Delaware Allows Banks to Sell Insurance: Delaware’s...

Delaware Allows Banks to Sell Insurance: Delaware’s governor signed legislation that makes Delaware the first state to allow banks to sell and underwrite insurance nationwide. The new law lets banks chartered in Delaware after 1934 sell and underwrite insurance. Most banks chartered before 1934 already have such powers. A companion bill also signed into law restricts the types of insurance banks can sell within the state, but allows them to sell a full range of products outside Delaware. Within hours, a challenge was filed with the Federal Reserve to block Citicorp from exploiting the law.