WASHINGTON BUREAU -- A House committee has voted to exempt insurance companies and their products from oversight by a proposed Consumer Finance Protection Agency.
Members of the House Financial Services Committee approved the exemption amendment Wednesday by a voice vote.
The committee is marking up H.R. 3126, the bill that would create the CFPA. When the Obama administration proposed creation of the CFPA in August, it proposed that the CFPA might regulate insurance products typically sold in connection with banking services, such as credit life insurance.
The original draft of H.R. 3126, drafted by the Obama administration and House Financial Services Committee Chairman Barney Frank, D-Mass., would have given the CFPA the authority to regulate credit insurance, title insurance and mortgage insurance products.
Read more on National Underwriter.