Federal Insurance Act

[AI summary unavailable — showing source text] Federal Insurance Act - Establishes a Federal Insurance Administration within the Department of Housing and Urban Development to be headed by an Administrator: (1) authorized to issue Federal charters for carrying on the business of insurance to corporations deemed to be eligible based on the capital and surplus of such corporations and other organizational criteria required by the Administrator, and contingent upon majority stockholder or policyholder approval, such charters preempting and terminating any State charter except for purposes of corporate existence; and (2) required to prescribe rules and regulations governing the conduct of the insurers, including the payment of a guaranty fee, maintenance of reserves, control of assets, performance of obligations, production of official records, and corporate reorganization schemes, and to establish an "early warning system" for detection of financial instability of such corporations. Exempts such insurers from any State laws involving reserves, assumption of obligations in the event of insolvency of other persons, regulation of investments and fixing of rates. Limits the State tax liability of such insurers to an amount no greater …