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Regulation and Compliance > Federal Regulation

Group Presents OFC Proposal To Treasury

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Members of the Financial Services Roundtable met with Treasury officials today and called for enactment of an optional federal charter system.

The FSR, Washington, issued a collection of proposals that included the OFC recommendation before they went into the meeting.

The FSR and other OFC advocates want the government to let insurers choose between state regulation and national regulation, rather than requiring them to stick with the current state regulatory system.

The Treasury, Congress and federal financial regulators already “have taken extraordinary actions that, when fully implemented, will help stabilize and restore financial markets,” the FSR says.

But “additional actions are needed now to strengthen our financial markets to avoid a global economic recession,” the FSR says. “In every instance, the regulators and Congress should leverage private-sector resources to aid the implementation of these initiatives.”

Enacting an OFC system is an “intermediate” goal that Congress should adopt in 2009, the FSR says.

The FSR lists creating an Office of Insurance Information within the Treasury Department as an immediate goal.

The FSR OII proposal is similar to an OII proposal included earlier this year in a bill introduced by Rep. Paul Kanjorksi, D-Pa.