People believe the health insurance industry is doing better than the reality. As people seeking health care reform call for the end to health insurers’ profits, the reality is that the health insurance industry’s net income for the first nine months of the year fell by 12.4%, while underwriting costs rose.
As a direct result of the Patient Protection and Affordable Care Act (PPACA) – also known as ObamaCare – health insurance agent and broker commissions have been slashed by as much as 50%. Agencies have been forced to lay off employees, limit products and services, shift to other lines, and have seen significant drops in compensation.