SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘International Insur-
ance Standards Act of 2018’’. 
SEC. 2. CONGRESSIONAL FINDINGS. 
The Congress finds the following: 
(1) The State-based system for insurance regu-
lation in the United States has served American con-
sumers well for more than 150 years and has fos-
tered an open and competitive marketplace with a 
diversity of insurance products to the benefit of pol-
icyholders and consumers. 
(2) Protecting policyholders by regulating to en-
sure an insurer’s ability to pay claims has been the 
hallmark of the successful United States system and 
should be the paramount objective of domestic pru-
dential regulation and emerging international stand-
ards. 
(3) The Dodd-Frank Wall Street Reform and 
Consumer Protection Act (Public Law 111–203) re-
affirmed the State-based insurance regulatory sys-
tem. 
SEC. 3. REQUIREMENT THAT INSURANCE STANDARDS RE-
FLECT UNITED STATES POLICY. 
(a) REQUIREMENT.— 
(1) IN
GENERAL.—Parties representing the 
Federal Government in any international regulatory,
standard-setting, or supervisory forum or in any ne-
gotiations of any international agreements relating 
to the prudential aspects of insurance shall not 
agree to, accede to, accept, or establish any proposed 
agreement or standard if the proposed agreement or 
standard fails to recognize the United States system 
of insurance regulation as satisfying such proposals. 
(2) INAPPLICABILITY.—Paragraph (1) shall not 
apply to any forum or negotiations relating to a cov-
ered agreement (as such term is defined in section 
313(r) of title 31, United States Code). 
(b) FEDERAL INSURANCE OFFICE FUNCTIONS.— 
Subparagraph (E) of section 313(c)(1) of title 31, United 
States Code, is amended by inserting ‘‘Federal Govern-
ment’’ after ‘‘United States’’. 
(c) NEGOTIATIONS.—Nothing in this section shall be 
construed to prevent participation in negotiations of any 
proposed agreement or standard. 
SEC. 4. STATE INSURANCE REGULATOR INVOLVEMENT IN 
INTERNATIONAL STANDARD SETTING. 
In developing international insurance standards pur-
suant to section 3, and throughout the negotiations of 
such standards, parties representing the Federal Govern-
ment shall, on matters related to insurance, closely con-
sult, coordinate with, and seek to include in such meetings
State insurance commissioners or, at the option of the 
State insurance commissioners, designees of the insurance 
commissioners acting at their direction. 
SEC. 5. CONSULTATION WITH CONGRESS. 
(a) REQUIREMENT.—Parties representing the Fed-
eral Government with respect to any agreement under sec-
tion 3 shall provide written notice to and consult with the 
Committee on Financial Services of the House of Rep-
resentatives and the Committee on Banking, Housing, and 
Urban Affairs of the Senate, and any other relevant com-
mittees of jurisdiction— 
(1) before initiating negotiations to enter into 
the agreement, regarding— 
(A) the intention of the United States to 
participate in or enter into such negotiations; 
and 
(B) the nature and objectives of the nego-
tiations; and 
(2) during negotiations to enter into the agree-
ment, regarding— 
(A) the nature and objectives of the nego-
tiations; 
(B) the implementation of the agreement, 
including how it is consistent with and does not
materially differ from or otherwise affect Fed-
eral or State laws or regulations; 
(C) the impact on the competitiveness of 
United States insurers; and 
(D) the impact on United States con-
sumers. 
(b) CONSULTATION WITH FEDERAL ADVISORY COM-
MITTEE ON INSURANCE.—Before entering into an agree-
ment under section 3, the Secretary of the Treasury shall 
seek to consult with the Federal Advisory Committee on 
Insurance formed pursuant to section 313(h) of title 31, 
United States Code. 
SEC. 6. REPORT TO CONGRESS ON INTERNATIONAL INSUR-
ANCE AGREEMENTS. 
Before entering into an agreement under section 3, 
parties representing the Federal Government shall submit 
to the appropriate congressional committees and leader-
ship a report that describes— 
(1) the implementation of the agreement, in-
cluding how it is consistent with and does not mate-
rially differ from or otherwise affect Federal or 
State laws or regulations; 
(2) the impact on the competitiveness of United 
States insurers; and 
(3) the impact on United States consumers.
SEC. 7. COVERED AGREEMENTS. 
(a) PREEMPTION
OF
STATE
INSURANCE
MEAS-
URES.—Subsection (f) of section 313 of title 31, United 
States Code, is amended by striking ‘‘Director’’ each place 
such term appears and inserting ‘‘Secretary’’. 
(b) DEFINITION.—Paragraph (2) of section 313(r) of 
title 31, United States Code, is amended— 
(1) in subparagraph (A), by striking ‘‘and’’ at 
the end; 
(2) in subparagraph (B), by striking the period 
at the end and inserting ‘‘; and’’; and 
(3) by adding at the end the following new sub-
paragraph: 
‘‘(C) applies only on a prospective basis.’’. 
(c) CONSULTATION; SUBMISSION
AND
LAYOVER; 
CONGRESSIONAL
REVIEW.—Section 314 of title 31, 
United States Code is amended— 
(1) in subsection (b)— 
(A) in paragraph (2)(C), by striking 
‘‘laws’’ and inserting the following: ‘‘and Fed-
eral law, and the nature of any changes in the 
laws of the United States or the administration 
of such laws that would be required to carry out 
a covered agreement’’; and 
(B) by adding at the end the following new 
paragraph:
‘‘(3) ACCESS
TO
NEGOTIATING
TEXTS
AND 
OTHER
DOCUMENTS.—Appropriate 
congressional 
committees and staff with proper security clearances 
shall be given timely access to United States negoti-
ating proposals, consolidated draft texts, and other 
pertinent documents related to the negotiations, in-
cluding classified materials.’’; 
(2) by redesignating subsection (c) as sub-
section (d); 
(3) by inserting after subsection (b) the fol-
lowing new subsection: 
‘‘(c) REQUIREMENTS
FOR CONSULTATIONS WITH 
STATE INSURANCE COMMISSIONERS.—Throughout the 
negotiations of a covered agreement, parties representing 
the Federal Government shall closely consult and coordi-
nate with State insurance commissioners.’’; 
(4) in subsection (d), as so redesignated by 
paragraph (2)— 
(A) in the matter preceding paragraph (1), 
by striking ‘‘only if—’’ and inserting the fol-
lowing: ‘‘only if, before signing the final 
legal text or otherwise entering into the agree-
ment—’’; 
(B) in paragraph (1), by striking ‘‘congres-
sional 
committees 
specified 
in 
subsection