BILL REQ. #: S-1943.1
| State of Washington | 60th Legislature | 2007 Regular Session |
READ FIRST TIME 02/28/07.
AN ACT Relating to persons selling, soliciting, or negotiating insurance; amending RCW 48.17.010, 48.17.060, 48.17.063, 48.17.065, 48.17.067, 48.17.090, 48.17.110, 48.17.125, 48.17.150, 48.17.160, 48.17.170, 48.17.180, 48.17.250, 48.17.270, 48.17.380, 48.17.390, 48.17.410, 48.17.420, 48.17.450, 48.17.460, 48.17.470, 48.17.475, 48.17.480, 48.17.490, 48.17.510, 48.17.530, 48.17.565, 48.17.591, 48.17.600, and 48.14.010; reenacting and amending RCW 42.56.400; adding new sections to chapter 48.17 RCW; repealing RCW 48.17.020, 48.17.030, 48.17.040, 48.17.050, 48.17.055, 48.17.070, 48.17.100, 48.17.120, 48.17.130, 48.17.190, 48.17.200, 48.17.210, 48.17.230, 48.17.240, 48.17.260, 48.17.280, 48.17.290, 48.17.300, 48.17.310, 48.17.320, 48.17.330, 48.17.340, 48.17.500, 48.17.520, and 48.05.310; prescribing penalties; and providing an effective date.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 1 RCW 48.17.010 and 1985 c 264 s 7 are each amended to read
as follows:
(("Agent" means any person appointed by an insurer to solicit
applications for insurance on its behalf. If authorized so to do, an
agent may effectuate insurance contracts. An agent may collect
premiums on insurances so applied for or effectuated.))
The definitions in this section apply throughout this chapter
unless the context clearly requires otherwise.
(1) "Adjuster" means any person who, for compensation as an
independent contractor or as an employee of an independent contractor,
or for fee or commission, investigates or reports to the adjuster's
principal relative to claims arising under insurance contracts, on
behalf solely of either the insurer or the insured. An attorney-at-law
who adjusts insurance losses from time to time incidental to the
practice of his or her profession, or an adjuster of marine losses, or
a salaried employee of an insurer or of a managing general agent, is
not deemed to be an "adjuster" for the purpose of this chapter.
(a) "Independent adjuster" means an adjuster representing the
interests of the insurer.
(b) "Public adjuster" means an adjuster employed by and
representing solely the financial interests of the insured named in the
policy.
(2) "Business entity" means a corporation, association,
partnership, limited liability company, limited liability partnership,
or other legal entity.
(3) "Home state" means the District of Columbia and any state or
territory of the United States or province of Canada in which an
insurance producer maintains the insurance producer's principal place
of residence or principal place of business, and is licensed to act as
an insurance producer.
(4) "Insurance education provider" means any insurer, health care
service contractor, health maintenance organization, professional
association, educational institution created by Washington statutes, or
vocational school licensed under Title 28C RCW, or independent
contractor to which the commissioner has granted authority to conduct
and certify completion of a course satisfying the insurance education
requirements of RCW 48.17.150.
(5) "Insurance producer" means a person required to be licensed
under the laws of this state to sell, solicit, or negotiate insurance.
"Insurance producer" does not include title insurance agent as defined
in subsection (15) of this section.
(6) "Insurer" has the same meaning as in RCW 48.01.050, and
includes a health care service contractor as defined in RCW 48.44.010
and a health maintenance organization as defined in RCW 48.46.020.
(7) "License" means a document issued by the commissioner
authorizing a person to act as an insurance producer or title insurance
agent for the lines of authority specified in the document. The license
itself does not create any authority, actual, apparent, or inherent, in
the holder to represent or commit to an insurer.
(8) "Limited line credit insurance" includes credit life, credit
disability, credit property, credit unemployment, involuntary
unemployment, mortgage life, mortgage guaranty, mortgage disability,
automobile dealer gap insurance, and any other form of insurance
offered in connection with an extension of credit that is limited to
partially or wholly extinguishing the credit obligation that the
commissioner determines should be designated a form of limited line
credit insurance.
(9) "NAIC" means national association of insurance commissioners.
(10) "Negotiate" means the act of conferring directly with, or
offering advice directly to, a purchaser or prospective purchaser of a
particular contract of insurance concerning any of the substantive
benefits, terms, or conditions of the contract, provided that the
person engaged in that act either sells insurance or obtains insurance
from insurers for purchasers.
(11) "Person" means an individual or a business entity.
(12) "Sell" means to exchange a contract of insurance by any means,
for money or its equivalent, on behalf of an insurer.
(13) "Solicit" means attempting to sell insurance or asking or
urging a person to apply for a particular kind of insurance from a
particular insurer.
(14) "Terminate" means the cancellation of the relationship between
an insurance producer and the insurer or the termination of an
insurance producer's authority to transact insurance.
(15) "Title insurance agent" means a business entity licensed under
the laws of this state and appointed by an authorized title insurance
company to sell, solicit, or negotiate insurance on behalf of the title
insurance company.
(16) "Uniform business entity application" means the current
version of the NAIC uniform application for business entity insurance
license or registration for resident and nonresident business entities.
(17) "Uniform application" means the current version of the NAIC
uniform application for individual insurance producers for resident and
nonresident insurance producer licensing.
Sec. 2 RCW 48.17.060 and 2003 c 250 s 4 are each amended to read
as follows:
(((1) A person may not act as or hold himself or herself out to be
an agent, broker, solicitor, or adjuster in this state unless licensed
by the commissioner.))
(2) An agent, solicitor, or broker may not solicit or take
applications for, procure, or place for others any kind of insurance
for which he or she is not then licensed.
(3) This section does not apply with respect to any person securing
and forwarding information required for the purposes of group credit
life and credit disability insurance or credit casualty insurance
against loss or damage resulting from failure of debtors to pay their
obligations in connection with an extension of credit and such other
credit life and disability insurance or credit casualty insurance
against loss or damage resulting from failure of debtors to pay their
obligations as the commissioner shall determine, and where no
commission or other compensation is payable on account of the securing
and forwarding of such information. However, the reimbursement of a
creditor's actual expenses for securing and forwarding information
required for the purposes of such group insurance will not be
considered a commission or other compensation if such reimbursement
does not exceed three dollars per certificate issued, or in the case of
a monthly premium plan extending beyond twelve months, not to exceed
three dollars per loan transaction revision per year.
