A Massachusetts federal district court ruling may bring to an end state regulatory efforts to impose tight restrictions on bank sales of insurance.[@@]
The U.S. District Court in Boston has issued a declaratory judgment in favor of banks that sought an end to state rules placing procedural roadblocks to the way banks could sell insurance.
The ruling caps a long battle pitting state bank and insurance regulators against the federal regulatory authorities and banks that were trying to end the restrictions.
A spokesman for the Massachusetts insurance regulators said they were reviewing their options.
“Today’s decision brings Massachusetts in line with most of the states throughout the nation,” said Daniel J. Forte, president and chief executive officer of the Massachusetts Bankers Association.