Israeli Business Leaders Criticize State Policy and Regulatory Burdens
Independent business owners and insurance professionals at the Eilat conference criticized heavy taxation and regulation, demanding better state representation and support.
Independent business owners and insurance professionals gathered at the annual insurance conference in Eilat to voice frustration over government policies, taxation, and regulatory burdens, describing themselves as an overlooked cash cow.
Opening the heads of chambers panel, Miki Koppel, CEO and owner of Koppel Group, criticized the state attitude toward independent workers. He asked whether the government acts in the interest of self-employed individuals, placing the gap between their contribution to the economy and their lack of influence on taxation and regulation at the center of the debate.
Call for Representation and Regulatory Reform
Insurance Agents Association President Moshik Ben Porat urged the reinstatement of agents representatives to the Capital Market Authority advisory committee, noting they have lacked representation since 2017. Ben Porat emphasized that agents interact directly with insured clients and understand their needs, calling for coordination among regulatory bodies as agents expand into investments and credit.
Lahav President Adv. Roee Cohen echoed Koppel's sentiments, stating that independent workers have become a cash cow. Cohen attacked the hike in national insurance contributions for the self-employed, which he said came without equivalent rights like unemployment benefits or sick leave. He called on the government to treat small and medium enterprises as a growth engine, proposing to cancel ten existing regulatory directives for every new one introduced.
Tax Changes and the Impact of Artificial Intelligence
Gitit Shlomi, acting president of the Tax Advisors Chamber, warned that taxation changes regarding wallet companies and retained earnings are already impacting 2025 financial reports. She cautioned that pushing business owners to withdraw funds from companies could reduce investment in business development.
During the second part of the panel addressing technological shifts, participants discussed whether artificial intelligence would replace insurance agents. While Shlomi highlighted time savings on administrative tasks, Koppel stressed the irreplaceable value of human assistance during a crisis, stating that digital tools cannot substitute for a personal agent standing by a client in need.
