WASHINGTON, D.C. (January 10, 2018) – The Coalition for American Insurance pointed to news that Assurant, Inc. will remain a U.S.-based company as proof that the Tax Cuts and Jobs Act is already keeping U.S. jobs and profits here at home. Assurant, Inc. announced in a statement it will amend the structure of its previously announced deal with The Warranty Group and remain a Delaware corporation because of the new law. A statement from the Coalition follows:
“This is welcome news and clear evidence that the Tax Cuts and Jobs Act is already having a positive impact on the insurance marketplace. Congress recognized the problem the Insurance Tax Haven loophole created by allowing foreign-based insurers to do business in the U.S. but avoid paying taxes and took the important step of closing it. For too long, U.S.-based companies inverted their operations to take advantage of this loophole. But thanks to a more equitable tax treatment for all insurers established in the bill, companies are realizing it makes good sense to stay in the U.S. This makes the industry more competitive, which benefits consumers. Additionally, these changes are already helping stem the tide of corporate inversions that had plagued our industry for many years. The Coalition thanks Congress for recognizing a problem and taking steps to solve it. We are seeing real world evidence that taxes do matter and the right kind of changes were made to get our economy going again. This is a positive trend for the U.S. insurance industry and will benefit consumers, employees and the overall economy.”
ABOUT THE COALITION –
The Coalition for American Insurance consists of twelve major U.S.-based insurance groups that employ hundreds of thousands of people within the United States. Coalition members provide millions of Americans with financial protection from unpredictable risks and pay substantial amount of federal, state and local taxes. The Coalition is seeking a level playing field and tax fairness for U.S.-based insurers and their consumers and employees by closing a current federal tax loophole that allows foreign-based insurers to avoid paying U.S. taxes.