Happy Wednesday! In this week's Big I Buzz: the Independent BROKERS TIME Act is introduced in the Senate, and the DOJ ends defense of the federal ban on noncompete agreements.

Independent BROKERS TIME Act Introduced in Senate

Sen. Mike Rounds (R-SD) and Sen. Catherine Cortez Masto (D-NV) have introduced the Independent Broker Relief and Oversight of Knowingly Egregious and Repetitive Sales Tactics in Medicare Enrollment Act of 2025, better known as the Independent BROKERS TIME Act.

The bipartisan bill directs the Secretary of Health and Human Services to update regulations for independent agents, brokers, and third-party marketing organizations under Medicare Parts C and D. The bill has been referred to the Senate Finance Committee for further consideration. Read more here.

DOJ Drops Defense of Ban on Employee ‘Noncompete’ Agreements

The U.S. Department of Justice has dropped its legal defense of the 2024 Federal Trade Commission rule that banned employee noncompete agreements, which typically prevent workers from joining competitors or starting competing businesses.

The decision follows rulings from two federal judges striking down the rule, and the DOJ has now filed motions to dismiss related appeals in New Orleans and Atlanta. The rule had faced strong opposition from Republicans and business groups, including the U.S. Chamber of Commerce.

FTC Chairman Andrew Ferguson had signaled in February that the agency was reviewing the rule, making this move widely expected. Read more here.

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.

By Misha Lee, IIAW Government Affairs

Governor Tony Evers officially signed the 2025-27 biennial state budget bill (2025 WI Act 15) into law on Thursday, July 3rd only hours after the Republican controlled Legislature sent him the bill for his signature. The comprehensive $111.1 billion plan represents a 12 percent increase in spending and includes several provisions directly impacting the IIAW membership and insurance industry. 

The budget's passage came swiftly after the state’s fiscal year ended on June 30. With new legislative maps creating tighter margins in the Senate (Republicans holding an 18-15 majority), securing bipartisan support for the budget was a significant challenge. Ultimately, a deal was struck on July 1st after intense, on-and-off negotiations over six weeks, with the Senate Democratic leader playing a crucial role in the final discussions with Republican legislative leaders.

Here’s a breakdown of key insurance related provisions included in the budget bill: 

Insurance Fraud Paralegal Position

The Office of the Commissioner of Insurance (OCI) will receive a new paralegal-advanced position to bolster its fraud investigation activities. This addition complements a full-time attorney position approved in the previous budget, reinforcing the state's commitment to fighting insurance fraud. 

New Driver Education Grants Program

A significant win for the industry, the budget establishes a new, ongoing driver’s education grants program. The Wisconsin Department of Transportation (DOT) will receive $6 million annually from OCI for this initiative. This funding, previously lapsed to the state’s general fund, reflects the insurance industry's dedication to improving driver education resources for young drivers. 

Sales and Use Tax Exemption for Information Products

A crucial provision exempts certain information products from state sales and use tax. This applies to reports, statistics, records, and other data used exclusively by certified insurance companies or licensed insurance intermediaries for quoting, underwriting, risk assessment, rate setting, or claims adjustment. This exemption covers items purchased by insurers or affiliates, transferred in tangible or digital form, and charged transactionally or via subscription. This measure is estimated to save the insurance industry approximately $8 million in 2025-26 and $10.9 million in 2026-27, rectifying what the industry viewed as incorrect tax collection by the Wisconsin Department of Revenue (DOR). 

Worker’s Compensation Hospital Service Fee Schedule

The budget introduces a new fee schedule specifically for hospital services related to Worker’s Compensation claims. This schedule applies if the service is from an eligible hospital, qualifies for Medical Assistance program reimbursement, and is paid within the specified period. The Wisconsin Department of Workforce Development (DWD) Worker’s Compensation Division will oversee the implementation of this complex provision, a key priority for Wisconsin Manufacturers and Commerce (WMC). 

Beyond these insurance-specific items, the broader budget agreement also addresses a range of other state priorities, including: 

Tax Cuts: $1.5 billion in income tax cuts, primarily benefiting the middle class, by expanding the second lowest income tax bracket, making the first $24,000 of retirement income tax-free for those 67 and older, and eliminating the 5% sales tax on electricity. 

Child Care Investment: Over $330 million dedicated to the child care industry, including the state’s first-ever state-funded child care program using general purpose revenue. 

K-12 Education: Nearly $1.4 billion increase in spendable revenue for K-12 schools, raising the special education reimbursement rate to 42% in the first year and 45% in the second year. 

Universities of Wisconsin (UW System): An increase of over $256 million for the UW System. 

Transportation Funding: An additional $200 million for transportation through various fee increases. 

