What is the main focus of Part 342 in FDIC regulations?

Part 342 of FDIC regulations primarily focuses on consumer protection in the sales of insurance. This section is designed to ensure that banks and other financial institutions adhere to fair practices when selling insurance products to consumers. The regulations aim to safeguard consumers from misleading information and to promote transparency in transactions involving insurance.

By emphasizing consumer protection in insurance sales, Part 342 helps to create a more equitable marketplace, ensuring consumers are aware of their rights and the products they are purchasing. Such regulations are crucial for maintaining trust in financial institutions and for promoting a fair competition among insurance providers.

The other choices pertain to different aspects of regulation and do not encapsulate the primary intent of Part 342. Loans in areas having flood hazards, for example, is addressed under separate regulations focused on flood insurance requirements, while the registration of securities transfer agents falls under securities regulation rather than consumer protection in insurance. Unsafe and unsound banking practices relate to overall banking conduct and risk management, which is also outside the specific focus of Part 342.