Office of National Insurance: Subverting Democracy?

Proponents of NAFTA-style trade agreements are trying to pull a fast one on us by sneaking some devastating provisions into the Senate financial reform bill.  Right now there is language in the bill that creates an Office of National Insurance (ONI) within the Treasury Department that would strike down state insurance policies if the ONI believes that they violate trade agreement rules.  The ONI would also be able to negotiate and approve new agreements that give foreign insurers greater rights without having to ask for approval from Congress first.  Senator Jeff Merkley is leading the charge with an amendment to the bill that would prevent this dangerous seizure of state and congressional authority. Click here to urge your Senator to support Merkley’s amendment.

Think this is something that only threatens states like New York, where there are lots of foreign companies? Think again. Consider the stakes for Sen. Susan Collins of Maine, where the following foreign-owned insurance companies could benefit from an international trade pact drive towards lower regulation:

Great-West Lifeco Inc., based in Canada

Cunningham Lindsey Group Inc., based in Canada

Willis Group Holdings Limited, based in the U.K.

In fact, there are foreign insurance companies in every state in the Union that could take advantage of any new rights that the ONI would give them.  Check out the chart below to see the number of foreign insurance firms operating in your state.  Keep in mind, however, that the presence of even one firm would be enough to create problems for state insurance regulations.

  

Comments

[Don Juan of Austria]

Unbelievable. What an outrage.

What does this have to do with financial reform?

How did it get in the financial reform bill in the first place?

[Trade Plumbing Supplies]

impressive!!! AS far as I'm concern national insurance is a scheme where people in work make payments towards benefits. The payments are called national insurance contributions and certain benefits are only payable if you meet the national insurance contribution conditions. National insurance contributions also go towards the costs of the National Health Service.

[Don Juan of Austria]

Trade Plumbing Supplies-

I don't think this anything to do with health care. This is about Treasury being able to make commitments to foreign countries and then impose those commitments on Congress and states, even if popular movements have gotten Congress or the states to make better regulations.