Business of Insurance Regulatory Reform Act of 2025

Clarifies that the Consumer Financial Protection Bureau (CFPB) has limited enforcement authority over persons regulated by a State insurance regulator when those persons are engaged in the business of insurance. It adds an explicit authority clause for the Bureau, a limitation that narrows enforcement over insurance activities, and a rule of construction saying enforcement should be interpreted in a way that preserves state insurance regulators’ authority.

The change mainly shifts the balance of oversight toward state insurance regulators for insurance activities, which could reduce CFPB enforcement actions in areas that states already regulate and may require coordination or create legal questions about the boundary between federal and state oversight.