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PIA Hails Removal of Medical Malpractice Insurers From Bill Restricting Insurance Antitrust Exemption
Date:2/22/2010

the McCarran-Ferguson Act fosters robust competition in the marketplace that benefits consumers," said PIA National Executive Vice President & CEO Leonard C. Brevik. "It enables small and mid-sized insurers to offer consumers competitively priced insurance products."

"There are almost 4,000 insurance companies in the United States," Brevik said. "Many are small and mid-size insurance companies that rely on jointly collected, pooled historical loss data to underwrite their policies. If this were no longer allowed, many of these companies could be forced out of business, with just a relative handful of companies remaining."

"We've seen what happens when there are only a handful of large financial institutions, regulated inadequately by the federal government," Brevik said. "It led to the financial meltdown. Congress should not unintentionally repeat that mistake by restricting competition in the insurance industry and encouraging the creation of a handful of 'too big to fail' companies. While this bill is still ill-advised, this change makes it less onerous and protects competition in the marketplace."

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 co
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SOURCE National Association of Professional Insurance Agents
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