WASHINGTON—The chairman of the Independent Insurance Agents& Brokers of America says the association has not abandoned thefight to protect independent agents' role under federal healthcarereform.

Speaking here Friday at the conclusion of the IIABA'sLegislative Conference and Convention, Chairman Bob Bramlett saysthe topic of healthcare was not at the top of agenda because, "Asmuch as we would like to change it, PPACA (Patient Protection andAffordable Care Act) is the law of the land, and it has moved fromthe legislative to the regulatory phase."

He says important issues remain and the focus of IIABA is onimplementation of the program and assisting in that effort toprotect producers.

Exemplifying this effort is the Independent Insurance Agents ofIowa which received the 2012 Herndon Award for legislativeachievement. The IIAI legislative efforts helped produced a lawthat puts "navigators"—individuals designated under PPACA to helpbuyers purchase health insurance—under state regulation andlicensing. It also clearly defines the role of navigators in theprocess as opposed to the broader role of agents and brokers.

"This law is an example of what the Big 'I' wants to see inevery state," says Bramlett.

He calls for a level playing field for everyone, adding that, asa consumer protection issue, navigators should not perform the sameduties of agents.

"Your government affairs team is fighting to make sure that we,as agents, have a true and viable business role and are fairlycompensated for the work that we will do in these exchanges," saysBramlett.

Bramlett says that his agency, The Bramlett Agency in Ardmore,Okla., for which he is president and CEO, knows first-hand theadverse effects of PPACA. Employee benefits accounts for 33 percentof his agency's business and they are feeling the impact ofreduction in commission under the medical loss ratio mandate.

The act requires health insurers to spend 80 percent under smallplans and 85 percent under large plans of premium dollars on healthcare services and quality of improvement. To achieve that spendinggoal, insurers are cutting agent's commissions.

To ensure agents receive fair compensation, Bramlett says theIIABA is working in some states to allow agents to charge a fee inaddition to commission "as long as that fee is totally disclosedand transparent."

"The Big "I" will continue to work with our state associations,HHS (Health and Human Services), the state insurance departmentsand umbrella groups—NAIC (National Association of InsuranceCommissioners) and NCOIL (National Conference of InsuranceLegislators)—to try to limit the negative impact on agents as theroll-out of this law continues," says Bramlett.