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Union Calendar No. 507 

112TH CONGRESS 

2D SESSION H. R. 1206 

[Report No. 112–694] 

To amend title XXVII of the Public Health Service Act to preserve consumer 

and employer access to licensed independent insurance producers. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 17, 2011 

Mr. ROGERS of Michigan (for himself, Mr. BARROW, Mr. WALSH of Illinois, 

Mr. BURGESS, Mr. AUSTRIA, Mr. ROKITA, Mr. BOREN, Mr. CARTER, Mr. 

HECK, Mr. ROSS of Arkansas, Mr. STIVERS, Mrs. MCMORRIS RODGERS, 

Mr. HOLDEN, Mr. ROSKAM, and Mr. MCCLINTOCK) introduced the following bill; which was referred to the Committee on Energy and Commerce 

NOVEMBER 15, 2012 

Additional sponsors: Mrs. BLACKBURN, Mr. GRIFFIN of Arkansas, Mr. RUPPERSBERGER, Mr. YODER, Mr. SESSIONS, Mr. MCCAUL, Mr. BURTON of 

Indiana, Mr. MCCOTTER, Mr. MULVANEY, Mr. KISSELL, Mr. PRICE of 

Georgia, Mr. PLATTS, Mr. COBLE, Mr. GINGREY of Georgia, Mr. ROGERS

of Kentucky, Mr. BOUSTANY, Mr. HUIZENGA of Michigan, Ms. GRANGER, 

Mr. PAUL, Ms. BORDALLO, Mr. AKIN, Mr. DOLD, Mr. GARDNER, Mr. 

CASSIDY, Mr. FITZPATRICK, Mr. SCHRADER, Mr. FORBES, Mr. GUTHRIE, 

Mr. SULLIVAN, Mr. MCKINLEY, Mr. STUTZMAN, Mr. LONG, Mr. 

BENISHEK, Ms. MCCOLLUM, Mr. WOODALL, Mr. ANDREWS, Mr. 

BARLETTA, Mr. MCINTYRE, Mr. FLEMING, Mr. STEARNS, Mr. CHANDLER, Mr. COFFMAN of Colorado, Mr. HARPER, Mr. DEFAZIO, Mr. 

HULTGREN, Mr. HARRIS, Mr. SCHOCK, Mr. LUETKEMEYER, Mr. 

NUNNELEE, Mr. GERLACH, Mr. WALBERG, Mr. KINZINGER of Illinois, 

Mr. RIBBLE, Mr. WHITFIELD, Mr. TIBERI, Mr. TERRY, Mr. POMPEO, 

Mr. WALDEN, Mr. WILSON of South Carolina, Ms. JENKINS, Mr. 

MATHESON, Mr. SHIMKUS, Mr. POSEY, Mr. SAM JOHNSON of Texas, Mr. 

JOHNSON of Ohio, Mr. SCHWEIKERT, Mr. THORNBERRY, Mr. FORTENBERRY, Mr. LATTA, Mr. CANSECO, Mr. ALTMIRE, Mr. REHBERG, Mr. 

FARENTHOLD, Mr. BASS of New Hampshire, Mr. GUINTA, Mr. SCALISE, 

Mr. PAULSEN, Mr. LATHAM, Mr. PETRI, Mr. CONAWAY, Mr. POE of 


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Texas, Mr. HANNA, Mr. SMITH of Texas, Mr. MILLER of Florida, Mr. 

ROE of Tennessee, Mr. RENACCI, Mr. BROOKS, Mr. LOBIONDO, Mr. 

KING of Iowa, Mr. NEUGEBAUER, Mr. ALEXANDER, Mr. RYAN of Wisconsin, Mrs. CAPITO, Mr. MARINO, Mr. HALL, Mr. MURPHY of Pennsylvania, Mrs. MILLER of Michigan, Mr. GIBSON, Ms. HAYWORTH, Mr. 

KELLY, Mr. NUGENT, Mr. AUSTIN SCOTT of Georgia, Mr. RAHALL, Mr. 

CALVERT, Mr. MARCHANT, Mr. BUCSHON, Mr. YOUNG of Indiana, Mr. 

DUNCAN of South Carolina, Mr. DUFFY, Mrs. MYRICK, Mr. GRAVES of 

Missouri, Mr. FLEISCHMANN, Mr. OWENS, Ms. BUERKLE, Mr. TIPTON, 

Mr. SCOTT of South Carolina, Mr. CHABOT, Mr. GOODLATTE, Mrs. 

