Hill Hearing Reignites Question: What’s Federal Anti-Fraud Role?

Franklin Roosevelt signed the McCarran-Ferguson Act in 1945.This groundbreaking law has led to the regulation of insurance — including insurance fraud — to the states rather through federal oversight. The federal government does play a role, such as overseeing federal health-insurance programs like Medicare. Nonetheless, the states remain more in charge of insurance regulation than almost any other sector of American business. The result is 50 separate states with differing laws, codes and regulations governing selling, underwriting, claims within their borders — and also insurance fraud.