Business of Insurance Regulatory Reform Act of 2025

The Business of Insurance Regulatory Reform Act of 2025 would clarify and limit the Consumer Financial Protection Bureau’s (CFPB) enforcement authority over entities regulated by state insurance regulators. Specifically, it adds explicit exceptions and a rule of construction to affirm that when a person is regulated by a state insurance regulator and engages in the business of insurance, the CFPB should not enforce certain consumer financial protections against them, or should apply those protections narrowly. It also directs that enforcement should be broadly construed in favor of state insurance regulators. The intent is to reduce overlap and potential conflict between federal consumer protection authority and state insurance regulation for entities operating in the “business of insurance.”