Federal insurance bill stalls in House

Legislation that would set up the Office of Insurance Information within the Department of the Treasury has stalled in the House. Following opposition to the bill, led by Rep. Jackie Speier, D-Calif., the House of Representatives dropped the bill from its suspension calendar late yesterday. Uncontroversial bills are approved on the suspension calendar by voice vote. The bill, which could come up in the House again next week, would pre-empt state regulations when state actions were deemed to conflict with international treaties. “[Ms. Speier] is against it primarily because of the provisions that allow the secretary of the Treasury to pre-empt state laws if it is found to be inconsistent with federal policy in regards to foreign insurers,” said Mike Larsen, her press secretary. Speier. Other members opposed to the legislation are Reps Dennis Kucinich, D-Ohio, and Janice Schakowsky, D-Ill. Yesterday, the American Council of Life Insurers of Washington sent a letter to Treasury Secretary Henry Paulson asking him to set up the office without legislation.