Insurance
Home›Insurance›Industry & Deals›Bill would let states compete for up to $1 million to…
Bill would let states compete for up to $1 million to fight senior fraud
The measure would define “senior” as age 62 and up, and the SEC would audit annual grant spending while reporting to Congress after two and five years.
State insurance departments could soon compete for federal grants aimed at cracking down on fraud targeting older policyholders, with funding levels that can reach as high as $1 million per year depending on how states are structured.
According to Insurance Business, a bill introduced in the House on August 17, 2026 by Rep. Josh Gottheimer and Rep. Zachary Nunn would route the grants through the Securities and Exchange Commission, using competitive awards to either securities commissions or insurance departments.
The Empowering States to Protect Seniors from Bad Actors Act would allow one agency to receive up to $500,000 annually, while a state office that oversees both securities and insurance functions could receive up to $1 million. The bill also authorizes $10 million a year for fiscal years 2025 through 2030, and defines “senior” as anyone 62 or older.
The funding would be limited, with agencies unable to use grant dollars for items such as rent, utilities, or overhead, and required to submit detailed spending reports. The bill also cites FTC data showing consumers reported losing more than $10 billion to fraud in 2023, and it says investment scams accounted for more than $4.6 billion, according to Insurance Business.