A person shall not sell, solicit, or negotiate insurance in this
state for any line or lines of insurance unless the person is licensed
for that line of authority in accordance with this chapter.
NEW SECTION. Sec. 3 A new section is added to chapter 48.17 RCW
to read as follows:
(1) Nothing in this act shall be construed to require an insurer to
obtain an insurance producer license. In this section, the term
"insurer" does not include an insurer's officers, directors, employees,
subsidiaries, or affiliates.
(2) A license as an insurance producer is not required of the
following:
(a) An officer, director, or employee of an insurer or of an
insurance producer, provided that the officer, director, or employee
does not receive any commission on policies written or sold to insure
risks residing, located, or to be performed in this state, and:
(i) The officer, director, or employee's activities are executive,
administrative, managerial, clerical, or a combination of these, and
are only indirectly related to the sale, solicitation, or negotiation
of insurance; or
(ii) The officer, director, or employee's function relates to
underwriting, loss control, inspection, or the processing, adjusting,
investigating, or settling of a claim on a contract of insurance; or
(iii) The officer, director, or employee is acting in the capacity
of a special agent or agency supervisor assisting insurance producers
where the person's activities are limited to providing technical advice
and assistance to licensed insurance producers, and do not include the
sale, solicitation, or negotiation of insurance;
(b) A person who secures and furnishes information for the purpose
of group life insurance, group property and casualty insurance, group
annuities, group or blanket accident and disability insurance; or for
the purpose of enrolling individuals under plans; or issuing
certificates under plans or otherwise assisting in administering plans;
or performs administrative services related to mass marketed property
and casualty insurance; where no commission is paid to the person for
the service;
(c) An employer or association or its officers, directors,
employees, or the trustees of an employee trust plan, to the extent
that the employers, officers, employees, director, or trustees are
engaged in the administration or operation of a program of employee
benefits for the employer's or association's own employees or the
employees of its subsidiaries or affiliates, which program involves the
use of insurance issued by an insurer, as long as the employers,
associations, officers, directors, employees, or trustees are not in
any manner compensated, directly or indirectly, by the company issuing
the contracts;
(d) Employees of insurers or organizations employed by insurers who
are engaging in the inspection, rating, or classification of risks, or
in the supervision of the training of insurance producers, and who are
not individually engaged in the sale, solicitation, or negotiation of
insurance;
(e) A person whose activities in this state are limited to
advertising without the intent to solicit insurance in this state
through communication in printed publications or other forms of
electronic mass media whose distribution is not limited to residents of
the state, provided that the person does not sell, solicit, or
negotiate insurance that would insure risks residing, located, or to be
performed in this state;
(f) A person who is not a resident of this state who sells,
solicits, or negotiates a contract of insurance for commercial property
and casualty risks to an insured with risks located in more than one
state insured under that contract, provided that the person is
otherwise licensed as an insurance producer to sell, solicit, or
negotiate the insurance in the state where the insured maintains its
principal place of business and the contract of insurance insures risks
located in that state;
(g) A salaried full-time employee who counsels or advises his or
her employer relative to the insurance interests of the employer or of
the subsidiaries or business affiliates of the employer, provided that
the employee does not sell or solicit insurance or receive a
commission; or
(h) Any person securing and forwarding information required for the
purposes of group credit life and credit disability insurance or credit
casualty insurance against loss or damage resulting from failure of
debtors to pay their obligations in connection with an extension of
credit and such other credit life and disability insurance or credit
casualty insurance against loss or damage resulting from failure of
debtors to pay their obligations as the commissioner shall determine,
and where no commission or other compensation is payable on account of
the securing and forwarding of such information. However, the
reimbursement of a creditor's actual expenses for securing and
forwarding information required for the purposes of such group
insurance will not be considered a commission or other compensation if
such reimbursement does not exceed three dollars per certificate
issued, or in the case of a monthly premium plan extending beyond
twelve months, not to exceed three dollars per loan transaction
revision per year.
Sec. 4 RCW 48.17.063 and 2003 c 250 s 5 are each amended to read
as follows:
(1) ((As used in this section, "person" has the same meaning as in
RCW 48.01.070.)) For the purpose of this section, an act is committed in this
state if it is committed, in whole or in part, in the state of
Washington, or affects persons or property within the state and relates
to or involves an insurance contract, health care services contract, or
health maintenance agreement.
(2)
(((3))) (2) Any person who knowingly violates RCW 48.17.060(((1)))
is guilty of a class B felony punishable under chapter 9A.20 RCW.
(((4) Any person who knowingly violates RCW 48.17.060(2) is guilty
of a class B felony punishable under chapter 9A.20 RCW.)) (3) Any criminal penalty imposed under this section is in
addition to, and not in lieu of, any other civil or administrative
penalty or sanction otherwise authorized under state law.
(5)
(((6))) (4)(a) If the commissioner has cause to believe that any
person has violated the provisions of RCW 48.17.060 (((1) or (2))), the
commissioner may:
(i) Issue and enforce a cease and desist order in accordance with
the provisions of RCW 48.02.080;
(ii) Suspend or revoke a license; and/or
(iii) Assess a civil penalty of not more than twenty-five thousand
dollars for each violation, after providing notice and an opportunity
for a hearing in accordance with chapters 34.05 and 48.04 RCW.
(b) Upon failure to pay a civil penalty when due, the attorney
general may bring a civil action on behalf of the commissioner to
recover the unpaid penalty. Any amounts collected by the commissioner
must be paid to the state treasurer for the account of the general
fund.
Sec. 5 RCW 48.17.065 and 1983 c 202 s 7 are each amended to read
as follows:
The provisions of this chapter shall apply to ((agents of))
insurance producers appointed by either health care service contractors
((and)) or health maintenance organizations, or both.
