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PIA Reiterates Opposition to House Flood Legislative Package, Support for Senate Bill

PIA has issued the following statement reiterating its opposition to a House Flood Insurance legislative package.
July 25, 2017

WASHINGTON —The National Association of Professional Insurance Agents (PIA) has issued the following statement reiterating its opposition to a House Flood Insurance legislative package. The statement was made by Jon Gentile, vice president of government relations of PIA:

“PIA National has opposed the House flood legislative package because it cuts the Write Your Own (WYO) reimbursement rate by 3 percentage points. This cut was negotiated by trade groups and other representatives of insurance carriers without regard for the needs of agents or consumers.  Let us be clear: this cut to the WYO reimbursement rate will be passed onto independent insurance agents through their commissions. A cut to their commissions will force agents who currently sell flood insurance to leave the program, and the NFIP will quickly become prohibitively expensive for agents to begin to sell flood insurance. This will only hurt consumers, just as cutting the agent out of the Affordable Care Act hurt consumers in their purchase of health insurance.

“As an agent association, PIA National will continue to oppose this package, as it does not include a robust and specific protection for agents; such a protection has never been entertained by the committee despite sincere and protracted efforts by PIA and its members. It is unfortunate that consumers and agents will be the only ones asked to suffer the financial consequences of these programmatic changes, when they are arguably the groups that can least afford to do so.

“PIA remains opposed to this package of bills.”

Gentile also reaffirmed PIA’s previously-stated position in support of the “National Flood Insurance Program Reauthorization Act of 2017” (S. 1571) as introduced by Chairman Michael Crapo (R-Idaho) and Ranking Member Sherrod Brown (D-Ohio) and currently pending before the Senate Banking, Housing and Urban Affairs Committee.

Founded in 1931, PIA is a national trade association that represents member insurance agents and their employees who sell and service all kinds of insurance, but specialize in coverage of automobiles, homes and businesses. PIA members are Local Agents Serving Main Street America SM.PIA’s web address is www.pianet.com.

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