I 

112TH CONGRESS 

1ST SESSION H. R. 1206 

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 

A BILL 

To amend title XXVII of the Public Health Service Act 

to preserve consumer and employer access to licensed 

independent insurance producers. 

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: 


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1 (1) Licensed independent insurance producers 

2 (agents and brokers) provide a wide range of serv3 ices for both individual consumers and the business 

4 community. Producers interface with insurers, ac5 quire quotes, analyze plan options, and consult cli6 ents through the purchase of health insurance. 

7 (2) Licensed independent insurance producers 

8 provide guidance regarding benefit and contribution 

9 arrangements to ensure compliance with applicable 

10 State and Federal laws and regulations; assist with 

11 establishing section 125 plan tax savings under the 

12 Internal Revenue Code, health reimbursement ar13 rangements, flexible spending arrangements, and 

14 other programs to maximize tax advantages and en15 sure compliance with applicable Internal Revenue 

16 Service guidelines; create educational materials and 

17 provide on-site assistance to aid in employee benefit 

18 communication; assist in managing eligibility for 

19 new hires and terminated employees; provide advo20 cacy for employees through the health insurance 

21 claim process; and advocate for employers with in22 surers in developing proposals, renewals, and for 

23 service issues throughout the year. 

24 (3) In order to meet these responsibilities, li25 censed independent insurance producers are required 


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1 to complete continuing education on an ongoing 

2 basis in order to maintain appropriate licenses. This 

3 requirement to maintain educational standards helps 

4 assure the insured public that producers remain cur5 rent with the ever-evolving insurance market. 

6 (4) It is essential that licensed independent in7 surance producers continue to perform these duties, 

8 and others, as the Patient Protection and Affordable 

9 Care Act has made significant changes to the regu10 latory environment for health plans. To understand 

11 these changes, employers and consumers will need 

12 professional guidance even more in the future. This 

13 service is especially important for small businesses, 

14 as such producers often fill the role of a human re15 sources department as well as professional consult16 ant. 

17 (5) The National Association of Insurance 

18 Commissioners—whose core mission is to protect 

19 consumers in all aspects of the business of insur20 ance—strongly advocates for the continuing role of 

21 licensed independent insurance producers in health 

22 insurance, and has expressed that the ability of in23 surance agents and brokers to continue assisting 

24 health insurance consumers at a time of rapid insur25 ance market changes is more essential than ever. 


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1 (6) It is critical that the indispensable role 

2 played by licensed independent insurance producers 

3 is recognized and protected. 

4 SEC. 3. PROTECTING THE ABILITY OF LICENSED INDE5 PENDENT INSURANCE PRODUCERS TO CON6 TINUE TO SERVE THE PUBLIC. 

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

8 Service Act (42 U.S.C. 300gg et seq.), as inserted by sec9 tion 1001 and amended by section 10101(f) of the Patient 

10 Protection and Affordable Care Act, is amended— 

11 (1) in subsection (a)(3), by inserting ‘‘, remu12 neration paid for licensed independent insurance 

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

14 (2) in subsection (b)(1)(A)— 

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

16 inserting ‘‘, remuneration paid for licensed 

17 independent insurance producers,’’ after ‘‘State 

18 taxes’’; 

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

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

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

22 sentence: 

23 ‘‘In the case of a State request for an adjust24 ment pursuant to clause (ii), the Secretary shall 


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1 defer to the State’s findings and determinations 

2 regarding destabilization.’’; 

3 (3) in subsection (b)(1)(B), by inserting ‘‘, re4 muneration paid for licensed independent insurance 

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

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

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

8 (5) by adding at the end the following new sub9 section: 

10 ‘‘(f) INDEPENDENT INSURANCE PRODUCER REMU11 NERATION DEFINITIONS.—For purposes of this section: 

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

13 means an insurance agent or broker, insurance con14 sultant, benefit specialist, limited insurance rep15 resentative, and any other person required to be li16 censed under the laws of the particular State to sell, 

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

18 bind policies of insurance coverage or offer advice, 

19 counsel, opinions, or services related to insurance. 

20 ‘‘(2) The term ‘remuneration’ means compensa21 tion paid by or accrued from an insurance issuer or 

22 health plan for services rendered under contractual 

23 agreement which may include fees, commissions, or 

24 rebates.’’. 


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

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

3 and Human Services, in coordination with the National 

4 Association of Insurance Commissioners, shall amend any 

5 applicable regulations so as to take the amendments made 

6 by subsection (a) into account. 

Æ 


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