Medicaid and Hospitals: $1.4 billion to cover Medicaid costs and an increase in the hospital assessment from 1.8% to 6%, generating over $1 billion in additional annual funds for hospitals. The state will retain 30% of matching federal funds for Wisconsin’s Medicaid trust fund. 

The budget brings both opportunities and operational adjustments for insurance professionals across the state. Staying informed about these changes is crucial for navigating the evolving regulatory and economic landscape.

Happy Wednesday! In this week’s Big I Buzz: the U.S. Senate passes the "One Big Beautiful Bill Act." Plus, how auto insurers can safeguard drivers against predatory tows.

Big "I" Secures Important Win as Senate Passes Tax Package

The Big “I” is celebrating a significant legislative victory as the U.S. Senate passed the “One Big Beautiful Bill Act” on Tuesday, July 1. This comprehensive tax package includes critical reforms and would make many provisions of the 2017 Tax Cuts and Jobs Act (TCJA) permanent.

Most notably, the bill would preserve the 199A deduction for pass-through entities, keeping it at the current 20% rate. According to the 2024 Agency Universe Study, 86% of independent insurance agencies are structured as pass-through entities and file taxes at the individual rate—making this a meaningful win for Big “I” members. Read more here.

How Auto Insurers Can Safeguard Drivers Against Predatory Tows

While most towing professionals operate with integrity, a small number take advantage of drivers in distress. These bad actors use deceptive tactics like impersonating legitimate businesses, quoting low prices only to inflate them later, towing without consent, or charging for unnecessary services.

Insurers can help protect policyholders by connecting them with trusted roadside assistance programs—an effective way to shield drivers from potential fraud. Read more here.

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.

Happy Wednesday! In this week’s Big I Buzz: A report reveals how much the average household spends on bills. Plus, a look at how congress and executive orders will impact health care.

Typical U.S. Household Shells Out Over 24K Each Year in Bills

A recent report by Doxo found that U.S. consumers spend nearly $25,000 per year on household bills. The data showed that a typical household spends $24,695 per year or $2,058 per month, with a median annual household income of $80,610.

According to the report, the 13 most essential household bills are:

• Mortgage ($1,775), Rent ($1,453) and Auto loan ($470).
• Cable & Internet ($121), Electric ($120) Auto Insurance ($105) and Mobile Phone ($96).
• Water & Sewer ($86), Alarm & Security ($74) and Health Insurance ($72).
• Gas ($71), Waste & Recycling ($70), and Life Insurance ($60).

Read more here.

How Will Congress, Executive Orders Impact Health Care?

Congress is poised to significantly influence the U.S. health care landscape as it reconvenes from its spring recess with a focus on extending the 2017 Tax Cuts and Jobs Act. This initiative includes potential $1.5 trillion in spending reductions, with Medicaid cuts emerging as a contentious issue. To offset the cost of tax extensions, lawmakers are considering limiting the tax-preferred status of employer-provided health coverage, a substantial expense under the Internal Revenue Code. Simultaneously, executive orders under President Trump's "Make America Healthy Again" initiative aim to expand treatment options, promote preventive care, and enhance price transparency in health insurance. Read more here.

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.

Happy Wednesday! In this week's Big I Buzz: Registration is now open for InsurCon2025, and the latest updates on the US personal lines insurance outlook and FEMA's action on Fort Myers Beach.

InsurCon2025 Registration Now Open

The Independent Insurance Agents of Wisconsin (IIAW) is excited to announce that registration is now open for InsurCon2025! This year’s convention will take place May 7-8 at the iconic American Family Field, home of the Milwaukee Brewers. Get ready for an unforgettable experience alongside Wisconsin’s top independent insurance agents, all set in a truly unique ballpark setting. You won’t want to miss out on the chance to network, learn, and enjoy a grand-slam experience at this one-of-a-kind event! Register today and save your spot!

AM Best Revises Outlook for US Personal Lines Insurance to ‘Stable’

AM Best recently revised its outlook for the US personal lines insurance segment to "Stable." The move reflects improved underwriting results, a favorable pricing environment, and enhanced capital positions for insurers. The outlook indicates a balance between challenges such as inflation and rising claims severity, alongside solid financials and a healthy competitive environment. As insurers continue to navigate these evolving conditions, this revised outlook offers a positive signal for the personal lines market. Read More Here.

FEMA Takes Action on Fort Myers Beach for Improper Rebuilding
FEMA has issued a sharp warning to the Fort Myers Beach area following reports of improper rebuilding in flood-prone zones. After Hurricane Ian’s devastation, officials discovered that several structures were rebuilt without adhering to the necessary floodplain management rules, prompting the agency to halt federal disaster relief funds. This action highlights the importance of compliance with flood mitigation measures and serves as a cautionary tale for other communities rebuilding after natural disasters. Read More Here.

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.