Any business that an agency submits to the Assigned Risk Plan between April 1, 2008 and March 31, 2011 and during this period, the insurance company to which the risk was assigned, takes the risk out of the plan and writes that risk voluntarily, has to recognize the producer of record, who submitted the business and pay the producer a commission. As of April 1, 2011,an insurance company that takes business out of the assigned risk plan, will no longer have to recognize the producer of record and pay a commission to that producer who submitted the business.
The 2-years is not free – carriers would pick it up at the back end if they ever left the state. This approach exists due to a lag in reporting data. There is no other workable method as assignments are based on voluntary market share.
This and the ability to take out policies to depop the AIP (which is supposed to be a market of last resort) are consistent with every other AIP state.
The US and State Constitutions prohibit the government from taking property without compensation – except where insurance companies and assigned risk plans are allowed to do it. These are the same companies that cry over the money they’re losing on PP auto -yet they want to steal the agent’s book of business. Yes, the so-called “Managed Competition” brought many new (vulture) companies in because they saw the the big profits they could make with the new system. Impeach your Supreme Court “Justices”, depose the Governor and Insurance Commissioner, and get justice back in MA.
Exactly what “property” is being stolen? You don’t own those policies, those policies techinically belong to the insured and insurance company in the physical sense of the matter. You’re just there to provide customer service. Find a market and stop writting Assigned Risk and you’ll be fine.
Apparently, dear oktOber, you aren’t aware that virtually every state court system in the nation recognizes an agent/broker expectation of a renewal and the commissions that come with same is a “property right” protected by State and Federal constitutions. Can’t take someone’s property without due compensation. This provision was designed to prevent government or someone else from confiscating your property unless you were paid fair compensation. Your court has decided this protection may be ignored by insurance companies – and your appointed / elected government officials.
Again oktOber, if it was so easy to get PP auto appointments as you seem to think, there’d be no need for any alternative mechanism, assigned risk plan or otherwise. Try to get an auto appoitment with the very large majority of companies in MA and the uniform answer would be “no” even if you’re located in a suburban or rural area, no less a major city. That is one of the root problems your regulators and politicians have been ignoring, and will continue to ignore so long as campaign contributions come in from insurance companies/employees.
So will agents get commission on the first year of the assigned-risk policies they write under the statue and this ruling?
yet the state requires me to write assigned risk policy’s I dont work for F**ken free librals!
But you DO apparently work without being able to write, punctuate or spell. Try this:
Yet the state requires me to write assigned risk policies. I don’t work for f**kin’ free, liberals!
Guess the state found a quick way to depopulate the assigned risk plan. Agents will find a market, come hell or high water.
Any business that an agency submits to the Assigned Risk Plan between April 1, 2008 and March 31, 2011 and during this period, the insurance company to which the risk was assigned, takes the risk out of the plan and writes that risk voluntarily, has to recognize the producer of record, who submitted the business and pay the producer a commission. As of April 1, 2011,an insurance company that takes business out of the assigned risk plan, will no longer have to recognize the producer of record and pay a commission to that producer who submitted the business.
Dan,
Thank you for the clarification. And best of luck with this.
(And so I can mention it before it gets pointed out, yes I forget the third “t” in statute…!)
The 2-years is not free – carriers would pick it up at the back end if they ever left the state. This approach exists due to a lag in reporting data. There is no other workable method as assignments are based on voluntary market share.
This and the ability to take out policies to depop the AIP (which is supposed to be a market of last resort) are consistent with every other AIP state.
The US and State Constitutions prohibit the government from taking property without compensation – except where insurance companies and assigned risk plans are allowed to do it. These are the same companies that cry over the money they’re losing on PP auto -yet they want to steal the agent’s book of business. Yes, the so-called “Managed Competition” brought many new (vulture) companies in because they saw the the big profits they could make with the new system. Impeach your Supreme Court “Justices”, depose the Governor and Insurance Commissioner, and get justice back in MA.
@ Okt0ber, I was thinking the same thing.
great thanks ***, let me know when the next spelling be come’s up!
and then be terminated due to loss ratio
Stop writing policies in the Assigned Risk Plan!! Easy as pie. Get appointments with new companies that accept “high risk” drivers – like Progressive.
Exactly what “property” is being stolen? You don’t own those policies, those policies techinically belong to the insured and insurance company in the physical sense of the matter. You’re just there to provide customer service. Find a market and stop writting Assigned Risk and you’ll be fine.
Apparently, dear oktOber, you aren’t aware that virtually every state court system in the nation recognizes an agent/broker expectation of a renewal and the commissions that come with same is a “property right” protected by State and Federal constitutions. Can’t take someone’s property without due compensation. This provision was designed to prevent government or someone else from confiscating your property unless you were paid fair compensation. Your court has decided this protection may be ignored by insurance companies – and your appointed / elected government officials.
Again oktOber, if it was so easy to get PP auto appointments as you seem to think, there’d be no need for any alternative mechanism, assigned risk plan or otherwise. Try to get an auto appoitment with the very large majority of companies in MA and the uniform answer would be “no” even if you’re located in a suburban or rural area, no less a major city. That is one of the root problems your regulators and politicians have been ignoring, and will continue to ignore so long as campaign contributions come in from insurance companies/employees.