Big “I” Agents Visit Hundreds of Congressional Offices

Big “I” independent agents and brokers from all 50 states and three foreign countries recently convened in Washington, D.C., for the association’s annual Legislative Conference & Convention and to lobby members of Congress on pressing issues that directly impact the independent agency system.

On April 26, Big “I” members took part in an annual pilgrimage to Capitol Hill. The agents visited hundreds of Senate and House offices and, during the meetings, they discussed the flood insurance program, insurance regulatory reform, agent licensing reform, health care, crop insurance and tax reform.

Flood Insurance: As the vehicle that delivers flood insurance to millions of homeowners and businesses across the country, Big “I” agents support the National Flood Insurance Program (NFIP). Agents urged Congress to pass a long-term extension of the NFIP and to reform it by phasing out most subsidies and modernizing certain coverages. The Big “I” strongly supports legislation in both the House and Senate: H.R. 1309, the “Flood Insurance Reform Act of 2011” by Rep. Judy Biggert (R-Ill.); and S. 1940, by Sen. Tim Johnson (D-S.D.), respectively. Big “I” agents also reminded hundreds of members of Congress that the NFIP was set to expire at midnight on May 31 without congressional action. At press time, the association was burning the midnight oil to prevent expiration.

Insurance Regulatory Reform: The Big “I” urged Congress to ensure that the new Federal Insurance Office, which is merely an information office with no regulatory authority, does not exceed its limited mandate as outlined in the “Dodd-Frank Wall Street Reform and Consumer Protection Act.” The Big “I” continues to guard against efforts that could hurt independent insurance agents and brokers, particularly the “optional” federal charter or other forms of day-to-day federal insurance regulation.

Agent Licensing Reform: Agents advocated for agent licensing reform and urged members of Congress to co-sponsor either H.R. 1112 in the House or S. 2342 in the Senate. Both bills are called the “National Association of Registered Agents and Brokers Reform Act,” and were introduced by Reps. Randy Neugebauer (R-Texas) and David Scott (D-Ga.) last year, and Sens. Jon Tester (D-Mont.) and Mike Johanns (R-Neb.) this year. In fact, the Senate legislation was introduced just days before Big “I” agents stormed Capitol Hill and was fresh off the presses when they arrived. Several members of Congress listened to their state’s delegation and agreed to co-sponsor the bill, once again proving the effectiveness of the Big “I” annual Capitol Hill Day.

Health Care: Big “I” agents asked members of the House to co-sponsor H.R. 1206, the “Access to Professional Health Insurance Advisors Act of 2011,” by Reps. Mike Rogers (R-Mich.) and John Barrow (D-Ga.). H.R. 1206 would help protect consumer access to agents and brokers by excluding agent compensation from the Medical Loss Ratio (MLR) formula. Senators were urged to cosponsor S. 2288 by Sens. Mary Landrieu (D-La.) and Johnny Isakson (R-Ga.), which would exclude agent compensation from the MLR calculations in the individual and small group markets. The agents stressed that now, more than ever, individuals and small businesses are in need of the advice of professional health insurance advisors.

Crop Insurance: The crop insurance program has sustained more than $12 billion in cuts over the past four years. The Big “I” asked Congress to limit any further cuts to the program as they consider the 2012 Farm Bill. Additionally, the agents asked their representatives to consider a legislative fix to the unreasonable agent commission caps implemented in the 2011 SRA.

Tax Reform: In the context of a potential comprehensive tax code overhaul, Big “I” agents urged members of Congress to address individual tax rates along with corporate rates noting that most of the association’s small business members are organized as pass-through entities. If comprehensive tax code reform fails, the Big “I” supports extending the 2001–2003 tax rates beyond 2012. Agents also lobbied for the current estate tax rates and exemptions to be extended beyond 2012.

Often the best lobbyists are the agents who live, work, vote and are active in each state and congressional district. One agent’s meeting could make the difference in how that member of Congress votes on a bill that could help or hurt thousands of agents across the country.

Don’t Forget to Vote
This upcoming campaign season, it is critically important for agents to be engaged by registering to vote and supporting candidates who are friends to the independent agency system. Through its political action committee, InsurPac, the Big “I” supports hundreds of federal campaigns—Democrat and Republican alike—each election cycle.

Two members of the Big “I” family are currently running for Congress. Former Arizona speaker of the House and current Big “I” member Kirk Adams is running for Arizona’s 5th Congressional district (www.kirkadams2012.com). California’s Kim Vann, current Colusa County supervisor and wife of a long-time Big “I” member, is running against Rep. John Garamendi (D-Calif.) for the 3rd Congressional district (www.kimvann.com).

InsurPac is enthusiastically supporting both candidates, along with hundreds of other races across the country.