Public Law 15

What Does Public Law 15 Mean?

Public Law 15 is a law that exempts insurance from federal antitrust regulations, provided it is regulated at the state level. The intent of the law was to prevent unnecessary over-regulation of insurance policies and products, based on the belief that state regulation was sufficient to eliminate the need for federal antitrust oversight.

Public Law 15 is also known as the McCarran-Ferguson Act, or simply the McCarran Act.

Insuranceopedia Explains Public Law 15

Public Law 15 was enacted in 1945 following the court case United States v. South-Eastern Underwriters Association. Although the law exempts insurers from federal antitrust laws, it increases their focus on complying with state regulations. This is because the act places a greater responsibility on state regulators to oversee insurance companies.