Rep. John D. Dingell., D-Mich., made a lot of people in the insurance industry angry Nov. 2 with his calls for federal regulation, but he made some friends the next day when he warned the Department of Housing and Urban Development that it is exceeding its authority in its proposed rulemaking on redlining. In a letter to Alice M. Rivlin, director of the Office of Management and Budget, and HUD secretary Henry G. Cisneros, Dingell offered an argument that the Fair Housing Act, which has broad application, does not deal with property insurance.
The letter may have meant more when Dingell wrote it, days before the Nov. 8. election, as the influential chairman of the Energy and Commerce Committee. Fortunately for P&C insurers, his letter echoed an earlier one from Rep. Carlos Moorhead, R-Calif., who is now in line take over as head of that panel.