To amend the Internal Revenue Code of 1986 to prevent the use of reinsurance with foreign persons to enable domestic nonlife insurance companies to evade United States income taxation.

[AI summary unavailable — showing source text] Amends the Internal Revenue Code to provide, with specified exceptions, that if a domestic person reinsures a United States risk with a related foreign reinsurer (as defined by this Act) then: (1) such person's investment income shall incur certain increases; and (2) certain excise taxes shall not apply to the foreign reinsurer's premiums.…