Sponsors (26)
This bill simplifies and speeds federal insurance regulation and reduces some administrative cost by eliminating the Federal Insurance Office, but it does so at the cost of removing an independent, insurance‑focused office—centralizing authority, reducing transparency and coordination, and potentially weakening consumer protection.
Financial institutions, regulators, and consumers could see faster regulatory action and fewer interagency delays because statutory references to the Federal Insurance Office are removed and authority is clarified.
Taxpayers may pay lower federal administrative costs because eliminating the Federal Insurance Office removes a director position and supporting overhead.
Consumers and policyholders will lose an independent federal office dedicated to insurance analysis and consumer protection, reducing insurance‑specific expertise in federal policymaking and advocacy.
Taxpayers and insurers face increased centralization of insurance authority in the Treasury/Board, which could reduce transparency, independent oversight, and stakeholder representation in insurance regulatory decisions.
State insurance regulators and consumers may have less federal liaison and coordination on international and systemic insurance issues, weakening cross‑jurisdictional cooperation and responses to systemic risks.
Based on analysis of 3 sections of legislative text.
Abolishes the Federal Insurance Office and amends federal statutes to replace FIO references with the Treasury Secretary or the Federal Reserve.
Introduced January 23, 2025 by Troy Downing · Last progress January 23, 2025
Eliminates the Federal Insurance Office (FIO) inside the Department of the Treasury, removes the FIO Director position, and deletes the statutory text that created the office. It then updates several federal laws to remove or replace references to the FIO — shifting some duties or references to the Secretary of the Treasury or to the Board of Governors of the Federal Reserve. The text clarifies that eliminating the FIO does not remove or limit any existing insurance authorities of the Treasury Secretary.