BIGGERT, Mrs. BONO MACK, Mr. DENT, Mr. PERLMUTTER, Mr. SHUSTER, Mr. HURT, Mr. DAVIS of Kentucky, Mr. MICA, Mr. OLSON, Mr. 

HUELSKAMP, Ms. HERRERA BEUTLER, Mr. BROUN of Georgia, Mr. 

WITTMAN, Mr. WEST, Mrs. ELLMERS, Mr. FRELINGHUYSEN, Mr. 

PENCE, Mr. REED, Mrs. ADAMS, Mr. BISHOP of Georgia, Mr. MEEHAN, 

Mr. BISHOP of Utah, Mr. MANZULLO, Mr. BILBRAY, Mr. DUNCAN of 

Tennessee, Mr. LANDRY, Mr. PEARCE, Mr. THOMPSON of Pennsylvania, 

Mr. GOWDY, Mr. KINGSTON, Mr. GALLEGLY, Mr. FINCHER, Mr. LANCE, 

Mr. LATOURETTE, Mr. REICHERT, Mr. AMODEI, Mr. PASTOR of Arizona, 

Mrs. ROBY, Mr. GRAVES of Georgia, Mr. WESTMORELAND, Mr. WOMACK, 

Mr. LABRADOR, Mr. SMITH of New Jersey, Mr. PALAZZO, Mr. RUNYAN, 

Mr. DESJARLAIS, Mr. GIBBS, Mr. SCHILLING, Mr. GRIFFITH of Virginia, 

Mr. BONNER, Mrs. HARTZLER, Mr. HENSARLING, Mr. JONES, Mr. 

RIGELL, Mrs. BLACK, Mr. YOUNG of Alaska, Mr. DANIEL E. LUNGREN

of California, Mr. BARTON of Texas, Mr. BARTLETT, Mr. HINCHEY, Mr. 

TOWNS, Mr. SOUTHERLAND, Mr. CRAWFORD, Mr. GOSAR, Mr. DAVID

SCOTT of Georgia, Mrs. EMERSON, Mr. CHAFFETZ, Mr. MCKEON, Mr. 

HASTINGS of Washington, Mr. BRADY of Texas, Mr. SIMPSON, Mrs. 

BACHMANN, Mr. BUCHANAN, Mrs. NOEM, Mr. CLAY, Mr. GOHMERT, Mr. 

MACK, Mr. FLAKE, Mrs. LUMMIS, Mr. GARY G. MILLER of California, 

Mr. GRIMM, Mr. CRENSHAW, Mr. RIVERA, Mr. KLINE, Mr. CRAVAACK, 

Mr. BISHOP of New York, Mr. TURNER of Ohio, Mr. FLORES, and Mr. 

ADERHOLT

NOVEMBER 15, 2012 

Committed to the Committee of the Whole House on the State of the Union 

and ordered to be printed 

A BILL 

To amend title XXVII of the Public Health Service Act 

to preserve consumer and employer access to licensed 

independent insurance producers. 


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1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Access to Professional 

5 Health Insurance Advisors Act of 2011’’. 

6 SEC. 2. FINDINGS. 

7 Congress finds the following: 

8 (1) Licensed independent insurance producers 

9 (agents and brokers) provide a wide range of serv10 ices for both individual consumers and the business 

11 community. Producers interface with insurers, ac12 quire quotes, analyze plan options, and consult cli13 ents through the purchase of health insurance. 

14 (2) Licensed independent insurance producers 

15 provide guidance regarding benefit and contribution 

16 arrangements to ensure compliance with applicable 

17 State and Federal laws and regulations; assist with 

18 establishing section 125 plan tax savings under the 

19 Internal Revenue Code, health reimbursement ar20 rangements, flexible spending arrangements, and 

21 other programs to maximize tax advantages and en22 sure compliance with applicable Internal Revenue 

23 Service guidelines; create educational materials and 

24 provide on-site assistance to aid in employee benefit 

25 communication; assist in managing eligibility for 


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1 new hires and terminated employees; provide advo2 cacy for employees through the health insurance 

3 claim process; and advocate for employers with in4 surers in developing proposals, renewals, and for 

5 service issues throughout the year. 

