I 

116TH CONGRESS 

1ST SESSION H. R. 4592 

To preserve the State-based system of insurance regulation and provide greater oversight of and transparency on international insurance standards 

setting processes, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

OCTOBER 1, 2019 

Mr. HECK (for himself and Mr. BUDD) introduced the following bill; which 

was referred to the Committee on Financial Services 

A BILL 

To preserve the State-based system of insurance regulation 

and provide greater oversight of and transparency on 

international insurance standards setting processes, and 

for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘International Insur5 ance Standards Act of 2019’’. 

6 SEC. 2. CONGRESSIONAL FINDINGS. 

7 The Congress finds the following: 


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1 (1) The State-based system for insurance regu2 lation in the United States has served American con3 sumers well for more than 150 years and has fos4 tered an open and competitive marketplace with a 

5 diversity of insurance products to the benefit of pol6 icyholders and consumers. 

7 (2) Protecting policyholders by regulating to en8 sure an insurer’s ability to pay claims has been the 

9 hallmark of the successful United States system and 

10 should be the paramount objective of domestic pru11 dential regulation and emerging international stand12 ards. 

13 (3) The Dodd-Frank Wall Street Reform and 

14 Consumer Protection Act (Public Law 111–203) re15 affirmed the State-based insurance regulatory sys16 tem. 

17 SEC. 3. REQUIREMENT THAT INSURANCE STANDARDS RE18 FLECT UNITED STATES POLICY. 

19 (a) REQUIREMENT.— 

20 (1) IN GENERAL.—Parties representing the 

21 Federal Government in any international regulatory, 

22 standard-setting, or supervisory forum or in any ne23 gotiations of any international agreements relating 

24 to the prudential aspects of insurance shall not 

25 agree to, accede to, accept, or establish any proposed 


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1 agreement or standard if such parties determine 

2 that the United States system of insurance regula3 tion would not satisfy such proposals. 

4 (2) INAPPLICABILITY.—Paragraph (1) shall not 

5 apply to any forum or negotiations relating to a cov6 ered agreement (as such term is defined in section 

7 313(r) of title 31, United States Code). 

8 (b) FEDERAL INSURANCE OFFICE FUNCTIONS.— 

9 Subparagraph (E) of section 313(c)(1) of title 31, United 

10 States Code, is amended by inserting ‘‘Federal Govern11 ment’’ after ‘‘United States’’. 

12 (c) NEGOTIATIONS; REGULATORY DIALOGUES.— 

13 (1) NEGOTIATIONS.—Nothing in this section 

14 shall be construed to prevent participation in nego15 tiations of any proposed agreement or standard. 

16 (2) REGULATORY DIALOGUES.—Nothing in this 

17 section shall apply to regulatory dialogues not in18 tended to create standards or result in an agreement 

19 not creating standards relating to the prudential as20 pects of insurance. 

21 SEC. 4. STATE INSURANCE REGULATOR INVOLVEMENT IN 

22 INTERNATIONAL STANDARD SETTING. 

23 In developing international insurance standards or 

24 agreements pursuant to section 3, and throughout the ne25 gotiations of such standards or agreements, and in reguVerDate Sep 11 2014 18:52 Oct 07, 2019 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H4592.IH H4592

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1 latory dialogues, parties representing the Federal Govern2 ment shall, on matters related to insurance, closely con3 sult, coordinate with, and seek to include in such meetings 

4 State insurance commissioners or, at the option of the 

5 State insurance commissioners, designees of the insurance 

6 commissioners acting at their direction. 

7 SEC. 5. CONSULTATION WITH CONGRESS. 

8 (a) REQUIREMENT.—Parties representing the Fed9 eral Government with respect to any agreement under sec10 tion 3 shall provide written notice to and consult with the 

11 Committee on Financial Services of the House of Rep12 resentatives and the Committee on Banking, Housing, and 

13 Urban Affairs of the Senate, and any other relevant com14 mittees of jurisdiction— 

15 (1) before initiating negotiations to enter into 

16 the agreement, regarding— 

17 (A) the intention of the United States to 

18 participate in or enter into such negotiations; 

19 and 

20 (B) the nature and objectives of the nego21 tiations; and 

22 (2) during negotiations to enter into the agree23 ment, regarding— 

24 (A) the nature and objectives of the nego25 tiations; 


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1 (B) the implementation of the agreement, 

2 including how it is consistent with and does not 

3 materially differ from or otherwise affect Fed4 eral or State laws or regulations; 

5 (C) the impact on the competitiveness of 

6 United States insurers; and 

7 (D) the impact on United States con8 sumers. 

9 (b) CONSULTATION WITH FEDERAL ADVISORY COM10 MITTEE ON INSURANCE.—Before entering into an agree11 ment under section 3, the Secretary of the Treasury shall 

12 seek to consult with the Federal Advisory Committee on 

13 Insurance formed pursuant to section 313(h) of title 31, 

14 United States Code. 

15 SEC. 6. REPORT TO CONGRESS ON INTERNATIONAL INSUR16 ANCE AGREEMENTS. 

17 Before entering into an agreement under section 3, 

18 parties representing the Federal Government shall submit 

19 to the appropriate congressional committees and leader20 ship a report that describes— 

21 (1) the implementation of the agreement, in22 cluding how it is consistent with and does not mate23 rially differ from or otherwise affect Federal or 

24 State laws or regulations; 


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1 (2) the impact on the competitiveness of United 

2 States insurers; and 

3 (3) the impact on United States consumers. 

4 SEC. 7. INAPPLICABILITY TO TRADE AGREEMENTS. 

5 This Act shall not apply to any forum or negotiations 

6 related to a trade agreement. 

Æ 


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