A New York agents' trade group has sent an angry e-mail to insurance companies telling them to stop giving customer data to rival insurance agents when a competing agent originally submitted the information.
The DeWitt, N.Y.-based Independent Insurance Agents & Brokers of New York Inc. said that as the marketplace has been impacted by falling prices, insurers "after unsuccessfully quoting an account with one agent, have given information about that account to a competing agent who may have better luck."
Calling this an "inappropriate practice," IIABNY said it has broadcast an e-mail message yesterday to insurance company executives, informing them of a recent policy statement adopted by the IIABNY board.
The statement, adopted in May, declares: "The basic tenet of the independent agency system is that the agent/broker exclusively owns and controls its policyholder list, its expirations and the work product."
The authors of the e-mail--IIABNY Chairman Neal L. Sullivan, CPA, and association President and Chief Executive Officer Richard A. Poppa, CAE, AAI--reminded insurers that this information-sharing procedure is "not a proper business practice."
Their message stated that New York's oldest insurance producer trade association "stands firm in its defense of agents' and brokers' ownership of client and policyholder information."
IBANY said its policy statement on Sharing of Agent/Broker Created Prospect Files is online at http://ny.iiaa.org/Legislation/ProspectFilesPolicy_0508.pdf
IABNY said it acts as a legislative advocate for more than 1,900 agencies and their 18,000 employees.
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