congress to do the same. Of great concern is the potential to use this agreement as a backdoor to force foreign regulations on U.S. companies."
A covered agreement is a specific type of international agreement, defined by the Dodd-Frank Act, negotiated jointly by the U.S. Treasury's Federal Insurance Office (FIO) and the United States Trade Representative (USTR) with foreign authorities. The NAIC will support its members in determining if the agreement meets the threshold of a covered agreement under law and what potential impact the agreement may have on U.S. consumers and companies.