NAIC Keeping Focus On Broker Fees|
By Jim Connolly
National Underwriter News
Feb. 25, 2005
New York Attorney General Eliot Spitzer has met with state insurance regulators to discuss the recent settlement agreement with Marsh & McLennan, Inc., and related marketplace issues, Diane Koken, president of the National Association of Insurance Commissioners, Kansas City, MO, confirmed.
The discussion took place during an interim meeting of the NAIC executive task force on broker activities held Tuesday and Wednesday in New York. Ms. Koken, who is also Pennsylvania's insurance commissioner, declined to discuss specific details of what was discussed.
In other action, the regulators' executive task force decided to focus on five to six issues in determining whether additional changes should be made to the NAIC model law for states' use in licensing agents and brokers.
Previously, on Dec. 29, 2004, the group adopted an amended model producer licensing law. The producer fee issue is also before the National Conference of Insurance Legislators, which is due to take up the topic at its meeting next week.
The NAIC said it plans to hold a session on producer licensing March 14 during its spring meeting in Salt Lake City. Ms. Koken said next week the NAIC will make public a series of questions that will be up for discussion at the producer licensing session.
The questions are separate from a set of inquiries that were sent out by the NAIC to companies to gather data on the broker compensation issue. The company survey data that has been gathered is still being analyzed, she explained. The findings of that data will probably be finalized after the Salt Lake City meeting, Ms. Koken said.
Results of the survey as well as testimony from the public hearing will enable regulators to determine whether additional changes need to be made to the adopted model, she added.