1

A bill to be entitled

2

An act relating to insurance representatives; amending s.

3

626.221, F.S.; expanding the list of applicants eligible

4

for exemption from certain examination requirements;

5

amending s. 626.2815, F.S.; revising certain continuing

6

education applicability requirements; prohibiting certain

7

entities from imposing certain continuing education

8

requirements; providing exceptions and limitations;

9

providing an exception to certain examination monitoring

10

requirements; providing requirements for exceptions;

11

amending s. 626.311, F.S.; authorizing agents qualifying

12

as unaffiliated insurance consultants to transact

13

insurance business within the scope of the agent's

14

license; providing a definition; providing requirements

15

for qualifying or continuing to qualify as an unaffiliated

16

insurance consultant; specifying prohibited activities for

17

unaffiliated insurance consultants; amending s. 626.381,

18

F.S.; authorizing appointing entities to impose certain

19

training program requirements; providing a limitation;

20

limiting appointment authority of appointing entities to

21

persons meeting continuing education requirements;

22

prohibiting appointments contingent upon certain

23

continuing education course attendance; providing an

24

effective date.

25

26

Be It Enacted by the Legislature of the State of Florida:

27

28

     Section 1.  Effective January 1, 2009, paragraph (j) of

29

subsection (2) of section 626.221, Florida Statutes, is amended

30

to read:

31

     626.221  Examination requirement; exemptions.--

32

     (2)  However, no such examination shall be necessary in any

33

of the following cases:

34

     (j)  An applicant for license as a customer representative

35

who has earned the designation of Accredited Advisor in Insurance

36

(AAI) from the Insurance Institute of America, the designation of

37

Certified Insurance Counselor (CIC) from the Society of Certified

38

Insurance Service Counselors, the designation of Accredited

39

Customer Service Representative (ACSR) from the Independent

40

Insurance Agents of America, the designation of Certified

41

Professional Service Representative (CPSR) from the National

42

Foundation for Certified Professional Service Representatives,

43

the designation of Certified Insurance Service Representative

44

(CISR) from the Society of Certified Insurance Service

45

Representatives. Also, an applicant for license as a customer

46

representative who has earned an associate degree or bachelor's

47

degree from an accredited college or university with at least

48

nine academic hours, or the equivalent, of property and casualty

49

insurance curriculum, or has earned the designation of Certified

50

Customer Service Representative (CCSR) from the Florida

51

Association of Insurance Agents, or the designation of Registered

52

Customer Service Representative (RCSR) from a regionally

53

accredited postsecondary institution in this state, or the

54

designation of Professional Customer Service Representative

55

(PCSR) from the Professional Career Institute, whose curriculum

56

has been approved by the department and whose curriculum includes

57

comprehensive analysis of basic property and casualty lines of

58

insurance and testing at least equal to that of standard

59

department testing for the customer representative license. The

60

department shall adopt rules establishing standards for the

61

approval of curriculum.

62

     Section 2.  Subsection (2), paragraph (f) of subsection (3),

63

and paragraph (j) of subsection (4) of section 626.2815, Florida

64

Statutes, are amended to read:

65

     626.2815  Continuing education required; application;

66

exceptions; requirements; penalties.--

67

     (2) Except as otherwise provided in this section, the

68

provisions of this section apply to persons licensed to engage in

69

the sale of insurance in this state for all lines of insurance

70

for which an examination is required for licensing and to any

71

insurer, employer, or appointing entity, including those created

72

or existing pursuant to s. 627.351. The provisions of this

73

section shall not apply to any person holding a license for the

74

sale of any line of insurance for which an examination is not

75

required by the laws of this state, nor shall the provisions of

76

this section apply to any limited license as the department may

77

exempt by rule.

78

     (3)

79

     (f)  Compliance with continuing education requirements is a

80

condition precedent to the issuance, continuation, reinstatement,

81

or renewal of any appointment subject to this section.

82

     1. An appointing entity, except those entities appointing

83

individuals who are employees or exclusive independent

84

contractors of the appointing entity, may not require, directly

85

or indirectly, as a condition of such appointment or the

86

continuation of such appointment, the taking of an approved

87

course or program by any appointee or potential appointee that is

88

not of the appointee's choosing.

89

     2. Any entity created or existing pursuant to s. 627.351

90

may require an employee to take training of any type that is

91

relevant to his or her employment, but may not require an

92

appointee who is not also an employee to take any approved course

93

or program unless such course or program deals solely with the

94

appointing entity's internal procedures or products, or with

95

subjects that are substantially unique to the appointing entity.

