ACLI CEO Kempthorne Issues Statement on U.S.-EU Covered Agreement

WASHINGTON, July 14 -- The American Council of Life Insurers issued the following statement by President and CEO Dirk Kempthorne on the announcement by the U.S. Treasury and U.S. Trade Representative that they will sign the U.S.-EU covered agreement:

"The announcement by the U.S. Treasury and U.S. Trade Representative that they will sign the U.S.-EU covered agreement is very encouraging news.

"The covered agreement removes regulatory uncertainty for insurers and reinsurers and establishes the terms upon which companies operating in both the United States and the European Union can do business in these jurisdictions. It is also consistent with the administration's policy to 'enable American companies to be competitive with foreign firms in domestic and foreign markets, advance American interests in international financial negotiations and meetings, [and] make regulation efficient, effective and appropriately tailored.'

"ACLI members will benefit from the certainty provided by the covered agreement, allowing them to dedicate resources to protecting the financial security of their policyholders. Through retirement and insurance products provided by life insurance companies, 75 million American families are better able to plan, save and guarantee their savings for a secure retirement.

"The covered agreement affirms the U.S. state-based insurance regulatory system. State regulators will play a critical role during the implementation of the agreement. ACLI commends the NAIC and state insurance regulators for working in partnership with the federal agencies in support of implementation of the covered agreement."

The American Council of Life Insurers (ACLI) is a Washington, D.C.-based trade association with approximately 290 member companies operating in the United States and abroad. ACLI advocates in state, federal, and international forums for public policy that supports the industry marketplace and the 75 million American families that rely on life insurers' products for financial and retirement security. ACLI members offer life insurance, annuities, retirement plans, long-term care and disability income insurance, and reinsurance, representing 94 percent of industry assets, 93 percent of life insurance premiums, and 97 percent of annuity considerations in the United States. Learn more at www.acli.com.