Business of Insurance Regulatory Reform Act of 2024

Bill: 118-s-3592
Sponsor: full_name: Sen. Scott, Tim [R-SC]
Introduced: 2024-01-16
Policy area: Finance and Financial Sector
Latest action: action_date: 2024-01-16
text: Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.

Summaries:
action_date: 2024-01-16
action_desc: Introduced in Senate
text: <p><strong>Business of Insurance Regulatory Reform Act of 2024</strong></p><p>This bill limits the authority of the Consumer Financial Protection Bureau over entities that are regulated by a state insurance regulator. Specifically, the bureau is prohibited from pursuing enforcement against any person regulated by a state insurance regulator and offers a consumer financial product or service, to the extent that the person is engaged in the business of insurance. If a person engaged in the business of insurance is regulated by a state insurance regulator but is otherwise subject to the bureau's enforcement authority, the bureau must construe its authority narrowly.</p>

tv_txt: II 118th CONGRESS 2d Session S. 3592 IN THE SENATE OF THE UNITED STATES January 16, 2024 Mr. Scott of South Carolina (for himself and Mr. Manchin ) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs A BILL To amend the Consumer Financial Protection Act of 2010 to clarify the authority of the Bureau of Consumer Financial Protection with respect to persons regulated by a State insurance regulator, and for other purposes.

1. Short title This Act may be cited as the Business of Insurance Regulatory Reform Act of 2024 . 2. Clarification to the authority of the Bureau with respect to persons regulated by a State insurance regulator Section 1027(f) of the Consumer Financial Protection Act of 2010 ( 12 U.S.C. 5517(f) ) is amended— (1) in paragraph (2)— (A) in the paragraph heading, by striking Description of activities and inserting Exceptions ; (B) by striking Paragraph (1) and inserting the following: (A) Authority Paragraph (1) ; and (C) by inserting after subparagraph (A), as so designated, the following: (B) Limitation With respect to a person regulated by a State insurance regulator— (i) if that person is offering or providing a consumer financial product or service, the Bureau may not enforce this title with respect to that person to the extent that the person is engaged in the business of insurance; or (ii) if that person is subject to any enumerated consumer law or any law for which authorities are transferred under subtitle F or H, the authority of the Bureau to enforce that law with respect to that person shall be narrowly construed to the extent that the person is engaged in the business of insurance. ; and (2) by adding at the end the following: (4) Rule of construction The enforcement of this title shall be broadly construed in favor of the authority of a State insurance regulator with respect to a person regulated by the State insurance regulator. .