United States and European Union Reach Insurance Regulation Agreement

EU insurance regulations

United States and European Union Reach Insurance Regulation Agreement

On January 13th, the United States and European Union officially reached an agreement regarding insurance and reinsurance regulations. Since announcing their negotiations in November of 2015, talks between U.S. and EU representatives have settled on a covered agreement regarding their prudential measures regarding insurance.

According to reports, this new agreement will cover three areas regarding insurance: reinsurance, group supervision, and the exchange of insurance information between regulators. That includes lifting requirements for insurers to hold more capital against risks, which is expected to lower costs in the market. In addition, Reuters emphasizes that the move plans to encourage an increased market share for EU companies as the United States can more easily share policies across the Trans-Atlantic barriers.

However, while the agreement is indeed noteworthy, some organizations remain skeptical over the announcement. Insurance Journal reported statements from the National Association of Mutual Insurance Companies (NAMIC) and the National Association of Insurance Commissions (NAIC) that express doubt about the proposals. NAMIC refers to the agreement as “a proposed solution to an invented problem,” noting that some provisions appeared temporary. Meanwhile, NAIC fears the negotiation would limit customer protection by forcing foreign regulations onto U.S. companies. Nevertheless, U.S. and EU representatives pushed forth this agreement after several talks occurring in February, July, May, and September of the previous year.

Still, while an agreement has been made, it is up to the European Parliament and the U.S. Congress to ultimately approve of the deal. In the meantime, these representatives will observe any impact the agreement could have on companies as well as customers regarding new regulations.

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Melinda Martin

Account Executive

Melinda began her insurance career in 1985 with Alexander & Alexander where she received her Property & Casualty and Life & Health license. Since then she has worked at various agencies in the New Orleans area and in California as a senior account manager for Employee Benefit Plans.  While in California, she was also the Membership Director for the Burbank Chamber of Commerce. Melinda joined the AWS team in July of 2015.

Michael A. Seeling

Vice President

Graduated from the University of Louisiana at Lafayette with a B.A. in Insurance Risk Management and is a graduate of Archbishop Rummel High School in New Orleans. He joined AWS in October of 2008 and has been awarded the Patient Protection and Affordable Care Act Certification (PPACA). Additionally, he is working towards his Certified Insurance Counselor (CIC), Registered Health Underwriter (RHU), and Registered Employee Benefits Consultant (REBC) designations. He is also a member of the National Association of Health Underwriters (NAHU), National Association of Insurance Financial Advisors (NAIFA), and is an active member of the Fore!Kids foundation.