6 (3) In order to meet these responsibilities, li7 censed independent insurance producers are required 

8 to complete continuing education on an ongoing 

9 basis in order to maintain appropriate licenses. This 

10 requirement to maintain educational standards helps 

11 assure the insured public that producers remain cur12 rent with the ever-evolving insurance market. 

13 (4) It is essential that licensed independent in14 surance producers continue to perform these duties, 

15 and others, as the Patient Protection and Affordable 

16 Care Act has made significant changes to the regu17 latory environment for health plans. To understand 

18 these changes, employers and consumers will need 

19 professional guidance even more in the future. This 

20 service is especially important for small businesses, 

21 as such producers often fill the role of a human re22 sources department as well as professional consult23 ant. 

24 (5) The National Association of Insurance 

25 Commissioners—whose core mission is to protect 


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1 consumers in all aspects of the business of insur2 ance—strongly advocates for the continuing role of 

3 licensed independent insurance producers in health 

4 insurance, and has expressed that the ability of in5 surance agents and brokers to continue assisting 

6 health insurance consumers at a time of rapid insur7 ance market changes is more essential than ever. 

8 (6) It is critical that the indispensable role 

9 played by licensed independent insurance producers 

10 is recognized and protected. 

11 SEC. 3. PROTECTING THE ABILITY OF LICENSED INDE12 PENDENT INSURANCE PRODUCERS TO CON13 TINUE TO SERVE THE PUBLIC. 

14 (a) IN GENERAL.—Section 2718 of the Public Health 

15 Service Act (42 U.S.C. 300gg et seq.), as inserted by sec16 tion 1001 and amended by section 10101(f) of the Patient 

17 Protection and Affordable Care Act, is amended— 

18 (1) in subsection (a)(3), by inserting ‘‘, remu19 neration paid for licensed independent insurance 

20 producers,’’ after ‘‘State taxes’’; 

21 (2) in subsection (b)(1)(A)— 

22 (A) in the matter preceding clause (i), by 

23 inserting ‘‘, remuneration paid for licensed 

24 independent insurance producers,’’ after ‘‘State 

25 taxes’’; 


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1 (B) in clause (ii), by inserting ‘‘or small 

2 group market’’ before ‘‘in such State’’; and 

3 (C) by adding at the end the following new 

4 sentence: 

5 ‘‘In the case of a State request for an adjust6 ment pursuant to clause (ii), the Secretary shall 

7 defer to the State’s findings and determinations 

8 regarding destabilization.’’; 

9 (3) in subsection (b)(1)(B), by inserting ‘‘, re10 muneration paid for licensed independent insurance 

11 producers,’’ after ‘‘State taxes’’; 

12 (4) in subsection (d), by inserting ‘‘or small 

13 group market’’ after ‘‘individual market’’; and 

14 (5) by adding at the end the following new sub15 section: 

16 ‘‘(f) INDEPENDENT INSURANCE PRODUCER REMU17 NERATION DEFINITIONS.—For purposes of this section: 

18 ‘‘(1) The term ‘independent insurance producer’ 

19 means an insurance agent or broker, insurance con20 sultant, benefit specialist, limited insurance rep21 resentative, and any other person required to be li22 censed under the laws of the particular State to sell, 

23 solicit, negotiate, service, effect, procure, renew or 

24 bind policies of insurance coverage or offer advice, 

25 counsel, opinions, or services related to insurance. 


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1 ‘‘(2) The term ‘remuneration’ means compensa2 tion paid by or accrued from an insurance issuer or 

3 health plan for services rendered under contractual 

4 agreement which may include fees, commissions, or 

5 rebates.’’. 

6 (b) REGULATIONS.—Not later than 60 days after the 

7 date of the enactment of this Act, the Secretary of Health 

8 and Human Services, in coordination with the National 

9 Association of Insurance Commissioners, shall amend any 

10 applicable regulations so as to take the amendments made 

11 by subsection (a) into account. 


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Union Calendar No. 507 

112TH CONGRESS 

2D SESSION H. R. 1206 

[Report No. 112–694] 

A BILL 

To amend title XXVII of the Public Health Service 

licensed independent insurance producers. Act to preserve consumer and employer access to 

NOVEMBER 15, 2012 

Committed to the Committee of the Whole House on the 

State of the Union and ordered to be printed 


sroberts on DSK5SPTVN1PROD with