Professional insurance agents continue to demonstrate that they are up to the challenges they face, according to Kenneth R. Auerbach, Esq., the newly-installed President of PIA National.

“Over the past decade, professional insurance agents have faced a series of challenges,” said Auerbach, in an address to the PIA National Board of Directors following his installation. “When I arrived here at PIA National, I, like many of you, was invigorated by a new problem we were facing – the offensive effort to steal our commissions and our contingencies. Now I find myself impassioned by a new struggle – the attempted federal takeover of insurance,” he said.

Auerbach said an optional federal charter, which would not be optional in practice, is being pushed by a handful of large banks, securities firms and a few carriers who want to expand their market share by creating a parallel federal regulatory system to gain an unfair advantage over their competitors – particularly regional and mutual insurance carriers, many of whom are represented by PIA members.

“PIA’s message is positive,” he said. “PIA believes the state system of insurance regulation works well. Yes, it needs improvements. Yes, it needs more modernization. But we shouldn’t toss out a system that works so well for consumers and has provided soundness and stability for our industry during our nation’s current economic crisis.”

Federal Regulation Harmful To Agents, PIA President Says (National Underwriter 10/17)

October 21, 2008