Travelers Insurance for Federal Oversight
The Travelers Insurance group is only one of a small handful of insurance organizations supporting President Obama’s intitiative tocreate a U.S. insurance office. The creation of this organization is in direct response to the recent bailout of AIG and would change the balance of power from the state to the federal level. The goal is for the government to gain more control over regulating a system that as history has now proved, can have a devastating effect on the rest of the economy.
For national insurance companies like Travelers, the federal regulation could help streamline the system. Large insurance companies tend to have a variety of branches in each state and each branch has its own set of rules. With federal oversight the individual offices would be forced to communicate with each other on a regular basis, not just when tragedy ensues, which could mean a step in the right direction towards reforming health care in the US.
If these changes are to take effect, it would take quite some time to implement. For now, those with Travelers insurance can expect the company to maintain the status quo. Their Travelers insurance rates will be following normal trends until any revision to the current system occurs.