The U.S. Dodd-Frank Act requires the U.S. Treasury’s Federal Insurance Office (FIO) to conduct a study on how to modernize and improve the system of insurance regulation in the U.S. in a way that will protect consumers but not have a negative effect on insurance companies.

Posted in the Federal Register, the FIO is asking for input on systemic risk regulation for insurers, capital standards and the relationship between capital allocation and liabilities, consumer protection issues on insurance products, including any “gaps in state regulation,” and access to affordable products across all lines by those traditionally underserved, such as minorities and low-and moderate-income persons.

The degree of national uniformity of state insurance regulation with any excessive, duplicative or outdated insurance regulation or regulatory licensing is under scrutiny.  Also up for discussion are state insurance guaranty fund systems, including the loss of guaranty fund coverage if an insurance company is subject to a Federal resolution authority.