House Committee Advances to Curtail CFPB’s Insurance Regulation

The U.S. House Financial Service Committee on Sept. 16 advanced a bill to limit the authority of the Consumer Financial Protection Bureau, which the insurance industry said has crept over the years into insurance regulation. Within the Consumer Financial Protection Accountability and Reform Act of 2026 (HR 10184) are provisions to exempt the CFPB’s authority from state insurance regulation. The measure makes it clear that CFPB must defer to state regulators on insurance matters. “State regulators have been serving insurance consumers for more than 150 years with a deeper understanding of the risks facing their state, and the needs of consumers,” said Jimi Grande, senior vice president of federal and political affairs for the National Association of Mutual Insurance Companies (NAMIC). “Protecting this system from federal overreach is paramount to a competitive marketplace that best serves consumers.” “When federal agencies stray outside their lane, Congress can and should put down guardrails,” Grande added. The CFPB was formed as part of the Dodd-Frank Act in 2010 as a consumer protection agency in the financial sector. State-regulated business of insurance was excluded from its purview. For about 30 months, federal bills have floated to limit the power of CFPB when it comes to insurance. More than a year ago NAMIC supported the Business of Insurance Regulatory Reform Act. HR 10184 also established an inspector general for the CFPB and brings it under the congressional appropriations process. CFPB has received its funding through transfers from the Federal Reserve. Topics Legislation Was this article valuable? Thank you! Please tell us what we can do to improve this article. Thank you! % of people found this article valuable. Please tell us what you liked about it. Here are more articles you may enjoy.