WASHINGTON – David A. Sampson, president and chief executive officer of the Property Casualty Insurers Association of America (PCI) issued the following statement on President Obama’s State of the Union address:
“I am pleased that President Obama repeated his call for more efficient and streamlined regulation in his State of the Union address. Our nation’s economic growth is anemic at best, and government must not punish those entrepreneurs who are creating jobs and spurring economic recovery.
“Reducing the burden of unnecessary, duplicative regulation will free up job-creators to hire more workers and help to get the American economy moving forward again. I encourage the Administration to carefully consider the potential impact of federal regulations and oversight on home, auto and business insurers as the Dodd Frank Act is implemented. Property casualty insurance companies already have a robust state-regulatory framework, and duplicative federal regulation and multiple layers of reporting requirements threaten to increase consumer costs for the close to 270 million homes, vehicles and businesses insured across the nation.
“PCI also urges congressional leaders to support President Obama’s call for the repeal of the 1099 provision from the healthcare legislation as a top priority of the 112th Congress. And we agree that tort reform to rein in frivolous lawsuits must be a main tenet of any balanced proposal to spur economic growth.
“America is an exceptional nation. Our country was founded on the notion of risk-taking, and insurers have been instrumental in protecting consumers during uncertain times. We look forward to working with the Administration to seek common-sense, balanced solutions for the marketplace that usher in long-term stability and restore our nation’s competitiveness.”
PCI is composed of more than 1,000 member companies, representing the broadest cross-section of insurers of any national trade association. PCI members write over $180 billion in annual premium, 37.4 percent of the nation’s property casualty insurance. Member companies write 44 percent of the U.S. automobile insurance market, 30.7 percent of the homeowners market, 35.1 percent of the commercial property and liability market, and 41.7 percent of the private workers compensation market.