California lawmakers have passed a bill that would allow credit unions to sell the same insurance products that banks are allowed to sell under the Gramm-Leach-Bliley Act.
Credit unions already have the authority to sell health and life insurance. The bill would extend their authority to sell property, casualty, and other types of insurance products spelled out in the federal legislation.
Bill Arnould, a lobbyist for the California Credit Union League, said the group sponsored the bill to make sure that credit unions "are ahead of the curve" regarding the recent changes in the financial services industry.
Gov. Gray Davis is expected to sign the legislation this week.