The Independent Insurance Agents & Brokers of America warned that the attack on a legal and effective compensation system is ongoing and mapped out its opposition to what it feels is an attempt to undermine contingent commission payments.

Responding to recent settlements between state attorneys general and two insurers–Zurich American and American International Group–executives with the Alexandria, Va.-based association said the agreements were backdoor attempts to undermine a sales incentive program that is important to the industry and agents.

“There is a critical need to preserve the right of insurance companies to determine how best to compensate the insurance agents and brokers who sell their products,” Robert A. Rusbuldt, chief executive officer of the Alexandria, Va.-based IIABA, said in a statement. “In this regard, the insurance industry is like virtually every other business distributing products through a sales force.”

Continue Reading for Free

Register and gain access to:

  • Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
  • Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.