International Insurance Capital Standards Accountability Act of 2017

Summary: International Insurance Capital Standards Accountability Act of  2017 This bill directs the Federal Reserve Board (FRB) to establish the Insurance Policy Advisory Committee on International Capital Standards and Other Insurance Issues. The bill prohibits the Department of the Treasury and the FRB from agreeing to an international capital insurance standard unless: (1) it meets specified notice and comment requirements, (2) it is consistent with current state-based capital requirements, and (3) it is consistent with any FRB capital requirements for an FRB-supervised company.  Treasury and the FRB must:   report annually on their efforts with the National Association of Insurance Commissioners regarding global insurance regulatory or supervisory forums, study an international insurance capital standard's impact on U.S. markets and consumers before agreeing to its adoption, and report on their efforts to increase transparency at meetings of the International Association of Insurance Supervisors.    

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``International Insurance Capital 
Standards Accountability Act of 2017''.

SEC. 2. DEFINITIONS.

    In this Act--
            (1) the term ``appropriate committees of Congress'' means--
                    (A) the Committee on Banking, Housing, and Urban 
                Affairs of the Senate; and
                    (B) the Committee on Financial Services of the 
                House of Representatives;
            (2) the term ``Board of Governors'' means the Board of 
        Governors of the Federal Reserve System;
            (3) the term ``Committee'' means the Insurance Policy 
        Advisory Committee on International Capital Standards and Other 
        Insurance Issues established under section 4(a); and
            (4) the term ``Secretary'' means the Secretary of the 
        Treasury.

SEC. 3. FINDINGS.

    Congress finds that the Secretary and the Board of Governors 
should--
            (1) support increasing transparency at any global insurance 
        or international standard-setting regulatory or supervisory 
        forum in which the Secretary and the Board of Governors 
        participate, including supporting and advocating for greater 
        public observer access to working groups and committee meetings 
        of the International Association of Insurance Supervisors; and
            (2) achieve consensus positions with State insurance 
        regulators, through the National Association of Insurance 
        Commissioners--
                    (A) if the Secretary and the Board of Governors 
                take a position, or reasonably intend to take a 
                position, with respect to an insurance proposal by a 
                global insurance regulatory or supervisory forum; and
                    (B) when the Secretary, the Board of Governors, and 
                the National Association of Insurance Commissioners 
                represent the United States in negotiations with 
                respect to insurance issues before the International 
                Association of Insurance Supervisors, the Financial 
                Stability Board, or any other international forum of 
                financial regulators or supervisors that considers 
                insurance issues.

SEC. 4. INSURANCE POLICY ADVISORY COMMITTEE.

    (a) Establishment.--The Board of Governors shall establish the 
Insurance Policy Advisory Committee on International Capital Standards 
and Other Insurance Issues.
    (b) Membership.--The Committee shall be composed of not more than 
11 members, all of whom shall represent a diverse set of expert 
perspectives from the various sectors of the insurance industry of the 
United States, including individuals--
            (1) from the fields of--
                    (A) life insurance;
                    (B) property and casualty insurance; and
                    (C) reinsurance; and
            (2) with experience serving as--
                    (A) agents and brokers;
                    (B) academics;
                    (C) consumer advocates; or
                    (D) experts on issues facing underserved insurance 
                communities and consumers.
    (c) Nonapplicability of FACA.--The Federal Advisory Committee Act 
(5 U.S.C. App.) shall not apply to the Committee or the activities of 
the Committee.

SEC. 5. REQUIREMENTS FOR CONSENT TO ADOPT INTERNATIONAL CAPITAL 
              INSURANCE STANDARDS.

