Filed Under:Your Practice, Regulatory

Commenters seek tweaks in U.S.-EU Dialogue Project

Can negotiators knit the project together with the ComFrame talks?

If you thought it was hard to cross the Atlantic swimming--just try it with insurance agreements (AP Photo/J Pat Carter)
If you thought it was hard to cross the Atlantic swimming--just try it with insurance agreements (AP Photo/J Pat Carter)

Members of the U.S. and European insurance communities are hoping to bridge the supervisory divide between the two regions with the EU-U.S. Dialogue Project, but more work needs to be done to make it more forward-looking and inclusive of some overlooked elements, many said.

Still, the state regulatory community and U.S. industry warmly embraced the non-judgmental and respectful tone for each regime and the scope of the project, calling it historic, a “milestone in the history of insurance regulation,” and generally praising the work done so far, more so than on any other international work stream. The draft compares and catalogues aspects of the insurance supervisory and regulatory regimes in the European Union and the United States.

The AIA executive did stress that more cooperation is needed in supporting efforts throughout the country to “swiftly adopt the amended NAIC credit for reinsurance model."

Some in the global reinsurance and insurance industry agree it is critical that the collateral reform laws and regulations be enacted by each state, or that some uniform law apply, while supporting ceding company efforts to effectively manage reinsurer counterparty risk under the new regulation. Thus far, 11 states have enacted laws consistent with the NAIC model, which was passed last November at the NAIC fall/winter meeting. The model law was seen as a compromise, as part of the struggle for the U.S. to not have to be girdled with the equivalency strictures expected in the now-delayed European Solvency 2. Much is at stake, almost all people who participated in Friday's hearing agree.

Brad Smith, the international affairs executive at the American Council of Life Insurers, said the ACLI  thinks this process “is tremendously important. This is the most material insurance relationship in the world.”

ComFrame (the Common Framework for the Supervision of Internationally Active Insurance Groups) has caused either robust debate or stress, depending on who one talked to at the recent IAIS conference

Featured Video

Most Recent Videos

Prospects not listening to voice mail? Arrange a phone date


Redesigning your phone life is more important than finding the “best words” for a voice mail in today’s culture.

Behind the scenes with Vicki Gunvalson [VIDEO]


In this exclusive interview, Vicki Gunvalson shares how she built a $15 million a year annuity business by planning for...

Regulator: Market may need to reinvent LTCI


Cioppa says Maine's governor wants to spur the creation of better products.

Dementia: It's more than Alzheimer's


An association calls for policymakers to remember lesser-known neurodegenerative conditions.

Related resources

More Resources


Power your business with up-to-the-minute insurance news, analysis, and best practices from LifeHealthPro Daily eNewsletter – FREE.

Power your business with LifeHealthPro Daily eNewsletter – FREE.

Enter a valid email address.
Nichole Morford

Nichole Morford
Managing Editor

Thank you for subscribing to LifeHealthPro Daily!

Check Out More eNewsletters Now! Close

Advertisement. Closing in 15 seconds.