Number: RS20132
Title: INSURANCE PROVISIONS OF FINANCIAL SERVICES MODERNIZATION BILLS IN THE 106TH CONGRESS: ANTECEDENT SUPREME COURT DECISIONS
Authors: M. Maureen Murphy, American Law Division 
Abstract: Part of the background against which financial services modernization legislation is proceeding involves the way the courts have treated insurance powers of national banks. Recent Supreme Court decisions have upheld regulatory interpretations establishing the ability of national banks to conduct various kinds of insurance activities. NationsBank of North Carolina, N.A. v. Variable Annuity Life Insurance Co. opened the way for national banks to sell insurance nationwide from towns of under 5,000, under the authority of section 92 of the National Bank Act. Barnett Bank of Marion County, N.A. vs. Nelson held that section 92 preempts state laws to the extent that they "prevent or significantly interfere with the national bank's exercise of its powers."
Pages: 3
Date: Updated May 13, 1999