Benefits & Executive Compensation News

AARP, Public Justice Back Insurance Agents in Classification Row

March 19, 2018, 3:07 PM

American Family Insurance Co. agents got support from national advocacy nonprofits AARP and Public Justice in their challenge to the insurance company classifying them as independent contractors rather than employees.

The nonprofits, in separate friend-of-the-court briefs, are urging the U.S. Court of Appeals for the Sixth Circuit to uphold a district court decision requiring American Family to treat nearly 7,000 agents as employees.

The district court decision sent shock waves through the insurance industry last year because it’s at odds with decisions by the Sixth and other circuits that have found that agents for other major insurance companies—including Principal Financial...

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