Big ‘I’ Capitol Hill Team Starts 2013 with a Full Plate

The Big “I” celebrated several victories and made progress on many important issues during the 112th Congress, and 2013 also promises to be a busy year for the association. Among the many accomplishments of 2012 were a five-year extension of the National Flood Insurance Program, Senate introduction and NAIC endorsement of the National Association of Registered Agents and Brokers Reform Act and impressive participation in InsurPac, the Big “I” political action committee.

The 113th Congress will bring its own set of challenges and opportunities that the Big “I” Capitol Hill team is ready to take on with full force. The 2012 elections resulted in no shift in the balance of power between the two parties in either the White House or Congress so many of the same political debates and battle lines remain. Some of the issues of importance to the independent agency system that are top of mind for 2013 include terrorism risk insurance, health care, insurance regulation and agent licensing.

Terrorism risk insurance promises to be a top issue in the 113th Congress, since current authorization of the Terrorism Risk Insurance Act is due to expire on Dec. 31, 2014. Without this program in place, the availability and affordability of terrorism insurance for commercial clients will be in doubt. While not necessarily a partisan issue, there are a number of federal policymakers, mostly from rural areas, who question the need for the program. Despite regional and political disagreement, some limited form of federal involvement in terrorism insurance is expected to continue and the Big “I” has made the issue a top priority for the 113th Congress.

Near the top of the list of agent concerns is the future of the Patient Protection and Affordable Care Act. The 2012 election results and the corresponding status quo in the balance of power in Washington translate to no wholesale repeal of the PPACA. With that specter of repeal removed and the Obama Administration forging ahead with implementation, it is likely that many states will move forward with their portion(s) of implementation as well (state exchange creation, navigator programs and more). The Big “I” continues working toward solutions that will address agent-specific issues via the regulatory process and legislation.

Last July marked the two-year anniversary of the Dodd-Frank Wall Street Reform and Consumer Protection Act. While the bill left the day-to-day regulation of insurance in the hands of the states, it did require the Federal Insurance Office to submit a report on ways to “Modernize and Improve the U.S. System of Insurance Regulation.” The report is almost a year overdue, but there are expectations that it could finally be released soon.

Efforts to improve agent licensing will also continue. The NARAB II legislation, which will streamline nonresident agent licensing, will be reintroduced in both the House and Senate, and there is hope that progress will be made in both chambers.

With so many important issues on the table, it will be more critical than ever for agents to be involved during the 113th Congress by participating in Big “I” grassroots campaigns, contributing to InsurPac and attending the annual Big “I” Legislative Conference April 17–19, 2013, in Washington, D.C.

Margarita Tapia is Big “I” director of public affairs.