    The Secretary and the Board of Governors may not agree to, accept, 
establish, enter into, or consent to the adoption of a final 
international capital insurance standard with an international 
standard-setting organization or a foreign government, authority, or 
regulatory entity unless--
            (1) the Secretary and the Chair of the Board of Governors 
        have, with respect to the text of the proposed final 
        international capital insurance standard--
                    (A) published the text in the Federal Register;
                    (B) made the text available for public comment for 
                a period of not less than 30 days; and
                    (C) submitted a copy of the text to the appropriate 
                committees of Congress on a date on which both Houses 
                of Congress are in session;
            (2) the international capital insurance standard is not 
        inconsistent with capital requirements set forth in the State-
        based system of insurance regulation; and
            (3) if the international capital insurance standard will 
        apply to a company supervised by the Board of Governors, the 
        international capital insurance standard is not inconsistent 
        with the capital requirements of the Board of Governors for 
        that company.

SEC. 6. REPORTS.

    (a) Reports and Testimony by Secretary of the Treasury and Chair of 
the Board of Governors of the Federal Reserve System.--
            (1) In general.--The Secretary and the Chair of the Board 
        of Governors, or their designees, shall submit to the 
        appropriate committees of Congress an annual report, and 
        provide annual testimony to those committees, relating to the 
        efforts of the Secretary and the Chair, along with the National 
        Association of Insurance Commissioners, with respect to global 
        insurance regulatory or supervisory forums, including a 
        description of--
                    (A) the insurance regulatory or supervisory 
                standard-setting issues under discussion at 
                international standard-setting bodies, including the 
                Financial Stability Board and the International 
                Association of Insurance Supervisors;
                    (B) the effects that proposals discussed at 
                international insurance regulatory or supervisory 
                forums of insurance could have on consumer and 
                insurance markets in the United States;
                    (C) any position taken by the Secretary and the 
                Board of Governors during international insurance 
                discussions; and
                    (D) the efforts by the Secretary and the Board of 
                Governors to increase transparency at--
                            (i) the Financial Stability Board with 
                        respect to insurance proposals; and
                            (ii) the International Association of 
                        Insurance Supervisors, including efforts to 
                        provide additional public access to working 
                        groups and committees of the International 
                        Association of Insurance Supervisors.
            (2) Termination.--This paragraph shall terminate on 
        December 31, 2020.
    (b) Reports and Testimony by National Association of Insurance 
Commissioners.--The National Association of Insurance Commissioners may 
provide testimony to Congress on the issues described in subsection 
(a)(1).
    (c) Joint Report by the Chair of the Board of Governors of the 
Federal Reserve System and the Secretary of the Treasury.--
            (1) In general.--Before supporting or consenting to the 
        adoption of any final international insurance capital standard, 
        the Secretary and the Chair of the Board of Governors shall, in 
        consultation with the National Association of Insurance 
        Commissioners, complete a study, and submit to Congress a 
        report on the results of the study, with respect to the impact 
        that the capital standard would have on consumers and markets 
        in the United States.
            (2) Notice and comment.--
                    (A) Notice.--With respect to a report described in 
                paragraph (1), the Secretary and the Chair of the Board 
                of Governors shall, on the date on which the Secretary 
                and the Chair begin drafting the report, provide notice 
                to the appropriate committees of Congress that the 
                Secretary and the Chair have begun drafting the report.
                    (B) Opportunity for comment.--During the period 
                beginning on the date on which a report is submitted to 
                Congress under paragraph (1) and ending on the date 
                that is 60 days after the date on which the report is 
                submitted, the Secretary and the Chair of the Board of 
                Governors shall provide an opportunity for public 
                comment with respect to the report.
            (3) Review by comptroller general.--On the date on which 
        the Secretary and the Chair of the Board of Governors submit to 
        Congress a report under paragraph (1), the Secretary and the 
        Chair shall submit to the Comptroller General of the United 
        States a copy of the report for review by the Comptroller 
        General.
    (d) Report on Reduction in Transparency.--Not later than 180 days 
after the date of enactment of this Act, the Chair of the Board of 
Governors and the Secretary, or their designees, shall submit to 
Congress a report, and provide testimony to Congress, with respect to 
the efforts of the Chair and the Secretary to increase transparency at 
meetings of the International Association of Insurance Supervisors.