Sec. 6 RCW 48.17.067 and 2003 c 250 s 6 are each amended to read
as follows:
Any ((solicitor, agent, or broker)) insurance producer or title
insurance agent soliciting, negotiating, or procuring an application
for insurance or health care services in this state must make a good
faith effort to determine whether the entity that is issuing the
coverage is:
(1) Authorized to transact insurance or health coverage in this
state; or
(2) Conducting business through a surplus line((s)) broker licensed
under chapter 48.15 RCW.
Sec. 7 RCW 48.17.090 and 2002 c 227 s 2 are each amended to read
as follows:
(1) ((Application for a license to be an agent, broker, solicitor,
or adjuster shall be made to the commissioner upon forms furnished by
the commissioner. As a part of or in connection with any such
application, the applicant shall furnish information concerning his or
her identity, including fingerprints for submission to the Washington
state patrol, the federal bureau of investigation, and any governmental
agency or entity authorized to receive this information for a state and
national criminal history background check, personal history,
experience, business record, purposes, and other pertinent facts, as
the commissioner may reasonably require.)) A person
applying for a resident insurance producer license shall make
application to the commissioner on the uniform application and declare
under penalty of refusal, suspension, or revocation of the license that
the statements made in the application are true, correct, and complete
to the best of the individual's knowledge and belief. As a part of or
in connection with the application, the applicant shall furnish
information concerning the applicant's identity, including fingerprints
for submission to the Washington state patrol, the federal bureau of
investigation, and any governmental agency or entity authorized to
receive this information for a state and national criminal history
background check. If, in the process of verifying fingerprints,
business records, or other information, the commissioner's office
incurs fees or charges from another governmental agency or from a
business firm, the amount of the fees or charges shall be paid to the
commissioner's office by the applicant.
(2) Persons resident in the United States but not in Washington may
apply for such a license on a form prepared by the national association
of insurance commissioners or others, if those forms are approved by
the commissioner by rule. An applicant shall also furnish any other
information required to be submitted but not provided for in that form.
(3) Any person willfully misrepresenting any fact required to be
disclosed in any such application shall be liable to penalties as
provided by this code.
(4) If in the process of verifying fingerprints under subsection
(1) of this section, business records, or other information the
commissioner's office incurs fees or charges from another governmental
agency or from a business firm, the amount of such fees or charges
shall be paid to the commissioner's office by the applicant.
(2) Before approving the application, the commissioner shall find
that the individual:
(a) Is at least eighteen years of age;
(b) Has not committed any act that is a ground for denial,
suspension, or revocation set forth in RCW 48.17.530;
(c) Has completed a prelicensing course of study for the lines of
authority for which the person has applied;
(d) Has paid the fees set forth in RCW 48.14.010; and
(e) Has successfully passed the examinations for the lines of
authority for which the person has applied.
(3) A business entity acting as an insurance producer is required
to obtain an insurance producer license. Application shall be made
using the uniform business entity application. Before approving the
application, the commissioner shall find that:
(a) The business entity has paid the fees set forth in RCW
48.14.010; and
(b) The business entity has designated a licensed insurance
producer responsible for the business entity's compliance with the
insurance laws and rules of this state.
(4) A business entity acting as a title insurance agent is required
to obtain a title insurance agent license. Application shall be made
to the commissioner on the uniform business entity application, and the
individual signing the application shall declare under penalty of
refusal, suspension, or revocation of the license that the statements
made in the application are true, correct, and complete to the best of
the individual's knowledge and belief. Before approving the
application, the commissioner shall find that the business entity:
(a) Has paid the fees set forth in RCW 48.14.010;
(b) Maintains a lawfully established place of business in this
state or holds a corresponding license issued by the state of its
principal place of business, and has complied with the laws of this
state governing the admission of foreign corporations;
(c) Is empowered to be a title agent under a members' agreement, if
a limited liability company, or by its articles of incorporation;
(d) Is appointed as an agent by one or more authorized title
insurance companies; and
(e) Has complied with RCW 48.29.155 and 48.29.160.
(5) The commissioner may require any documents reasonably necessary
to verify the information contained in an application and may, from
time to time, require any licensed insurance producer, title insurance
agent, or adjuster to produce the information called for in an
application for license.
Sec. 8 RCW 48.17.110 and 1990 1st ex.s. c 3 s 2 are each amended
to read as follows:
(1) ((Each applicant for license as an agent, broker, solicitor, or
adjuster shall, prior to the issuance of any such license, personally
take and pass to the satisfaction of the examining authority, an
examination given as a test of that person's qualifications and
competence, but this requirement shall not apply to:)) A resident
individual applying for an insurance producer or adjuster license shall
pass a written examination unless exempt under this section or section
14 of this act. The examination shall test the knowledge of the
individual concerning the lines of authority for which application is
made, the duties and responsibilities of an insurance producer or
adjuster, and the insurance laws and rules of this state. Examinations
required by this section shall be developed and conducted under the
rules prescribed by the commissioner. The commissioner shall prepare,
or approve, and make available a manual specifying in general terms the
subjects which may be covered in any examination for a particular
license.
(a) Applicants for limited licenses under RCW 48.17.190, at the
discretion of the commissioner.
(b) Applicants who within the two year period next preceding date
of application have been licensed as a resident in this state under a
license requiring qualifications similar to qualifications required by
the license applied for or who have successfully completed a course of
study recognized as a mark of distinction by the insurance industry and
who are deemed by the commissioner to be fully qualified and competent.
(c) Applicants for license as a nonresident agent or as a
nonresident broker or as a nonresident adjuster who are duly licensed
in their state of residence and who are deemed by the commissioner to
be fully qualified and competent for a similar license in this state.
(d) Applicants for an agent's or solicitor's license covering the
same kinds of insurance as an agent's or solicitor's license then held
by them.
(e) Applicants for an adjuster's license who for a period of one
year, a portion of which was in the year next preceding the date of
application, have been a full time salaried employee of an insurer or
of a general agent to adjust, investigate, or report claims arising
under insurance contracts.