96

     (4)  The following courses may be completed in order to meet

97

the continuing education course requirements:

98

     (j)  Any course, including courses relating to agency

99

management or errors and omissions, developed or sponsored by any

100

authorized insurer or recognized agents' association or insurance

101

trade association or any independent study program of

102

instruction, subject to approval by the department, qualifies for

103

the equivalency of the number of classroom hours assigned thereto

104

by the department. However, unless otherwise provided in this

105

section, continuing education hours may not be credited toward

106

meeting the requirements of this section unless the course is

107

provided by classroom instruction or results in a monitored

108

examination. A monitored examination is not required for:

109

     1. An independent study program of instruction that is

110

presented through interactive, online technology that the

111

department determines has sufficient internal testing to validate

112

the student's full comprehension of the materials presented; or.

113

     2. An independent study program of instruction presented on

114

paper or in printed material imposing a final closed-book

115

examination meeting the requirements of the department's rule for

116

self-study courses. The examination may be taken without a

117

proctor if the student presents to the provider a sworn affidavit

118

certifying that the student did not consult any written materials

119

or receive outside assistance of any kind or from any person,

120

directly or indirectly, while taking the examination. If the

121

student is an employee of an agency or corporate entity, the

122

student's supervisor or a manager or owner of the agency or

123

corporate entity must also sign the sworn affidavit. If the

124

student is self-employed, a sole proprietor, or a partner, or if

125

the examination is administered online, the sworn affidavit must

126

also be signed by a disinterested third party. The sworn

127

affidavit must be received by the approved provider before

128

reporting continuing education credits to the department.

129

     Section 3.  Effective January 1, 2009, subsection (7) is

130

added to section 626.311, Florida Statutes, to read:

131

     626.311  Scope of license.--

132

     (7) Subject to the limitations of paragraph (b) and

133

notwithstanding any other provisions of this chapter, an agent

134

who qualifies as an unaffiliated insurance consultant pursuant to

135

paragraph (a) is authorized to transact insurance within the

136

scope of his or her agent's license.

137

     (a) For purposes of this subsection, the term "unaffiliated

138

insurance consultant" means a person who is not affiliated with

139

any insurer and chooses to practice as an independent insurance

140

consultant providing objective advice to the buyers of insurance

141

and who:

142

     1. Is licensed as an agent with respect to the type of

143

insurance for which he or she transacts the business of

144

insurance.

145

     2. Is not appointed or registered by an insurer or other

146

authorized appointing entity.

147

     3. Does not sell or service insurance on behalf of any

148

insurer, or sell or service insurance on behalf of any insurance

149

agent or insurance agency, in connection with the sale or service

150

on behalf of an insurer or by the insurance agent or insurance

151

agency.

152

     4. Does not receive any commission or any other form of

153

direct or indirect compensation from any insurer for the sale or

154

servicing of insurance on behalf of such insurer, or receive any

155

commission or any other form of direct or indirect compensation

156

from any insurance agent or insurance agency, in connection with

157

the sale or servicing of insurance on behalf of an insurer or by

158

the insurance agent or insurance agency.

159

     5. Is appointed by himself or herself with the department

160

and has paid applicable fees pursuant to s. 624.501.

161

     (b) An unaffiliated insurance consultant may not:

162

     1. Hold himself or herself out as acting as the agent for

163

an insurer;

164

     2. Act as a countersigning agent for an insurer; or

165

     3. Hold himself or herself out as replacing the need for an

166

appointed agent in the placement or sale of insurance.

167

     Section 4.  Present subsections (6) and (7) of section

168

626.381, Florida Statutes, are renumbered as subsections (8) and

169

(9), respectively, and new subsections (6) and (7) are added to

170

that section, to read:

171

     626.381  Renewal, continuation, reinstatement, or

172

termination of appointment.--

173

     (6) An appointing entity may require an appointee to attend

174

training and education programs of the appointing entity in order

175

for the appointee to receive a new appointment or maintain an

176

existing appointment. However, an appointing entity may not

177

require, directly or indirectly, any appointee to attend any

178

training programs that are wholly or partially approved for

179

general continuing education credit as described in s. 626.2815.

180

     (7) Each appointing entity may appoint only those persons

181

who have met the continuing education requirements of the license

182

necessary for such appointment as described in s. 626.2815.

183

However, an appointing entity may not make or allow, directly or

184

indirectly, any appointment of any appointee or potential

185

appointee to be contingent, in whole or in part, on any

186

appointee's attendance at any course that is approved, in whole

187

or in part, for continuing education credit pursuant to s.

188

626.2815.

189

     Section 5.  Except as otherwise expressly provided in this

190

act, this act shall take effect upon becoming a law.