US, EU Enter Into Covered Agreement On Insurance

On Jan. 13, 2017, the U.S. Department of the Treasury and the Office of the U.S. Trade Representative ("USTR") released the terms of the long-awaited covered agreement between the United States and the European Union (the "Covered Agreement") on prudential insurance matters. Once effective, the Covered Agreement will have a significant impact on international insurance groups doing business in the United States and the European Union. 

Pursuant to Title V of the Dodd-Frank Wall Street Reform and Consumer Protection Act ("Dodd-Frank"), the Secretary of the Treasury and the USTR are authorized to jointly negotiate a covered agreement with one or more foreign governments, authorities or regulatory entities with respect to the regulation of insurance markets.