Although the National Association of Insurance Commissioners on July 12 tabled their support of H.R. 1206, a bill that would exclude insurance agents’ compensation from the medical loss ratio equation, “there’s a lot of work still to be done on this issue and we look forward to our continuing work with the NAIC, HHS and Congress to find a suitable solution,” says Brianne Mallaghan, director of communications for The Council of Insurance Agents & Brokers.
Just two weeks earlier the National Association of Health Underwriters commended the decision of an NAIC broker task force on June 30 to endorse the bill introduced in the House by Reps. Mike Rogers (R-Mich.) and John Barrow (D-Ga.).
During the July 12 conference call some Executive Committee members, including California Insurance Commissioner Dave Jones, expressed opposition to the task force’s proposal.
However, in an official statement, the NAIC explains that no vote was scheduled to take place “therefore, there was no delay in taking a vote.”
Although Florida insurance commissioner and head of the NAIC’s Professional Health Insurance Advisors Task Force Kevin McCarty said during the call that the task force vote does not yet represent NAIC policy, the statement continues, “Commissioner McCarty has not changed his position, and continues to support the bill sponsored by Mike Rogers, which would remove sales agents’ fees from the administrative costs of insurers for calculation of the medical loss ratio.”
EBA is closely following the NAIC’s actions surrounding the Rogers-Barrow bill. Click here to review the up-and-down process so far. What’s your opinion of how the NAIC is treating brokers with regard to MLR regulations? Share your thoughts with us on Twitter @EBAmagazine or Facebook, facebook.com/EBAmagazine.
Register or login for access to this item and much more
All Employee Benefit Adviser content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access