Advocacy in action blog

The recently enacted HR 1 brings significant changes to tax policy, retirement planning, and financial strategies that clients rely on. As trusted advisors, it’s essential to stay ahead of the curve - not just to understand the updates, but to explain them in ways that build trust and reinforce our value.

The newly finalized reconciliation bill delivers a sweeping set of tax provisions that will shape how financial professionals advise clients - individuals, families, and businesses - for years to come. From income tax and charitable giving to estate planning and business deductions, this legislation locks in key provisions of the Tax Cuts and Jobs Act (TCJA) while adding new tools across multiple areas of financial planning. NAIFA has identified 15 key takeaways that every financial professional should know. Download PDF.

NAIFA CEO Kevin Mayeux, CAE, issued the following statement upon Senate passage of its version of the tax and spending reconciliation bill:

“NAIFA is pleased that the Senate-passed reconciliation bill includes important measures that protect the financial security of American families and businesses. NAIFA members have strongly encouraged lawmakers to include permanent extensions of the 199A tax deduction for pass-through businesses and most of the individual tax rates and deductions that would have expired this year. We have also asked lawmakers to reject a cap on the corporate state and local tax (C-SALT) deduction and new taxes on insurers or insurance products. American consumers will benefit from the fact that the bill preserves the existing tax treatment of financial tools and imposes no new burdens that would prevent insurance and financial professionals from effectively serving the American public. NAIFA will continue to monitor the bill as it now returns to the House for final passage. Major changes that will impact our members or the financial security of the Main Street consumers they serve are unlikely.”

The National Association of Insurance and Financial Advisors (NAIFA) supports the budget reconciliation tax package and has signed onto two coalition letters (here and here) urging Congress to enact this important legislation. This tax package builds on the foundation laid by the Tax Cuts and Jobs Act and reflects a clear commitment to policies that enable Main Street businesses including insurance and financial professionals to thrive. It addresses long-standing tax concerns that impact the majority of small businesses and pass-through entities that form the backbone of local economies.

NAIFA Trustee Dennis Cuccinelli of NAIFA-New Jersey testified before the New Jersey Department of Labor and Workforce Development to voice concerns over a proposed rule that would codify the ABC test for determining worker classification.

"The Centers for Medicare & Medicaid Services' (CMS) decision to positively adjust agent compensation for 2026 is a meaningful step in the right direction," said NAIFA CEO Kevin Mayeux, CAE. "This adjustment reflects growing recognition of the critical role licensed insurance professionals play in guiding Medicare beneficiaries through a complex and often confusing system.

The National Association of Insurance and Financial Advisors (NAIFA) strongly objects to United Healthcare’s decision to cut agent commissions on more than 100 Medicare Advantage plans across over 20 states. This action undermines the value of professional guidance at a time when seniors need it most.

NAIFA supports the bipartisan FIREWALL Act - Facilitating Increased Resilience, Environmental Weatherization and Lowered Liability - introduced by Senators Adam Schiff and Tim Sheehy. As natural disasters grow in frequency and severity, this legislation offers a proactive, fiscally responsible strategy to help protect American families and stabilize insurance markets.

A rule proposed by the New Jersey Department of Labor and Workforce Development (DOLWD) threatens the independent contractor status of many insurance agents and brokers and would improperly classify them as "employees" under state labor laws. Unfortunately, this would also impact consumers in the state, as the independence of licensed insurance and financial professionals allows them to effectively serve their clients by offering products and services from multiple insurance companies and financial institutions.

The House passed its version of the $6 trillion+ reconciliation bill (including a $3.8 trillion tax title), but we are still a long way from final action. Changes are expected in the Senate, and then more changes are likely as the House and Senate try to reconcile their two versions of the bill. Details are below. But first: a quick report on a highly successful NAIFA Congressional Conference last week.