Office of the Comptroller of the Currencys Supervision of Banks Selling Insurance

By Mcauliffe, Laura L.

Book Id: WPLBN0000695874
Format Type: PDF eBook
File Size: 593.92 KB.
Reproduction Date: 2005

Title:	Office of the Comptroller of the Currencys Supervision of Banks Selling Insurance
Author:	Mcauliffe, Laura L.
Volume:
Language:	English
Subject:	Government publications, Economics., United States. Department of the Treasury--Appropriations and Expenditures.
Collections:	U.S. Department of the Treasury Collection
Historic Publication Date:
Publisher:	United States Department of the Treasury


Citation APA MLA Chicago Mcauliffe, L. L. (n.d.). Office of the Comptroller of the Currencys Supervision of Banks Selling Insurance. Retrieved from http://gutenberg.us/

Description
Government Reference Publication

Excerpt
Excerpt: Please note that we modified slightly our recommendation 1-1 in response to your staff?s concerns with the recommendation as presented in our draft report. Also, note that OCC did not concur with several findings and recommendations contained in the report. Following our standard procedures, the findings and recommendations will be recorded into the Treasury Department?s Inventory Tracking and Closure system (ITC) noting your disagreement. Treasury Directive (TD) 40-01 requires your office to submit a written reply to the Deputy Secretary within 30 days after the report is issued that explains the reasons for your lack of agreement. TD 40-01 also requires your office to simultaneously submit a copy of your reply to the OIG. OMB Circular A-50 and TD 40-03 require resolution of your disagreement within six months of report issuance.

Table of Contents
TABLE OF CONTENTS EXECUTIVE DIGEST .......................................................................... i INTRODUCTION............................................................................ 1 Background ...................................................................................... 1 Bank Insurance Activity Expected To Grow Rapidly ................................. 1 New Legislation Will Accelerate Financial Services Reform And Growth ........ 3 OCC Relies On State Supervision Of Bank Insurance Activities .................... 5 OCC Efforts To Prepare For Financial Services Reform............................. 6 Objective, Scope And Methodology ......................................................... 7 AUDIT RESULTS ........................................................................... 9 FINDING 1: OCC Over-Relying On State Supervision................................... 9 Not All States May Be Able To Provide OCC Assurance............................ 9 Complaint Driven Systems Are Not Always A Good Measure Of Compliance With Consumer Protection Laws .................................. 14 Signs Of Changing Relationship Between OCC And States ......................... 16 OCC Believed Continued Reliance On States Is Appropriate ....................... 17 Recommendation And Management Response ........................................ 19 FINDING 2: OCC Needs To Reassess Its Focus Of Bank Insurance Supervision .... 23 OCC Has Done Little To Prepare Agency For Impending Changes ................ 23 OCC Needs To Better Prepare For Bank Insurance Activity......................... 25 OCC Believed Expanded Activities Pose Little Risk.................................. 29 Recommendations And Management Responses....................................... 31 APPENDICES 1. Objective, Scope And Methodology................................................... 36 2. National Bank Insurance Activities As Of February 1999 ......................... 38 3. 1997 Insurance Department Resources................................................ 39 4. OCC Memorandum To Examiners .................................................... 41 5. Management Response .................................................................. 45 6. Major Contributors....................................................................... 49 7. Report Distribution....................................................................... 50 CHARTS 1. State Insurance Department Staffing As Of December 31, 1997.................. 11 2. State Insurance Department Employees As Of December 31, 1997 .............. 12