So we've been reporting on various carriers' unilateral decision to stop paying commissions, and wondered:
"Since it will no longer be paying commissions, will [carriers] now refund the portion of [their] clients' premiums that represent that cost?"
Blue Grass State honchos have weighed in, and the answer is (pleasantly) surprising:
"Kentucky has published an Advisory Opinion to clarify inquiries regarding the non-payment of commission payments to agents for certain products ... Failure to pay commissions in accordance with the rate filing will be considered a violation of the Insurance Code."
And this edict applies specifically to health insurers (both individual and group).
Now, it affects only carriers and agents in Kentucky (for now), but it will be interesting to see if other jurisdictions will hop on board.
So, some good news for a change.
"Since it will no longer be paying commissions, will [carriers] now refund the portion of [their] clients' premiums that represent that cost?"
Blue Grass State honchos have weighed in, and the answer is (pleasantly) surprising:
"Kentucky has published an Advisory Opinion to clarify inquiries regarding the non-payment of commission payments to agents for certain products ... Failure to pay commissions in accordance with the rate filing will be considered a violation of the Insurance Code."
And this edict applies specifically to health insurers (both individual and group).
Now, it affects only carriers and agents in Kentucky (for now), but it will be interesting to see if other jurisdictions will hop on board.
So, some good news for a change.
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