Senior Vp-Government Affairs

Council of Insurance Agents and Brokers

Washington

Q: What key 2010 federal-level legislative efforts are likely to be?

I want health care reform to be passed in a way that our members and their clients can live with. Much of the year might be consumed with trying to incrementally repair whatever might occur there. I believe there inevitably will be unintended consequences that will impact employers.

We would like to achieve more of what the House did, keeping any negative consequences of financial re-regulation away from our members and passing the surplus lines legislation at long last.

Q: What state efforts are you watching?

Probably the most consequential that has not received a lot of publicity is the New York circular letter on contract certainty. Basically, it's all about the World Trade Center, so the New York Insurance Department is attempting to impose a much higher standard for battening down policy terms, but we're urging them to do it in a manner that is not disruptive and does not create new rights of action. When New York sneezes, the rest of the country gets a cold.

Q: What were the most important federal legislative achievements in 2009?

It was exceptionally challenging to balance both the most consequential health reform effort ever with legislative efforts to restructure the way that financial institutions are regulated. Until either of these is on the president's desk, it's hard to judge their success or failure on the industry's part.

Q: What about at the state level?

They've been harshly criticized from both sides of the spectrum, but this year was marked by the National Assn. of Insurance Commissioners' leadership being much more progressive on the modernization front. And they're to be credited for proposing a limited pre-emption that would essentially create the framework for a megainterstate compact.

Q: What will the outcome of the midterm elections be?

I'm going to go out on a limb and predict a flip of 30 to 35 seats in the House and a net of two to three Senate seats for Republicans.