Monday, February 11, 2013

Draft Dodging

As Bob noted last week, some of the 58 states have begun to take a serious look at how their Exchanges (if any) will be run. A key issue is the role of agents/advisors, and how they're to be qualified and compensated.

Now comes word that HHS Secretary Shecantbeserious is planning to "start registering agents and brokers around July 1."

Okay, when you're through laughing, we can continue.

Have you noticed the little countdown timer in our sidebar? That's the countdown to the day the Exchanges are to go "live." The date? October 1st. Now, keeping this in mind, wrap your head around this:

"The federal exchange managers want to promote the agents by publishing lists of individual exchange producers starting in August and lists of the producers registered to sell Small Business Health Options Program (SHOP) exchange coverage starting in September." [emphasis added]

Now, given the institutional efficiency for which the HHS is so widely admired, what are the odds of this actually working out?

Yeah, that's what I think, too.

Anther question we might be asking ourselves is whether or not any sane insurance agent wants to participate. After all, under a state-regulated system, worst case scenario is generally a fine and/or loss of license. But these are (presumably) going to be subject to Federal laws, so the down-side must surely be more serious, no?

Which is not to say that it won't happen (I'm still on the fence, for example), but it does give one pause. And since that clock is clicking down at a pretty good clip, this may end up being a rather high-stakes game of chicken with Ms Kathy.

No comments:

Post a Comment