[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1478 Engrossed in House (EH)]

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114th CONGRESS
  1st Session
                                H. R. 1478

_______________________________________________________________________

                                 AN ACT


 
 To provide for notice to, and input by, State insurance commissioners 
 when requiring an insurance company to serve as a source of financial 
  strength or when the Federal Deposit Insurance Corporation places a 
  lien against an insurance company's assets, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Policyholder Protection Act of 
2015''.

SEC. 2. ENSURING THE PROTECTION OF INSURANCE POLICYHOLDERS.

    (a) Source of Strength.--Section 38A of the Federal Deposit 
Insurance Act (12 U.S.C. 1831o-1) is amended--
            (1) by redesignating subsections (c), (d), and (e) as 
        subsections (d), (e), and (f), respectively; and
            (2) by inserting after subsection (b) the following:
    ``(c) Authority of State Insurance Regulator.--
            ``(1) In general.--The provisions of section 5(g) of the 
        Bank Holding Company Act of 1956 (12 U.S.C. 1844(g)) shall 
        apply to a savings and loan holding company that is an 
        insurance company, an affiliate of an insured depository 
        institution that is an insurance company, and to any other 
        company that is an insurance company and that directly or 
        indirectly controls an insured depository institution, to the 
        same extent as the provisions of that section apply to a bank 
        holding company that is an insurance company.
            ``(2) Rule of construction.--Requiring a bank holding 
        company that is an insurance company, a savings and loan 
        holding company that is an insurance company, an affiliate of 
        an insured depository institution that is an insurance company, 
        or any other company that is an insurance company and that 
        directly or indirectly controls an insured depository 
        institution to serve as a source of financial strength under 
        this section shall be deemed an action of the Board that 
        requires a bank holding company to provide funds or other 
        assets to a subsidiary depository institution for purposes of 
        section 5(g) of the Bank Holding Company Act of 1956 (12 U.S.C. 
        1844(g)).''.
    (b) Liquidation Authority.--The Dodd-Frank Wall Street Reform and 
Consumer Protection Act (12 U.S.C. 5301 et seq.) is amended--
            (1) in section 203(e)(3) (12 U.S.C. 5383(e)(3)), by 
        inserting ``or rehabilitation'' after ``orderly liquidation'' 
        each place that term appears; and
            (2) in section 204(d)(4) (12 U.S.C. 5384(d)(4)), by 
        inserting before the semicolon at the end the following: ``, 
        except that, if the covered financial company or covered 
        subsidiary is an insurance company or a subsidiary of an 
        insurance company, the Corporation--
                    ``(A) shall promptly notify the State insurance 
                authority for the insurance company of the intention to 
                take such lien; and
                    ``(B) may only take such lien--
                            ``(i) to secure repayment of funds made 
                        available to such covered financial company or 
                        covered subsidiary; and
                            ``(ii) if the Corporation determines, after 
                        consultation with the State insurance 
                        authority, that such lien will not unduly 
                        impede or delay the liquidation or 
                        rehabilitation of the insurance company, or the 
                        recovery by its policyholders''.

            Passed the House of Representatives November 16, 2015.

            Attest:

                                                                 Clerk.
114th CONGRESS

  1st Session

                               H. R. 1478

_______________________________________________________________________

                                 AN ACT

 To provide for notice to, and input by, State insurance commissioners 
 when requiring an insurance company to serve as a source of financial 
  strength or when the Federal Deposit Insurance Corporation places a 
  lien against an insurance company's assets, and for other purposes.