Empire Blue Cross Cuts Broker Commissions
“Daddy, what’s a travel agent?” This was a question my 8 year old daughter asked me a few weeks ago when we were planning a family trip and I happened to mention that maybe a travel agent could make this task easier for us.
Will my daughter soon be asking; “Daddy, what’s an insurance broker?” Seems like it to me.
Following on the heals of Aetna’s announcement last month to cut broker commissions, Empire sent an internal email to all brokers saying that they too will be cutting commissions beginning in July. Like Aetna, Empire will be going to a ‘fee per head’ payout for all health plans. In the memo it stated, “If this financially impacts our brokers we will personally call you to let you know the ramifications of this change.” Gee thanks Empire, I guess you will have a lot of calls to make.
My question here is, where are the insurance organizations such as NAIFA (National Association of Insurance and Financial Advisors) and NALU (National Association of Life Underwriters) which we diligently pay our dues to each year to help protect our rights as agents and give us a “voice” in Washington? Silence. Not a word from these organizations saying that they will be going to bat for us.
A few years ago when Congress was debating an income tax on the internal rate of return in all whole life policies, these insurance organizations were all over this. They were begging us for support and money to help fight off the evil bureaucrats in Washington who wanted to change the characteristics of whole life insurance. Where are they now? Is this topic of cutting our commissions not as important?
With one quick waive of a wand, insurance companies can just do what they want and no one says a word. – See more at: https://healthplansny.com/empire-blue-cross-cuts-broker-commissions#sthash.VdHbzrro.dpuf