AXA Equitable Endorses Optional Federal Charter (OFC) Legislation
May 24 2007 - 2:20PM
PR Newswire (US)
NEW YORK, May 24 /PRNewswire-FirstCall/ -- AXA Equitable Life
Insurance Company strongly endorses legislation introduced today in
The U.S. Senate that would modernize insurance regulation and
establish the framework for nationwide, state-of-the-art consumer
protection. The National Insurance Act of 2007, introduced in the
110th Congress today by Sens. John Sununu (R-NH) and Tim Johnson
(D-SD), proposes the establishment of a streamlined regulatory
structure for insurance companies and agents choosing federal
regulation, with uniform and consistent laws, regulations and
consumer protections. In commenting on the introduction of The
National Insurance Act of 2007, Christopher "Kip" Condron, Chairman
and Chief Executive Officer of AXA Equitable, called the proposal
for an optional federal charter critical for both consumers and the
insurance industry. "The lack of uniformity in the current
regulatory structure creates vast inefficiencies," Mr. Condron
said. "Dealing with 50 different state insurance regulators affects
every aspect of our business. It slows our ability to introduce new
products and services, complicates our policy/contract
administration and adds to our cost of doing business - all of
which hurt the consumer." In endorsing The National Insurance Act
of 2007, Mr. Condron stated how a national regulatory structure
would facilitate AXA Equitable's and the industry's ability to
develop innovative and competitive products and deliver them to
consumers in an effective and efficient manner throughout the
country, in the same way that banks, asset management and
securities firms can do today. Mr. Condron stressed, however, that
the introduction and adoption of legislation authorizing an
optional federal charter does not seek to weaken the industry
oversight. "As a New York-chartered company," Mr. Condron said, "we
recognize the benefits provided by the strong regulation of the New
York Insurance Department, widely recognized as being among the
most stringent in the country. What we are seeking is nationally
uniform regulation so that AXA Equitable and all our competitors
are competing under the same rules and consumers are equally
protected." Mr. Condron added that "Today, insurance companies are
the only major segment of the financial services industry that lack
a regulatory voice in Washington. Given the critical role that life
insurers play in our national economy in helping to provide
financial security to millions of Americans, and the unique role
that we are playing in helping to address the looming retirement
security crisis in the U.S., both the industry and the consumer
need a strong national regulatory presence." "On behalf of AXA
Equitable, I thank Senators Sununu and Johnson for their leadership
in recognizing the critical need for reform of the insurance
regulatory system and for introducing The National Insurance Act of
2007. We urge members of Congress to work together to pass this
much-needed legislation," concluded Mr. Condron. About AXA
Equitable AXA Equitable Life Insurance Company has been in business
since 1859 and is a leading insurer of life insurance and annuity
products in all 50 states. The company has over 11,000 employees
and sales personnel and approximately 4.8 million policy/contract
holders nationwide. AXA Equitable products and services are
co-distributed by AXA Advisors, LLC, and AXA Distributors, LLC. All
guarantees are based on the claims-paying ability of AXA Equitable
Life Insurance Company. AXA Equitable is a sponsor of the Variable
Annuities Knowledge Center (http://www.variableannuityfacts.org/),
an online resource aimed at helping consumers understand the facts
surrounding variable annuities. The Variable Annuities Knowledge
Center is operated by a standalone non-profit organization and is
overseen by an independent advisory board. DATASOURCE: AXA
Equitable CONTACT: Discretion Winter, +1-212-314-2968, , or Lisa
Tibbitts, +1-212-314-2811, , both of AXA Equitable Web site:
http://www.axa-equitable.com/ http://www.variableannuityfacts.org/
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