Agent Groups Busy Explaining Terrorism Act

The National Association of Professional Insurance Agents, located in Alexandria, Va., [www.pianet.com] has been equally busy, creating a Web site link to articles and statements on the law.

PIA also placed a bulletin in its November-December publication "Connections" on the issue. Executives say they plan to issue a separate statement soon advising agents on the current status of where the U.S. Treasury Department regulations stand and questions they should be asking carriers.

The busiest state associations have been the Independent Insurance Agents Association of New York, based in Syracuse, N.Y. [www.iiaany.org] and the Professional Insurance Agents Association of Connecticut, New Hampshire, New Jersey and New York, based in Glenmont, N.Y. [www.piaonline.org]

IIAANY announced it has put together a "fact-filled electronic kit" for members to help them understand how it affects them and their clients. The kit also contains links to IIABA's resources on the subject.

The Glenmont-based PIA has been equally busy, said Ellen D. Kiehl, assistant executive director of government and industry affairs, placing summaries of the bill and related bulletins on its Web site, along with links to Treasury. She also authored an article on the subject for the Web, "Federal Terrorism Backstop Is Law?Now What?"

Ms. Kiehl and J.B. McCampbell with IIAANY said their associations have received substantial inquiries from their members about the law and are working to make as much information available as possible for them.

In a statement, John R. Costello, IIAANY's chairman of the board, said the law places "no special responsibilities or duties on agents," but that it is important that agents be able to explain to their clients what is happening and what to expect.

"There are still a lot of unanswered questions," noted Ms. Kiehl. "We are posting something new every day to our members." She added that resolutions to the questions would probably go on well into January.

Associations outside of the New York area say they are relying upon the national associations to explain what is happening with the law.

Bill Roof, director of communications for the Independent Insurance Agents of Texas in Austin, Texas, said the association's Web site is directing members to IIABA's resources and related statements from the National Association of Insurance Commissioners and other industry sites with information.

Alan Smith, president of the PIA Group of California, Nevada, Arizona and New Mexico, based in Sacramento, Calif., said there has not been much of a call for information from members, who are more concerned with the hard market at the moment. But, he said, the national associations are "doing a good job at getting the information" out to members.

According to Laura Richter, vice president of communications for Professional Independent Insurance Agents of Illinois based in Springfield, Ill., the association has not received a lot of inquiries, but it is keeping agents advised on what is happening and advising them of information on industry Web sites, including IIABA.

Her group also plans to print a summary of the law in the association's publication "Insurance Insight."

Patricia A. Borowski, senior vice president of the National PIA, said agents must meet with the companies they represent and understand how the individual carrier's interpretation of the law is applied to policyholders.

The Insurance Brokers and Agents of the West, based in Oakland, Calif., began holding seminars on the subject in December through its insurance education division, Insurance Skills Center, said Nicolas Seperas, head of continuing education. Another is scheduled for late January in Palm Springs, Calif.