(2) Any person licensed as an insurance broker by this state prior
to June 8, 1967, who is otherwise qualified to be a licensed insurance
broker, shall be entitled to renew that person's broker's license by
payment of the applicable fee for such of the broker's licenses
authorized by RCW 48.17.240, as that person shall elect, without taking
any additional examination, except as provided in subsection (3).
(3) The commissioner may at any time require any licensed agent,
broker, solicitor, or adjuster to take and successfully pass an
examination testing the licensee's competence and qualifications as a
condition to the continuance or renewal of a license, if the licensee
has been guilty of violation of this code, or has so conducted affairs
under an insurance license as to cause the commissioner reasonably to
desire further evidence of the licensee's qualifications.
(2) The following are exempt from the examination requirement:
(a) Applicants for licenses under RCW 48.17.170(1) (g), (h), and
(i), at the discretion of the commissioner;
(b) Applicants who within the two-year period next preceding date
of application have been licensed as a resident in this state under a
license requiring qualifications similar to qualifications required by
the license applied for, or who have successfully completed a course of
study recognized as a mark of distinction by the insurance industry,
and who are deemed by the commissioner to be fully qualified and
competent;
(c) Applicants for an adjuster's license who for a period of one
year, a portion of which was in the year next preceding the date of
application, have been a full-time salaried employee of an insurer or
of a managing general agent to adjust, investigate, or report claims
arising under insurance contracts;
(d) Applicants deemed by the commissioner to be qualified by past
experience to deal in ocean marine and related coverages.
(3) The commissioner may make arrangements, including contracting
with an outside testing service, for administering examinations.
(4) The commissioner may, at any time, require any licensed
insurance producer or adjuster to take and successfully pass an
examination testing the licensee's competence and qualifications as a
condition to the continuance or renewal of a license, if the licensee
has been guilty of violating this title, or has so conducted affairs
under an insurance license as to cause the commissioner to reasonably
desire further evidence of the licensee's qualifications.
Sec. 9 RCW 48.17.125 and 1989 c 323 s 1 are each amended to read
as follows:
It is unlawful for any unauthorized person to remove, reproduce,
duplicate, or distribute in any form, any question(s) used by the state
of Washington to determine the qualifications and competence of
insurance ((agents, brokers, solicitors,)) producers or adjusters
required by Title 48 RCW to be licensed. This section shall not
prohibit an insurance education provider from creating and using sample
test questions in courses approved pursuant to RCW 48.17.150.
Any person violating this section shall be subject to penalties as
provided by RCW 48.01.080, 48.17.530, and 48.17.560.
Sec. 10 RCW 48.17.150 and 2005 c 223 s 7 are each amended to read
as follows:
(1) ((To qualify for an agent's or broker's license, an applicant
must otherwise comply with this code and must:)) The commissioner shall require that continuing education
courses will be made available on a statewide basis in order to ensure
that persons residing in all geographical areas of this state will have
a reasonable opportunity to attend such courses.
(a) Be at least eighteen years of age, if an individual;
(b) Be a bona fide resident of and actually reside in this state,
or if a corporation, be other than an insurer and maintain a lawfully
established place of business in this state, except as provided in RCW
48.17.330;
(c) Be empowered to be an agent or broker under its members'
agreement, if a firm, or by its articles of incorporation, if a
corporation;
(d) Complete the minimum educational requirements for the issuance
of an agent's license for the kinds of insurance specified in RCW
48.17.210 as may be required by regulation issued by the commissioner;
(e) Successfully pass any examination as required under RCW
48.17.110;
(f) Be a trustworthy person;
(g)(i) If for an agent's license, be appointed as its agent by one
or more authorized insurers, subject to issuance of the license;
(ii) The commissioner may by regulation establish requirements,
including notification formats, in addition to or in lieu of the
requirements of (g)(i) of this subsection to allow an agent to act as
a representative of and place insurance with an insurer without first
notifying the commissioner of the appointment for a period of time up
to but not exceeding thirty days from the date the first insurance
application is executed by the agent; and
(h) If for broker's license, have had at least two years experience
either as an agent, solicitor, adjuster, general agent, broker, or as
an employee of insurers or representatives of insurers, and special
education or training of sufficient duration and extent reasonably to
satisfy the commissioner that the applicant possesses the competence
necessary to fulfill the responsibilities of broker.
(2) The commissioner shall by regulation establish minimum
continuing education requirements for the renewal or reissuance of a
license to an agent or a broker.
(a)
(((b))) (2) The continuing education requirements must be
appropriate to the license for the ((kinds)) lines of ((insurance))
authority specified in RCW ((48.17.210)) 48.17.170 or by rule.
(((c))) (3) The continuing education requirements may be waived by
the commissioner for good cause shown.
(((3) If the commissioner finds that the applicant is qualified and
that the license fee has been paid, the license shall be issued.
Otherwise, the commissioner shall refuse to issue the license.))
Sec. 11 RCW 48.17.160 and 1994 c 131 s 5 are each amended to read
as follows:
(1) ((Each insurer on appointing an agent in this state shall file
written notice thereof with the commissioner on forms as prescribed and
furnished by the commissioner, and shall pay the filing fee therefor as
provided in RCW 48.14.010. The commissioner shall return the
appointment of agent form to the insurer for distribution to the agent.
The commissioner may adopt regulations establishing alternative
appointment procedures for individuals within licensed firms,
corporations, or sole proprietorships who are empowered to exercise the
authority conferred by the firm, corporate, or sole proprietorship
license.)) An insurance producer or title
insurance agent shall not act as an agent of an insurer unless the
insurance producer or title insurance agent becomes an appointed agent
of that insurer. An insurance producer who is not acting as an agent
of an insurer is not required to become appointed.
(2) Each appointment shall be effective until the agent's license
expires or is revoked, the appointment has expired, or written notice
of termination of the appointment is filed with the commissioner,
whichever occurs first.
(3) When the appointment is revoked by the insurer, written notice
of such revocation shall be given to the agent and a copy of the notice
of revocation shall be mailed to the commissioner.
