Idaho Picked as Next State for Private Insurance Disclosure Requirements Refresher

WASHINGTON-American Share Insurance is making a second effort to educate its members on the disclosure requirements of the Federal Deposit Insurance Corporation Improvement Act of 1991. On Monday, Jan. 26, ASI is providing an overview of the FDICIA disclosure requirements to privately insured credit unions in Boise, Idaho. The law requires privately insured credit unions to disclose in all advertising that it is not backed by any federal or state government. Sessions have already been held in Indiana and Ohio. ASI also offers free signage to help their member credit unions comply with the law and provides it upon conversion to ASI. Credit unions interested in attending should contact the Idaho Credit Union League at (800) 627-1820. At the end of 2003, the General Accounting Office released a report showing surprise visits to 57 privately insured credit unions in five states, 37% did not have the required notices posted. The study sparked ASI’s most recent education efforts. The GAO study has in turn prompted Congress to actually fund the Federal Trade Commission’s enforcement of the disclosure provision in the current omnibus appropriations legislation. FTC has fought the responsibility, saying the agency does not have the expertise or manpower to handle it.