Question

In 1945, what act did Congress enact to ensure the states had the right to regulate the business of insurance without interference from federal regulation as long as federal laws do not provide intervention?

Answer 1

In 1945, Congress enacted the McCarran-Ferguson Act to ensure that states have the right to regulate the business of insurance without interference from federal regulation, as long as federal laws do not provide intervention.

Step-by-step explanation:

In 1945, Congress enacted the McCarran-Ferguson Act to ensure that states have the right to regulate the business of insurance without interference from federal regulation, as long as federal laws do not provide intervention. This act allows states to maintain their authority over insurance regulation and prevent federal interference in areas such as rate setting and licensing requirements.

For example, under the McCarran-Ferguson Act, state insurance departments have the power to oversee insurance companies operating within their jurisdiction, ensure that insurance policies are fair and in compliance with state laws, and protect consumers from unfair practices. Without this act, federal regulations could potentially override state regulations and have a greater impact on the insurance industry.