(4) Revocation of an appointment by the insurer shall be deemed to
be effective as of the date designated in the notice as being the
effective date if the notice is actually received by the agent prior to
such designated date; otherwise, as of the earlier of the following
dates:
(a) The date such notice of revocation was received by the agent.
(b) The date such notice, if mailed to the agent at his last
address of record with the insurer, in due course should have been
received by the agent.
(5) Appointments expire if not timely renewed. Each insurer shall
pay the renewal fee set forth for each agent holding an appointment on
the renewal date assigned the agents of the insurer by the
commissioner. The commissioner, by rule, shall determine renewal
dates. If a staggered system is used, fees shall be prorated in the
conversion to a staggered system.
(2) To appoint an insurance producer or title insurance agent as
its agent, the appointing insurer shall file, in a format approved by
the commissioner, a notice of appointment within fifteen days from the
date the agency contract is executed or when the first insurance
application is submitted, whichever is later.
(3) Upon receipt of the notice of appointment, the commissioner
shall verify within a reasonable time, not to exceed thirty days, that
the insurance producer or title insurance agent is eligible for
appointment. If the insurance producer or title insurance agent is
determined to be ineligible for appointment, the commissioner shall
notify the insurer within ten days of the determination.
(4) An insurer shall pay an appointment fee, in the amount and
method of payment set forth in RCW 48.14.010, for each insurance
producer or title insurance agent appointed by the insurer.
(5) Contingent upon payment of the appointment renewal fee as set
forth in RCW 48.14.010, an appointment shall be effective until
terminated by the insurance company, insurance producer, or title
insurance agent and notice has been given to the commissioner as
required by section 32 of this act.
Sec. 12 RCW 48.17.170 and 1979 ex.s. c 269 s 3 are each amended
to read as follows:
((Agents', solicitors', adjusters' and brokers' licenses shall be
in the form and contain the essential information prescribed by the
commissioner.)) (1) Unless denied licensure under RCW 48.17.530,
persons who have met the requirements of RCW 48.17.090 and 48.17.110
shall be issued an insurance producer license. An insurance producer
may receive a license in one or more of the following lines of
authority:
(a) "Life", which is insurance coverage on human lives, including
benefits of endowment and annuities, and may include benefits in the
event of death or dismemberment by accident and benefits for disability
income;
(b) "Disability", which is insurance coverage for accident, health,
and disability or sickness, bodily injury, or accidental death, and may
include benefits for disability income;
(c) "Property", which is insurance coverage for the direct or
consequential loss or damage to property of every kind;
(d) "Casualty", which is insurance coverage against legal
liability, including that for death, injury, or disability or damage to
real or personal property;
(e) "Variable life and variable annuity products", which is
insurance coverage provided under variable life insurance contracts,
variable annuities, or any other life insurance or annuity product that
reflects the investment experience of a separate account;
(f) "Personal lines", which is property and casualty insurance
coverage sold to individuals and families for primarily noncommercial
purposes;
(g) Limited lines:
(i) Surety;
(ii) Limited line credit insurance;
(iii) Travel;
(h) Specialty lines:
(i) Communications equipment or services;
(ii) Rental car; or
(i) Any other line of insurance permitted under state laws or
rules.
(2) Unless denied licensure under RCW 48.17.530, persons who have
met the requirements of RCW 48.17.090(4) shall be issued a title
insurance agent license.
(3) All insurance producers', title insurance agents', and
adjusters' licenses issued by the commissioner shall be valid for the
time period established by the commissioner unless suspended or revoked
at an earlier date.
(4) Subject to the right of the commissioner to suspend, revoke, or
refuse to renew any insurance producer's, title insurance agent's, or
adjuster's license as provided in this title, the license may be
renewed into another like period by filing with the commissioner by any
means acceptable to the commissioner on or before the expiration date
a request, by or on behalf of the licensee, for such renewal
accompanied by payment of the renewal fee as specified in RCW
48.14.010.
(5) If the request and fee for renewal of an insurance producer's,
title insurance agent's, or adjuster's license is filed with the
commissioner prior to expiration of the existing license, the licensee
may continue to act under such license, unless sooner revoked or
suspended, until the issuance of a renewal license, or until the
expiration of fifteen days after the commissioner has refused to renew
the license and has mailed order of such refusal to the licensee. Any
request for renewal not so filed until after date of expiration may be
considered by the commissioner as an application for a new license.
(6) For all licenses, if request for renewal of an insurance
producer's, title insurance agent's, or adjuster's license or payment
of the fee is not received by the commissioner prior to the expiration
date as required under subsection (4) of this section, the insurer or
applicant for renewal shall pay to the commissioner and the
commissioner shall collect, in addition to the regular fee, a surcharge
as follows: For the first thirty days or part thereof of delinquency
the surcharge is fifty percent of the fee; for all delinquencies
extending more than thirty days, the surcharge is one hundred percent
of the fee. A surcharge of two hundred percent of the renewal fee is
required for any delinquency extending more than sixty days after the
expiration date. This subsection shall not exempt any person from any
penalty provided by law for transacting business without a valid and
subsisting license or appointment, or affect the commissioner's right,
at his or her discretion, to consider such delinquent application as
one for a new license or appointment.
(7) An individual insurance producer, title insurance agent, or
adjuster who allows his or her license to lapse may, within twelve
months after the expiration date, reinstate the same license without
the necessity of passing a written examination.
(8) A licensed insurance producer who is unable to comply with
license renewal procedures due to military service or some other
extenuating circumstance such as a long-term medical disability, may
request a waiver of those procedures. The producer may also request a
waiver of any examination requirement or any other fine or sanction
imposed for failure to comply with renewal procedures.
(9) The license shall contain the licensee's name, address,
personal identification number, and the date of issuance, lines of
authority, expiration date, and any other information the commissioner
deems necessary.
(10) Licensees shall inform the commissioner by any means
acceptable to the commissioner of a change of address within thirty
days of the change. Failure to timely inform the commissioner of a
change in legal name or address may result in a penalty under either
RCW 48.17.530 or 48.17.560, or both.
