Cramer Announces Passage of Insurance Reform
Washington, D.C. – Today Congressman Kevin Cramer announced the House of Representatives passed a bill he cosponsored to reform the insurance industry. The National Association of Registered Agents and Brokers Reform Act of 2013 (NARAB) streamlines the licensing system for insurance agents and brokers, strengthening the marketplace for competitive insurance while maintaining existing protections for consumers.
“We live in a modern society where consumers rightfully expect the ability to shop around for products they want. Government has stood in the way of competitive insurance purchasing across state lines,” said Cramer. “This bill allows more insurance options for the public, and gives insurance producers access to new markets.”
The legislation creates a nonprofit board for insurance agents and brokers to approve licenses on a multi-state basis, opening up greater competition across state lines. This one-stop licensing mechanism, to be named the National Association of Registered Brokers and Agents, deals only with entry to the marketplace, leaving day-to-day regulation up to individual states. State regulators retain their responsibility for supervising and disciplining agents and brokers and enforcing all existing state laws.
NARAB is supported by the major insurance trade associations including the Independent Insurance Agents and Brokers of America (IIABA), the National Association of Insurance and Financial Advisors (NAIFA), and the Council of Insurance Agents and Brokers (CIAB). The National Association of Insurance Commissioners (NAIC) also endorsed the legislation.