The Big “I” Capitol Hill team is looking forward to tackling numerous issues that impact independent insurance agents and their clients in 2017. As a Republican President takes office on Jan. 20 and Republicans control both chambers of Congress, lawmakers are eager to put their party’s stamp on many important pieces of legislation this year.
Flood insurance: Last year, the Big “I” was at the forefront of policy discussions surrounding flood insurance. In addition to testifying at the first flood insurance hearing of 2016 before a U.S. House of Representatives committee, the association played an integral role in laying the groundwork for NFIP reauthorization in September 2017.
Last month, House Financial Services Committee Republican leadership released draft principles as a roadmap for reauthorization. The Big “I” believes these principles are a reasonable starting point, but the association has concerns about a proposal to phase out some policyholders from the NFIP. This year, the Big “I” will continue working closely with Congress and its members to help secure appropriate reforms.
Health care: Perhaps the most significant development in the wake of the 2017 Presidential election is the anticipated repeal of the Affordable Care Act (ACA) in early 2017. While repeal may happen right away, a lengthy transition period and perhaps a delay are likely while Congress and the Administration work on replacement legislation.
Replacing the ACA will require some bipartisan support in order to pass the U.S. Senate. As ACA replacement progresses, the Big “I” will continue to guard against harmful changes to the employer-sponsored health care system.
Taxes: The outcome of the election has given tax reform discussions a major jolt as President-Elect Trump and congressional Republicans have made it clear that they want to enact a major tax overhaul in 2017. The Big “I” supports wholesale tax code reform on the condition that any proposal fairly address individual rates for small business pass-through entities, along with corporate rates. The Big “I” will continue pursuing tax reform that provides relief to its small business members and their employees.
Department of Labor (DOL) rules: The Big “I” expects Congress and the new Administration to delay, stop or amend the DOL fiduciary rule, which is set to take effect in April 2017. At the end of 2016, the Big “I” scored a legal victory when a federal judge delayed implementation of the DOL overtime rule.
Last fall, more than 55 business groups and 21 state governments sued the DOL. The Big “I” is the only insurance trade association involved in the lawsuits. The delay means the incoming Trump Administration and Congress now have more options for rolling back or amending the rule. The Big "I" will continue advocating for adjustments to both DOL rules in 2017.
Federal insurance regulation: In 2017, many anticipate consideration of legislation to install stronger procedural “checks” for federal officials in international insurance negotiations and defend state insurance regulation—as either a standalone issue or part of a wide-ranging financial services reform effort, such as the “Financial CHOICE Act.”
Last fall, the House Financial Services Committee passed the CHOICE Act by Rep. Jeb Hensarling (R-Texas), which is expected to serve as a template for financial services reform in 2017. This legislative effort could include efforts to change the structure of the Federal Insurance Office.
NARAB: The Big “I” is optimistic that 2017 will be the year the NARAB board is finally confirmed and can begin its important work. After a lengthy process, the White House submitted a batch of candidates for the NARAB board of directors—including a Big “I” agent and national board member, Angela Ripley of Maryland—to Congress in 2016. A 13-member board consisting of industry members and state regulators will run NARAB, but once the President appoints the board members, the Senate must confirm them.
Although the Senate failed to confirm the slate of nominees before adjourning the 114th Congress, the association will work with the Senate and the new Administration to ensure that this process moves along as smoothly as possible in 2017.
Crop Insurance: This year, leaders in both the Senate and House will begin to lay the groundwork for the next Farm Bill, as the current one expires in February 2018. Protecting the Federal Crop Insurance Program (FCIP) as the cornerstone of the farm safety net will continue to be a priority for the association, which will also continue ensuring that agents remain the sole sales force of the FCIP.
With so many key issues on the line, it’s more important than ever for agents to participate in Big “I” grassroots campaigns and attend the annual Legislative Conference, May 3-5 in Washington, D.C. On Thursday, May 4, Big “I” agents will visit Capitol Hill for the annual lobbying day. More than 50 new senators and representatives will hear directly from their agent and broker constituents, who represent every state and almost every congressional district during this annual pilgrimage.
In addition to visiting with legislators, the conference offers numerous opportunities to network and learn. Key highlights include the Young Agent and InsurPac lunch, the InsurPac major donor appreciation reception, leadership committee meetings and various panels. For more information, visit the Big "I" online or call 800-221-7917.
Charles Symington is Big “I” senior vice president of external and government affairs. Jen McPhillips is Big “I” vice president of federal government affairs. Margarita Tapia is Big “I” director of public affairs. Nathan Riedel is Big “I” vice president of political affairs. Wyatt Stewart is Big “I” senior director of federal government affairs. Jennifer Webb is Big “I” federal government affairs counsel.
