II 

113TH CONGRESS 

2D SESSION S. 2102 

To clarify the application of certain leverage and risk-based requirements 

under the Dodd-Frank Wall Street Reform and Consumer Protection Act. 

IN THE SENATE OF THE UNITED STATES 

MARCH 10, 2014 

Ms. COLLINS introduced the following bill; which was read twice and referred 

to the Committee on Banking, Housing, and Urban Affairs 

A BILL 

To clarify the application of certain leverage and risk-based 

requirements under the Dodd-Frank Wall Street Reform 

and Consumer Protection Act. 

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

3 SECTION 1. CLARIFICATION OF APPLICATION OF LEVER4 AGE AND RISK-BASED CAPITAL REQUIRE5 MENTS. 

6 Section 171 of the Dodd-Frank Wall Street Reform 

7 and Consumer Protection Act (12 U.S.C. 5371) is amend8 ed— 

9 (a) in subsection (a), by adding at the end the fol10 lowing: 


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1 ‘‘(4) BUSINESS OF INSURANCE.—The term 

2 ‘business of insurance’ has the same meaning as in 

3 section 1002(3). 

4 ‘‘(5) PERSON REGULATED BY A STATE INSUR5 ANCE REGULATOR.—The term ‘person regulated by 

6 a State insurance regulator’ has the same meaning 

7 as in section 1002(22). 

8 ‘‘(6) REGULATED FOREIGN SUBSIDIARY AND

9 REGULATED FOREIGN AFFILIATE.—The terms ‘regu10 lated foreign subsidiary’ and ‘regulated foreign affil11 iate’ mean a person engaged in the business of in12 surance in a foreign country that is regulated by a 

13 foreign insurance regulatory authority that is a 

14 member of the International Association of Insur15 ance Supervisors or other comparable foreign insur16 ance regulatory authority as determined by the 

17 Board of Governors following consultation with the 

18 State insurance regulators, including the lead State 

19 insurance commissioner (or similar State official) of 

20 the insurance holding company system as deter21 mined by the procedures within the Financial Anal22 ysis Handbook adopted by the National Association 

23 of Insurance Commissioners, where the person, or 

24 its principal United States insurance affiliate, has 


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1 its principal place of business or is domiciled, but 

2 only to the extent that— 

3 ‘‘(A) such person acts in its capacity as a 

4 regulated insurance entity; and 

5 ‘‘(B) the Board of Governors does not de6 termine that the capital requirements in a spe7 cific foreign jurisdiction are inadequate. 

8 ‘‘(7) CAPACITY AS A REGULATED INSURANCE

9 ENTITY.—The term ‘capacity as a regulated insur10 ance entity’— 

11 ‘‘(A) includes any action or activity under12 taken by a person regulated by a State insur13 ance regulator or a regulated foreign subsidiary 

14 or a regulated foreign affiliate of such person, 

15 as those actions relate to the provision of insur16 ance, or other activities necessary to engage in 

17 the business of insurance; and 

18 ‘‘(B) does not include any action or activ19 ity, including any financial activity, that is not 

20 regulated by a State insurance regulator or a 

21 foreign agency or authority and subject to State 

22 insurance capital requirements.’’; and 

23 (b) by adding at the end the following new subsection: 

24 ‘‘(c) CLARIFICATION.— 


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1 ‘‘(1) IN GENERAL.—In establishing the min2 imum leverage capital requirements and minimum 

3 risk-based capital requirements on a consolidated 

4 basis for a depository institution holding company or 

5 a nonbank financial company supervised by the 

6 Board of Governors as required under paragraphs 

7 (1) and (2) of subsection (b), the appropriate Fed8 eral banking agencies shall not be required to in9 clude, for any purpose of this section (including in 

10 any determination of consolidation), a person regu11 lated by a State insurance regulator or a regulated 

12 foreign subsidiary or a regulated foreign affiliate of 

13 such person engaged in the business of insurance, to 

14 the extent that such person acts in its capacity as 

15 a regulated insurance entity. 

16 ‘‘(2) RULE OF CONSTRUCTION.—This sub17 section shall not be construed to prohibit, modify, 

18 limit, or otherwise supersede any other provision of 

19 Federal law that provides the Board of Governors 

20 authority to issue regulations and orders relating to 

21 capital requirements for depository institution hold22 ing companies or nonbank financial companies su23 pervised by the Board of Governors.’’. 

Æ 


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