Monday, February 13, 2012

Sixth Report of the 2012 Session of the General Assembly

Gambling on the Supreme Court

Delegate Lee Ware, Chairman of the Commerce and Labor subcommittee on insurance welcomed over 120 agents last week to the Insurance Day on the Hill.  Delegate Ware provided a behind the scenes look at a wide range of issues and encouraged agents to meet with their representatives.  “Members of the Virginia General Assembly simply don’t know the issues related to insurance as you do.  You have an obligation to let them know how legislation will effect you and your clients,” noted Delegate Ware.  As well, agents received updates on Federal legislation and in-depth reviews of proposals related to certificates of insurance and the Health Benefit Exchange.  In addition, agents relaxed at a reception attended by over 20 members of the General Assembly including speaker of the House of Delegates Bill Howell.

Our thanks to all agents who attended this critical event and we encourage everyone to get politically active and remain ready to contact their legislators if and when it’s necessary.

This is “cross-over” week coming up.  As of Wednesday the Senate can only look at legislation generated by the House, and the House can only look at legislation generated by the Senate.  This is of course except for that of the budget.  I truly believe this is the calm before the storm related to the budget and I for one am going to try and stay as far away from budget discussions as I possibly can.  Something tells me this is going to get ugly.

Last week, the Senate Commerce and Labor subcommittee on the Health Benefit Exchanges accepted IIAV and VAHU’s recommendations for certifying navigators and requiring 16 hours of continuing education every two years.  Of course, the committee will also recommend to the full Commerce and Labor Committee that the legislation be “carried over” and not be approved this legislative session.  It’s the best we can hope for at the moment.  There is virtually complete political opposition to passing a bill creating a Health Benefit Exchange – from the Governor to the leadership in the House of Delegates.  It’s easy to understand why but from a business perspective it’s just another unknown related to health care and how it impacts businesses in the future.  The Supreme Court will hear pleadings in March and are expected to make their ruling in June.  They could rule the PPACA as completely unconstitutional, or they could uphold bits and pieces of it.  In the mean time businesses large and small are looking for relief from the increasing costs of health care.

IIAV’s certificate legislation is moving forward and since they have effectively passed both houses without opposition, we hope that will continue and that shortly our bills will be heading to the governor for his signature. 

You might also see that legislation related to insurance agent licensing is moving forward.  HB 209  will change the 2 hour requirement for laws and regulations each biennium to 3 hours of Ethics, which may include laws and regulations.  This does not increase the total number of hours needed however.  In addition HB 209 streamlines the CE completion process providing little flexibility for those who don’t meet their requirements.  These provisions will not be effective until the 2013 biennium.

Take a look at the updated legislative table and let me know if you have any questions.  We have about a month to go for this legislative session but they must complete the work on bills before them and then craft a 2 year state budget.  Lots to do.

As always, if you have any questions, please don't hesitate to contact me by e-mail at Rbradshaw@iiav.com or through my cell phone at 804-909-4134. 

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