PIA, along with other insurance industry stakeholders, sent a letter to congressional leaders in support of legislation to amend the Consumer Financial Protection Act of 2010 to clarify the Consumer Financial Protection Bureau’s (CFPB) regulatory authority within the business of insurance. CFPB was created in 2011 to protect consumers in the financial sector, and its jurisdiction includes banks, credit unions, and other financial institutions and companies operating in the United States.

Title X of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank) exempted the business of insurance from the authority of the CFPB’s regulatory jurisdiction, underscoring the role of states as the primary regulator of the insurance industry. Legislation to further clarify insurance’s exemption from CFPB regulation would prevent potential future attempts by the CFPB to involve themselves in the regulation of insurance and protect our state-based regulatory system.

PIA is committed to preserving the state regulation of insurance, which has benefited consumers and the industry for over a century. PIA strongly supports legislation that clarifies the exemption of the business of insurance from CFPB regulation and reaffirms the primacy of the state-based regulation of insurance.