American businesses and consumers rely on the availability of insurance services provided at competitive rates. The Coalition for Competitive Insurance Rates is made up of business organizations, consumer advocacy groups, insurers and their associations advocating for continued and increased competition within the insurance industry.

 

 

A proposal in President Barack Obama’s FY 2015 budget seeks to deny a tax deduction for reinsurance premiums paid to foreign affiliates by domestic insurers. The proposal closely resembles legislation introduced in Congresses by US Representatives Richard Neal (D-MA) and Bill Pascrell (D-NJ) and Senator Robert Menendez (D-NJ) that would drastically raise insurance rates across the country. The President’s budget proposal and the Neal-Pascrell-Menendez legislation would impose an unnecessary and costly tariff on the companies that help spread insurance risks globally. This ability to spread risk has been especially beneficial for consumers and businesses in areas subject to hurricanes, earthquakes, crop failures and other forms of disaster.

More than 100 independent experts, state government officials, business owners, and associations have publicly filed opposition letters to these tax proposals. Additionally, the Brattle Group, an economic research firm, has published a study pointing out the potential economic consequences of the legislation.

 

 


Tuesday
Jun032014

Royal Gazette - Richards and RIMS president differ on Neal bill’s prospects

Captive insurance professionals yesterday heard Finance Minister Bob Richards predict a rise in US interest rates in the near term during a panel discussion at the Bermuda Captive Conference. But he was challenged by one panelist when he suggested that controversial proposed US legislation that could impact Bermuda’s insurance industry would gain no traction in the US legislature.

Click to read more ...

Tuesday
Mar042014

Press Release: State Officials, Consumer Advocates Reject a Discriminatory Tax Proposal in FY 2015 Budget

The Coalition for Competitive Insurance Rates (CCIR), the leading voice for continued and increased competition within the insurance industry, today objected to a proposal within the Obama administration’s FY 2015 Budget that would deny a tax deduction for certain reinsurance premiums paid to foreign-based affiliates by domestic insurers.

Click to read more ...

Friday
Feb282014

Senator Pat Toomey: Reinsurance Tax Plan Harmful to Economy, Jobs

Senator Max Baucus recently released tax reform discussion drafts detailing proposed changes to America's international tax regime, accounting methods, and cost recovery rules. These are important topics and I am grateful that Senator Baucus released these drafts before departing the Senate to serve as America's ambassador to China. Unfortunately, there are multiple provisions in these discussion drafts that I believe would impede economic growth and move tax policy backwards.

Click to read more ...

Tuesday
Nov192013

Press Release: Senate Finance Committee Tax Reform Draft Ignores Warnings on Harmful Reinsurance Tax 

The Coalition for Competitive Insurance Rates (CCIR), the leading voice for continued and increased competition within the insurance industry, today objected to  the inclusion of language in the Senate Finance Committee’s discussion draft of tax reform that would change the tax treatment of affiliated reinsurance operating the United States. The decision by Sen. Max Baucus (D-MT) to include this provision in the Finance Committee’s draft ignores warnings from elected officials, state insurance commissioners, trade experts and consumer advocates that this tax would drive up the cost of insurance to homeowners and small businesses.

Click to read more ...

Wednesday
Nov132013

Watch: Hearing on the Future of Terrorism Insurance

The House Financial Services Subcommittee on Housing and Insurance convened today to discuss potential changes to the Terrorism Risk Insurance Program.

Click to read more ...