WASHINGTON—The Senate has given its approval to comprehensive financial services regulatory reform that would, among other things, create a new Federal Insurance Office within the Treasury Department.

The Wall Street Reform and Consumer Protection Act, which was approved on a largely party-line vote Thursday afternoon, also would simplify the taxation of surplus lines insurance premiums and allow brokers representing “qualified risk managers” to access the surplus lines market without having to be repeatedly declined by the admitted market.

The provision also would streamline reinsurance regulation.

The new Federal Insurance Office would advise federal officials on insurance matters and would have limited power to pre-empt state regulation that affects international insurance. The Risk & Insurance Management Society Inc. had long sought the surplus lines reforms and the federal insurance office.

The House passed the bill earlier this year, and President Barack Obama is expected to sign it soon.