A bipartisan bill that would separate broker compensation from the medical loss ratio under the Patient Protection and Affordable Care Act is earning praise from brokers and agents who have argued that the law’s provision is threatening their livelihood.
The Access to Professional Health Insurance Advisors Act — H.R. 2328 — introduced Wednesday by Reps. Mike Rogers, R-Mich., and John Barrow, D-Ga., would clarify that broker compensation is not part of the medical loss ratio calculation as mandated by PPACA.
The impact of the MLR rules on agents and brokers has been damaging since many insurance carriers have significantly cut their agent compensation to comply with the regulations.
"This means jobs are being cut, agents and brokers are beginning to disappear, and small businesses and individuals are having a harder time accessing affordable insurance,” Rogers said this week.