Insurance carriers who stopped paying agents contingent commissions in the wake of the commercial insurance bid-rigging scandal might be able to change those agreements after an appeals court ruled such commissions are legal, an agents' group official suggested.

The comments came from Kenneth R. Auerbach, president-elect of the National Association of Professional Insurance Agents and managing director and general counsel for E&K Agency in Eatontown, N.J.

In an interview with National Underwriter, he reacted to a decision by the New York Supreme Court, Appellate Division First Department that found contingent commission payments are not illegal and no insurer was under any obligation to reveal those payments because "no special relationship" existed between the parties.

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