Exempting licensed independent insurance producer remuneration from the medical loss ratio

(a)

In general

Section 2718 of the Public Health Service Act (42 U.S.C. 300gg et seq.), as inserted by section 1001 and amended by section 10101(f) of the Patient Protection and Affordable Care Act (Public Law 111–148), is amended— (1)in subsection (a)(3), by inserting , remuneration paid for licensed independent insurance producers, after State taxes; (2)in subsection (b)(1)(A), in the matter preceding clause (i), by inserting , remuneration paid for licensed independent insurance producers, after State taxes; (3)in subsection (b)(1)(B), by inserting , remuneration paid for licensed independent insurance producers, after State taxes; and (4)by adding at the end the following new subsection:

(f)

Independent insurance producer, remuneration defined

For purposes of this section: (1)The term independent insurance producer means an insurance agent or broker, insurance consultant, benefit specialist, limited insurance representative, and any other person required to be licensed under the laws of the particular State to sell, solicit, negotiate, service, effect, procure, renew or bind policies of insurance coverage or offer advice, counsel, opinions, or services related to insurance. (2)The term remuneration means compensation paid by or accrued from an insurance issuer or health plan for services rendered under contractual agreement which may include fees, commissions, or rebates.

(b)

Regulations

Not later than 60 days after the date of the enactment of this Act, the Secretary of Health and Human Services shall amend any applicable regulations so as to take the amendments made by subsection (a) into account.