NEW SECTION. Sec. 13 A new section is added to chapter 48.17 RCW
to read as follows:
(1) Unless denied licensure under RCW 48.17.530, a nonresident
person shall receive a nonresident producer license for the line or
lines of authority under RCW 48.17.170 which is substantially
equivalent to the line or lines of authority granted to the nonresident
person in the person's home state if:
(a) The person is currently licensed as a resident and in good
standing in the person's home state;
(b) The person has submitted the proper request for licensure and
has paid the fees required by RCW 48.14.010;
(c) The person has submitted or transmitted to the commissioner the
application for licensure that the person submitted to the person's
home state, or in lieu, a completed uniform application;
(d) The person's home state awards nonresident producer licenses to
residents of this state on the same basis; and
(e) The person, as part of the request for licensure, has furnished
information concerning the person's identity, including fingerprints
for submission to the Washington state patrol, the federal bureau of
investigation, and any governmental agency or entity authorized to
receive this information for a state and national criminal history
background check. If, in the process of verifying fingerprints,
business records, or other information, the commissioner's office
incurs fees or charges from another governmental agency or from a
business firm, the amount of the fees or charges shall be paid to the
commissioner's office by the applicant.
(2) The commissioner shall waive any license application
requirements for a nonresident license applicant with a valid license
from the applicant's home state, except the requirements imposed by
this section, if the applicant's home state awards nonresident licenses
to residents of this state on the same basis.
(3) A nonresident insurance producer's satisfaction of the
nonresident insurance producer's home state's continuing education
requirements for licensed insurance producers shall constitute
satisfaction of this state's continuing education requirements if the
nonresident producer's home state recognizes the satisfaction of its
continuing education requirements imposed upon producers from this
state on the same basis.
(4) The commissioner shall waive the requirement for providing
fingerprints for submission to the Washington state patrol, the federal
bureau of investigation, and any governmental agency or entity
authorized to receive this information for a state and national
criminal history background check, if the person possesses a valid
insurance producer's or surplus line broker's license from the person's
home state and the person's home state requires submission of
information concerning a person's identity, including fingerprints for
the licensure of its resident insurance producers or surplus line
brokers, respectively.
(5) The commissioner may verify the producer's licensing status
through the producer database maintained by the NAIC, its affiliates,
or subsidiaries.
(6) A nonresident producer who moves from one state to another
state or a resident producer who moves from this state to another state
shall file a change of address and provide certification from the new
resident state within thirty days of the change of legal residence. No
fee or license application is required.
(7) A person licensed as a surplus lines producer in the person's
home state and complying with the requirements of subsection (1) of
this section and chapter 48.15 RCW shall receive a nonresident surplus
line broker license under subsection (1) of this section.
(8) A person licensed as a limited line credit insurance or other
type of limited lines producer in the person's home state and who
complies with the requirements of subsection (1) of this section shall
receive a nonresident limited lines producer license, under subsection
(1) of this section, granting the same scope of authority as granted
under the license issued by the producer's home state. For the purpose
of this subsection, limited line insurance is any authority granted by
the home state which restricts the authority of the license to the
lines set out in RCW 48.17.170(1)(g).
(9) Each licensed nonresident insurance producer or title insurance
agent shall appoint the commissioner as the insurance producer's or
title insurance agent's attorney to receive service of legal process
issued against the insurance producer or title insurance agent in this
state upon causes of action arising within this state. Service upon the
commissioner as attorney shall constitute effective legal service upon
the insurance producer or title insurance agent.
(a) The appointment shall be irrevocable for as long as there could
be any cause of action against the insurance producer or title
insurance agent arising out of the insurance producer's or title
insurance agent's insurance transactions in this state.
(b) Duplicate copies of such legal process against such insurance
producer or title insurance agent shall be served upon the commissioner
either by a person competent to serve a summons, or through registered
mail. At the time of such service the plaintiff shall pay to the
commissioner ten dollars, taxable as costs in the action.
(c) Upon receiving such service, the commissioner shall forthwith
send one of the copies of the process, by registered mail with return
receipt requested, to the defendant insurance producer or title
insurance agent at the insurance producer's or title insurance agent's
last address of record with the commissioner.
(d) The commissioner shall keep a record of the day and hour of
service upon the commissioner of all such legal process. No proceedings
shall be had against the defendant insurance producer or title
insurance agent, and the defendant shall not be required to appear,
plead, or answer until the expiration of forty days after the date of
service upon the commissioner.
NEW SECTION. Sec. 14 A new section is added to chapter 48.17 RCW
to read as follows:
(1) An individual who applies for an insurance producer license in
this state who was previously licensed for the same lines of authority
in another state shall not be required to complete any prelicensing
education or examination. This exemption is only available if the
person is currently licensed in that state or if the application is
received within ninety days of the cancellation of the applicant's
previous license, and if the prior state issues a certification that,
at the time of cancellation, the applicant was in good standing in that
state or the state's producer database records, maintained by the NAIC,
its affiliates, or subsidiaries, indicate that the producer is or was
licensed in good standing for the line of authority requested.
(2) A person licensed as an insurance producer in another state who
moves to this state shall make application within ninety days of
establishing legal residence to become a resident licensee under RCW
48.17.090. No prelicensing education or examination shall be required
of that person to obtain any line of authority previously held in the
prior state except where the commissioner determines otherwise by rule.
Sec. 15 RCW 48.17.180 and 1990 1st ex.s. c 3 s 4 are each amended
to read as follows:
(((1) A firm or corporation may be licensed as an agent, adjuster,
or broker if each individual empowered to exercise the authority
conferred by the corporate or firm license is also licensed. Exercise
or attempted exercise of the powers of the firm or corporation by an
unlicensed person, with the knowledge or consent of the firm or
corporation, shall constitute cause for the revocation or suspension of
the license.))
(2) Licenses shall be issued in a trade name only upon proof
satisfactory to the commissioner that the trade name has been lawfully
registered.
(3) For the purpose of this section, a firm shall include a duly
licensed individual acting as a sole proprietorship having associated
licensees authorized to act on the proprietor's behalf in the
proprietor's business or trade name.
