National insurance registry falls short of goal line, tax extenders passes

Legislation that would have established the first national registry for insurance agents, facilitating practices in multiple states, was stopped one yard short of the goal line Tuesday night. A bill containing the provision died when it was blocked by Sen. Tom Coburn, R-Okla. Mr. Coburn opposed the National Association of Registered Agents and Brokers, a clearinghouse for insurance professionals who want to register in a state outside their home state. His stated rationale for opposing NARAB was that it didn't allow states to opt out of the mechanism. He refused to lift his objection to the underlying bill, which would have reauthorized a federal terrorism insurance program. His move made it impossible for the Senate to achieve unanimous consent to bring up the terrorism-insurance measure for a vote. Instead of subjecting the chamber to days of procedural maneuvers that would have been required to overcome Mr. Coburn's objection, Senate Majority Leader Harry Reid, D-Nev., drew the lame-duck session to a close Tuesday night. Just before the Senate gaveled out for the year, it did approve a package of tax breaks, 76-16, that include a deduction for charitable giving from individual retirement accounts. The swift denouement of the terrorism bill in the Senate, which drew overwhelming House support last week, means the NARAB provision will have to be re-introduced in the new Congress. The National Association of Insurance and Financial Advisors said Tuesday night that it would try again next year to get NARAB approved. “The goal of NARAB is to improve the marketplace and make it more efficient,” Juli McNeely, NAIFA president, said in a statement. “That is a good thing for agents and the consumers they serve, because the agent-client relationships are built on trust, consumer confidence and superior service. They should not have to end if a client moves to a different state. Our grassroots efforts helped lawmakers understand our business. That education will continue, and we anticipate a positive outcome for NARAB next Congress.”