Further changes in producer compensation rules beyond those adopted in recent months by state regulators–including an end to contingency commissions–appear unlikely.[@@]
In remarks echoed by industry officials, North Dakota Insurance Commissioner Jim Poolman said Sunday, “I don’t believe this issue has shelf life,” adding later, “the issue will fade away.”
Poolman is chairman of the producer licensing working group of the National Association of Insurance Commissioners.
William Anderson, vice president and associate general counsel of the National Association of Insurance and Financial Advisors, Falls Church, Va., gave the same assessment of the issue.
They made their comments at a panel discussion on the opening day of the Annual Conference of the American Council of Life Insurers, being held in Washington.
Poolman said he did not support recent changes in compensation disclosure regulations in the Producer Licensing Model Act recently approved by the NAIC. He said he did not think the changes were needed because some underwriters and members of such trade groups as the Independent Insurance Agents and Brokers of America had agreed voluntarily to transparency, he said.