Connecticut Senate Bill SB00924

Connecticut 2017 Regular Session

• Introduced: 2/24/17
• Refer: 2/24/17
• Report Pass: 3/9/17
• Refer: 3/17/17
• Report Pass: 3/23/17
• Engrossed: 4/19/17
• Report Pass: 4/20/17

Caption

An Act Requiring That Health Carriers Using The Connecticut Health Insurance Exchange Pay A Minimum Commission To Certain Insurance Producers.

Impact

If enacted, SB00924 would modify existing statutes governing the interactions between health carriers and insurance producers. The bill mandates the establishment of a schedule for reasonable commissions, introducing oversight to ensure that producers are compensated fairly for their services. This change is intended to enhance the number of agents willing to work with the Health Insurance Exchange, which could lead to better consumer outreach and education regarding health plan choices, ultimately fostering increased enrollment in health insurance programs.

Summary

SB00924, titled 'An Act Requiring That Health Carriers Using The Connecticut Health Insurance Exchange Pay A Minimum Commission To Certain Insurance Producers,' seeks to ensure that health carriers who utilize the Connecticut Health Insurance Exchange are obligated to pay a minimum commission to appointed insurance producers. This act aims to reinforce the role of insurance producers in assisting clients—both individuals and small employers—in selecting health insurance plans offered through the exchange, thereby promoting greater engagement in health insurance transactions.

Sentiment

The sentiment surrounding SB00924 appears to be supportive among proponents of the bill, particularly among insurance producers who believe that a guaranteed commission structure will bolster their participation and, consequently, improve consumer access to health insurance. However, some concerns may arise regarding the profitability for health carriers imposed by these minimum commission standards. Overall, the sentiment leans towards improving existing health care access for the citizens of Connecticut.

Contention

While there are supporters advocating for the bill on the grounds of enhancing consumer support and engagement, opposition from some health carriers might argue that mandatory commission structures could increase operational costs, potentially leading to higher premiums for consumers. The tension here revolves around the balance between fair compensation for insurance producers and the affordability of health insurance for consumers. Discussions suggest that while the intentions of the bill are commendable, its implications for cost structures within the health insurance landscape are a significant point of contention.