NAII PRAISES FCRA SIGNING:

The National Association of Independent Insurers lauded President Bush’s signing of the Fair and Accurate Credit Transactions Act of 2003, legislation that an NAII official said was one of the trade group’s “highest legislative priorities in 2003.” According to the NAII, Bush’s signature permanently reauthorizes seven expiring provisions of the FCRA. The Act renews current federal reporting preemptions that are the basis for the national credit reporting system. It also provides tools to enhance the accuracy of consumer credit information, ensures consumer access to such reports, and helps prevent fraud and identity theft. The measure also adds new provisions to the FCRA that allow consumers to opt out of marketing solicitations based on information shared between affiliated businesses. “While insurers were not successful in amending all of the affiliate sharing provisions, we will continue to work with regulators to make certain that the best interests of companies and consumers are met as the new components of the law are implemented,” said Carl Parks, senior vice president, government relations for the NAII, in a published statement. Also included in the new law is a provision calling for the Federal Trade Commission and the Federal Reserve Board, in conjunction with the Office of Fair Housing and Equal Opportunity of the Department of Housing and Urban Development, to conduct a study on the financial services industry’s use of credit scores. Specific details and definitions of study parameters were not included in the legislative language.