BIG “I” PLEASED WITH MILITARY FINANCIAL SERVICES ACT
House passes bill to curb questionable life insurance sales to armed forces
WASHINGTON, D.C., June 28, 2005—The Independent Insurance Agents & Brokers of America (the Big “I”) today praised the House of Representatives for its approval of H.R. 458, the Military Personnel Financial Services Protection Act, introduced by Rep. Geoff Davis (R-Ky.).
The bill, which the Big “I” supports, would help stop questionable life insurance sales practices aimed at members of our nation’s armed forces. The legislation would ban the sale of contractual plans, clarify the scope of state jurisdiction over insurance sales on military bases, and require pre-sale disclosures to military personnel.
The Big “I,” the nation’s largest agents and brokers group, strongly disapproves of these types of dubious life-insurance sales practices. Independent agents and brokers, who primarily sell property and casualty products, do not sell these types of policies to military personnel. Currently, it appears that these life insurance sales practices have been engaged in by only a small number of life insurance companies.
“It is our duty to protect the brave men and women of our armed forces against questionable sales practices perpetrated by a few bad actors,” says Charles E. Symington, Jr., Big “I” senior vice president for government affairs and federal relations. “Particularly at a time when the brave men and women of our military are fighting for our country, it is tremendously wrong to take the chance that even one of them has been misled. We fully support this legislation curbing life-insurance sales abuses, and we applaud Congressman Davis, a proud U.S. Army veteran, for introducing it and shepherding it through the House.”
“The committee’s approval of this legislation is a step forward,” says Patrick O’Brien, Big “I” director of federal government affairs. “With these heroic men and women putting their lives on the line for America, we must stop this questionable life-insurance sales practice. Independent insurance agents and brokers are very supportive of this bill.”
Founded in 1896, the Big “I” is the nation’s oldest and largest national association of independent insurance agents and brokers, representing a network of more than 300,000 agents, brokers and their employees nationally. Its members are businesses that offer customers a choice of policies from a variety of insurance companies. Independent agents and brokers offer property and casualty insurance, employee benefit plans and retirement products. Web address: www.independentagent.com.
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