An insurance producer or title insurance agent doing business under
any name other than the insurance producer's or title insurance agent's
legal name is required to register the name in accordance with chapter
19.80 RCW and notify the commissioner before using the assumed name.
Sec. 16 RCW 48.17.250 and 1979 ex.s. c 269 s 8 are each amended
to read as follows:
(1) Every ((applicant for a broker's license or for the renewal of
a broker's license existing)) insurance producer licensed under this
chapter on or after the effective date of this ((code shall file with
the application or request for renewal and shall thereafter)) act who
places insurance either directly or indirectly with an insurer with
which the insurance producer is not appointed as an agent must maintain
in force while so licensed a bond in favor of the people of the state
of Washington or a named insured such that the people of Washington are
covered by the bond, executed by an authorized corporate surety
approved by the commissioner, in the amount of ((twenty)) two thousand
five hundred dollars, or five percent of the premiums brokered in the
previous calendar year, whichever is greater, but not to exceed one
hundred thousand dollars total aggregate liability. ((If the applicant
is a firm or corporation, the bond shall be in the amount of twenty
thousand dollars plus five thousand dollars for the second and five
thousand dollars for each additional individual empowered and
designated in the license to exercise the powers conferred thereby.))
The bond may be continuous in form, and total aggregate liability on
the bond may be limited to the required amount of the bond. The bond
shall be contingent on the accounting by the ((broker)) insurance
producer to any person requesting the ((broker)) insurance producer to
obtain insurance, for moneys or premiums collected in connection
therewith.
(2) ((Any such bond shall remain in force until the surety is
released from liability by the commissioner, or until the bond is
canceled by the surety. Without prejudice to any liability accrued
prior to such cancellation, the surety may cancel the bond upon thirty
days advance notice in writing filed with the commissioner.))
Authorized insurance producers of a business entity may meet the
requirements of this section with a bond in the name of the business
entity, continuous in form, and in the amounts set forth in subsection
(1) of this section. Insurance producers may meet the requirements of
this section with a bond in the name of an association. The
association must have been in existence for five years, have common
membership, and have been formed for a purpose other than obtaining a
bond. An individual insurance producer remains responsible for
assuring that a bond is in effect and is for the correct amount.
(3) The surety may cancel the bond and be released from further
liability thereunder upon thirty days' written notice in advance to the
principal. The cancellation does not affect any liability incurred or
accrued under the bond before the termination of the thirty-day period.
(4) The insurance producer's license may be revoked if the
insurance producer acts without a bond that is required under this
section.
(5) If a party injured under the terms of the bond requests the
insurance producer to provide the name of the surety and the bond
number, the insurance producer must provide the information within
three working days after receiving the request.
(6) An association may meet the requirements of this section for
all of its members with a bond in the name of the association that is
continuous in form and in the amounts set forth in subsection (1) of
this section.
(7) All records relating to the bond required by this section shall
be kept available and open to the inspection of the commissioner at any
business time.
Sec. 17 RCW 48.17.270 and 1994 c 203 s 1 are each amended to read
as follows:
(1) ((A licensed agent may be licensed as a broker and be a broker
as to insurers for which the licensee is not then appointed as agent.
A licensed broker may be licensed as and be an agent as to insurers
appointing such agent.)) The sole relationship between ((a broker)) an
insurance producer and an insurer as to which the ((licensee))
insurance producer is appointed as an agent shall, as to transactions
arising during the existence of such agency appointment, be that of
insurer and agent.
(2) Unless the agency-insurer agreement provides to the contrary,
an insurance ((agent licensed as a broker)) producer may((, with
respect to property and casualty insurance,)) receive the following
compensation:
(a) A commission paid by the insurer;
(b) A fee paid by the insured; or
(c) A combination of commission paid by the insurer and a fee paid
by the insured from which ((a broker)) an insurance producer may offset
or reimburse the insured for all or part of the fee.
(3) If the compensation received by an ((agent who is also licensed
as a broker and)) insurance producer who is dealing directly with the
insured includes a fee, ((the full amount of compensation, including an
explanation of any offset or reimbursement, must be disclosed in
writing, signed by the broker and the insured, and the writing must be
retained by the broker for not less than five years)) for each policy,
the insurance producer must disclose in writing to the insured:
(a) The full amount of the fee paid by the insured;
(b) The full amount of any commission paid to the insurance
producer by the insurer, if one is received;
(c) An explanation of any offset or reimbursement of fees or
commissions as described in subsection (2)(c) of this section;
(d) When the insurance producer may receive additional commission,
notice that states the insurance producer:
(i) May receive additional commission in the form of future
incentive compensation from the insurer, including contingent
commissions and other awards and bonuses based on factors that
typically include the total sales volume, growth, profitability, and
retention of business placed by the insurance producer with the
insurer, and incentive compensation is only paid if the performance
criteria established in the agency-insurer agreement is met by the
insurance producer or the business entity with which the insurance
producer is affiliated; and
(ii) Will furnish to the insured or prospective insured specific
information relating to additional commission upon request; and
(e) The full name of the insurer that may pay any commission to the
insurance producer.
(4) Written disclosure of compensation as required by subsection
(3) of this section shall be provided by the insurance producer to the
insured prior to the sale of the policy.
(5) Written disclosure as required by subsection (3) of this
section must be signed by the insurance producer and the insured, and
the writing must be retained by the insurance producer for five years.
For the purposes of this section, written disclosure means the
insured's written consent obtained prior to the insured's purchase of
insurance. In the case of a purchase over the telephone or by
electronic means for which written consent cannot be reasonably
obtained, consent documented by the producer shall be acceptable.
Sec. 18 RCW 48.17.380 and 1981 c 339 s 15 are each amended to
read as follows:
The commissioner shall license as an adjuster only an individual((,
firm,)) or ((corporation)) business entity which has otherwise complied
with this code therefor and the individual or responsible officer of
the ((firm or corporation)) business entity has furnished evidence
satisfactory to the commissioner that ((he)) the individual or
responsible officer of the business entity is qualified as follows:
(1) Is eighteen or more years of age.
(2) Is a bona fide resident of this state, or is a resident of a
state which will permit residents of this state to act as adjusters in
such other state.
(3) Is a trustworthy person.
