The U.S. government would have much greater ability to open new markets to U.S. insurance companies if Congress grants President Bush “Trade Promotion Authority,” the American Insurance Association says.
John Savercool, vice president of federal affairs with the Washington-based AIA, calls Trade Promotion Authority the “crown jewel” of all the trade bills pending before Congress.
Under TPA, previously called “fast track,” Congress would still have the authority to approve trade agreements negotiated by the administration, but could not amend them.
This is important, Savercool says, because many of Americas trading partners have been leery about entering into agreements with the United States because of the potential for Congress to change them.
Sometimes, he says, members of Congress seek changes in trade agreements over issues that are unique to their districts. This makes it more difficult for the U.S. to negotiate market-opening trade agreements, Savercool says.
TPA, he says, is thus an important tool for opening overseas markets to U.S. insurers.