NU Online News Service, Feb. 25, 2004, 4:23 p.m. EST, Washington – A House Financial Services subcommittee may be moving more aggressively on insurance regulatory reform that previously thought.[@@]
The subcommittee could have an incremental reform bill drafted by the end of March.
Several sources have told National Underwriter that the Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises, which is chaired by Rep. Richard Baker, R-La., is beginning to draft a detailed set of reform principles that could become the basis of legislation.
These principles will reflect Baker’s preference for incremental reform as opposed to optional federal chartering, but they will call for a significant amount of uniformity and regulatory relief for the insurance industry, the sources say.
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The expectation is that the principles will be circulated to industry groups, state insurance commissioners and other interested parties before a hearing expected to take place during the week of March 29.
The sources say that, if the reaction is favorable, the subcommittee could have a markup by Memorial Day.