Best's Review: Aligning International Insurance Regulations Will Come at a Price.

OLDWICK, N.J. -- A spate of new insurance directives recently passed by the European Union suggests E.U. and U.S. regulations are becoming more alike, but not without disagreement on both sides of the ocean, the December issue of Best's Review reports.

The E.U. laws, including the Reinsurance Directive and Solvency II, are aimed at harmonizing regulation among the Union's 25 member nations, but national regulators and legislators can still implement their own measures at the local level, contributing to a mix of rules. Some observers argue the goal of more uniform regulation has been overlooked, while others fear uniform regulation won't be as good as what some countries already have.

While the Europeans battle over the problems of a single market, the state-vs.-federal debate is heating up in the U.S. An intensified lobbying effort for an optional federal charter and a bill called the State Modernization and Regulatory Transparency Act are both aimed at shifting some insurance regulation to the federal level.

And as U.S. insurers struggle to comply with the requirements of the Sarbanes-Oxley Act, the E.U. Parliament passed the 8th Company Law Directive, which is seen as the E.U. version of Sarbanes-Oxley.

Best's Review is published by A.M. Best Co. for insurance professionals, including home office executives, agents, brokers and others who are affiliated with the industry, including bankers, lawyers and educators.

The December issue also features:

--The Best's Review Annual Meeting Index, complete with a month-by-month listing of important insurance meetings including dates, places and Web sites.

--A complete rundown of the key events, speakers and award recipients at A.M. Best's E-Fusion Conference, including the results of a survey of 150 insurance technologists.

--Due in part to smarter investors and improved investor relations, insurance company common stock does surprisingly well despite being a complex industry.

To read these articles and more, subscribe to Best's Review by visiting our Web site at www.bestreview.com/subscribe, calling the A.M. Best customer service department at [phone], ext. 5742, or e-mailing your request to [e-mail].

A.M. Best Co., established in 1899, is the world's oldest and most authoritative insurance rating and information source. For more information, visit A.M. Best's Web site at www.ambest.com.