PCI Urges Senate Banking Committee to Confirm Insurance Expert on FSOC

The Property Casualty Insurers Association of America (PCI) on Tuesday urged the Senate Banking, Housing and Urban Affairs Committee to support the confirmation of the voting insurance expert position on the Financial Stability Oversight Council (FSOC).

Published on July 27, 2011

“PCI is pleased that the Department of Treasury put forth Mr. Roy Woodall’s nomination to serve as the insurance expert on FSOC,” said David A. Sampson, president and CEO of PCI. “Mr. Woodall brings extensive experience in the insurance sector and a deep understanding of the state insurance regulatory system.”

Two non-voting insurance representatives currently sit on the FSOC, including: Missouri Insurance Director John Huff as the representative of National Association of Insurance Commissioners (NAIC) and Michael McRaith, the new Federal Insurance Office (FIO) director. The insurance expert will be the final insurer representative and the only voting position of the three.

“The insurance expert will play an important role as the FSOC implements the Dodd-Frank Act related to nonbank financial institutions that will affect insurers,” said Sampson. “The Dodd-Frank Act appropriately treats insurance very differently from other financial sectors, and it recognizes the strong consumer protections already provided by the state regulatory and guaranty fund system. Property casualty insurers are not highly leveraged or interconnected and have a fundamentally different business model than banks, a fact that warrants different regulatory treatment.”