The House Financial Services Committee on July 24 approved bipartisan legislation to relax Federal Reserve oversight of insurers with banking units. The State Insurance Regulation Preservation Act (H.R. 5059) would create a definition of Insurance Savings and Loan Holding Companies (ISLHC) and a regulatory framework limiting the Fed's oversight and would require the Fed to better tailor its oversight and avoid duplication with other regulators. Under Dodd-Frank, supervision of insurers with banking operations was transferred to the Fed after the Office of Thrift Supervision was dissolved. While the insurance industry is primarily state-regulated, 11 insurers remain under Fed oversight, and the industry argues that the level of supervision it is subject to is excessive relative to the level of risk their banking operations pose to the financial system. The measure passed the committee by voice vote but may undergo changes before a final vote in the full House to accommodate concerns of unintended consequences raised by Ranking Member Waters.