National Insurance Act Reintroduced in Senate

May 24, 2007

Senators John Sununu (R-NH) and Tim Johnson (D-SD) reintroduced the "National Insurance Act of 2007." A bill number has not been assigned yet.

This legislation would create a new federal regulator for insurance companies that choose to obtain a federal insurance charter. Although the legislation purports to apply only to life and property/casualty insurers, it could be problematic for the title insurance industry. Since federally chartered insurance companies would gain preemption of state laws and regulations, a property/casualty insurer could gain the authority to underwrite and market an alternative mortgage impairment type product regardless of state laws.

ALTA remains opposed to a federal insurance charter.

Contact ALTA at 202-296-3671 or

SoftPro is the nation's leading provider of closing and title software, consistently pushing the technological envelope to pioneer the most powerful and comprehensive closing and title automation software on the market. SoftPro's Award-Winning Software combines cutting-edge technology with outstanding support to make your business more productive, efficient and boost your revenue. North American Title Insurance Company (NATIC) is a seasoned title insurance underwriter, helping title agents to achieve their individual business goals for more than 50 years. Today, the company conducts real estate settlement services in 39 states and the District of Columbia through a network of experienced, independent agents.