(4) Has had experience or special education or training with
reference to the handling of loss claims under insurance contracts, of
sufficient duration and extent reasonably to make ((him)) the
individual or responsible officer of the business entity competent to
fulfill the responsibilities of an adjuster.
(5) Has successfully passed any examination as required under this
chapter.
(6) If for a public adjuster's license, has filed the bond required
by RCW 48.17.430.
Sec. 19 RCW 48.17.390 and 1981 c 339 s 16 are each amended to
read as follows:
The commissioner may license an individual((, firm, or
corporation)) or business entity as an independent adjuster or as a
public adjuster, and separate licenses shall be required for each type
of adjuster. An individual((, firm, or corporation)) or business
entity may be concurrently licensed under separate licenses as an
independent adjuster and as a public adjuster. The full license fee
shall be paid for each such license.
Sec. 20 RCW 48.17.410 and 1947 c 79 s .17.41 are each amended to
read as follows:
An adjuster shall have authority under ((his)) an adjuster's
license only to investigate or report to ((his)) the adjuster's
principal upon claims as limited under RCW ((48.17.050)) 48.17.010(1)
on behalf only of the insurers if licensed as an independent adjuster,
or on behalf only of insureds if licensed as a public adjuster. An
adjuster licensed concurrently as both an independent and a public
adjuster shall not represent both the insurer and the insured in the
same transaction.
Sec. 21 RCW 48.17.420 and 1947 c 79 s .17.42 are each amended to
read as follows:
(1) On behalf of and as authorized by an insurer for which ((he is
licensed)) an insurance producer or title insurance agent has been
appointed as an agent, an insurance producer or title insurance agent
may from time to time act as an adjuster and investigate and report
upon claims without being required to be licensed as an adjuster.
(2) No license by this state shall be required of a nonresident
independent adjuster, for the adjustment in this state of a single
loss, or of losses arising out of a catastrophe common to all such
losses.
Sec. 22 RCW 48.17.450 and 1990 1st ex.s. c 3 s 5 are each amended
to read as follows:
(1) Every licensed ((agent, broker,)) insurance producer, title
insurance agent, and adjuster, other than an ((agent)) insurance
producer licensed for life or disability insurances only, shall have
and maintain in this state, or, if a nonresident ((agent or nonresident
broker)) insurance producer or title insurance agent, in this state or
in the state of the licensee's domicile, a place of business accessible
to the public. Such place of business shall be that wherein the
((agent or broker)) insurance producer or title insurance agent
principally conducts transactions under that person's licenses. ((The
address of the licensee's place of business shall appear on all of that
person's licenses, and the licensee shall promptly notify the
commissioner of any change thereof.)) A licensee maintaining more than
one place of business in this state shall obtain a duplicate license or
licenses for each additional such place, and shall pay the full fee
therefor.
(2) Any notice, order, or written communication from the
commissioner to a person licensed under this chapter which directly
affects the person's license shall be sent by mail to the person's last
((residential address, if an individual, and to the person's last
business address, if licensed as a firm or corporation, as such address
is shown in the commissioner's licensing records. A licensee shall
promptly notify the commissioner of any change of residential or
business)) address of record with the commissioner.
Sec. 23 RCW 48.17.460 and 1947 c 79 s .17.46 are each amended to
read as follows:
(((1))) The license or licenses of each ((agent, other than
licenses as to life or disability insurances only, or of each broker))
insurance producer, title insurance agent, or adjuster shall be
displayed in a conspicuous place in that part of ((his)) the place of
business which is customarily open to the public.
(((2) The license of a solicitor shall be so displayed in the place
of business of the agent or broker by whom he is employed.))
Sec. 24 RCW 48.17.470 and 1947 c 79 s .17.47 are each amended to
read as follows:
(1) Every ((agent, or broker,)) insurance producer, title insurance
agent, or adjuster shall ((keep at his address as shown on his
license,)) retain a record of all transactions consummated under
((his)) the license. This record shall be in organized form and shall
include:
(a) If an ((agent or broker,)) insurance producer or title
insurance agent:
(i) A record of each insurance contract procured((,)) or issued,
((or countersigned,)) together with the names of the insurers and
insureds, the amount of premium paid or to be paid, and a statement of
the subject of the insurance;
(ii) The names of any other licensees from whom business is
accepted, and of persons to whom commissions or allowances of any kind
are promised or paid.
(b) If an adjuster, a record of each investigation or adjustment
undertaken or consummated, and a statement of any fee, commission, or
other compensation received or to be received by the adjuster on
account of such investigation or adjustment.
(c) Such other and additional information as shall be customary, or
as may reasonably be required by the commissioner.
(2) All such records as to any particular transaction shall be kept
available and open to the inspection of the commissioner at any
business time during the five years immediately after the date of the
completion of such transaction.
(3) This section shall not apply as to life or disability
insurances.
Sec. 25 RCW 48.17.475 and 1967 c 150 s 13 are each amended to
read as follows:
Every insurance ((agent, broker)) producer, title insurance agent,
adjuster, or other person licensed under this chapter shall promptly
reply in writing to an inquiry of the commissioner relative to the
business of insurance. A timely response is one that is received by
the commissioner within fifteen business days from receipt of the
inquiry. Failure to make a timely response constitutes a violation of
this section.
Sec. 26 RCW 48.17.480 and 2003 c 53 s 269 are each amended to
read as follows:
(1) An ((agent)) insurance producer, title insurance agent, or any
other representative of an insurer involved in the procuring or
issuance of an insurance contract shall report to the insurer the exact
amount of consideration charged as premium for such contract, and such
amount shall likewise be shown in the contract and in the records of
the ((agent)) insurance producer, title insurance agent, or other
representative. Each willful violation of this provision is a
misdemeanor.
(2) All funds representing premiums or return premiums received by
an ((agent, solicitor or broker,)) insurance producer or title
insurance agent shall be so received in ((his or her)) the insurance
producer's or title insurance agent's fiduciary capacity, and shall be
promptly accounted for and paid to the insured, insurer, ((or)) title
insurance agent, or insurance producer as entitled thereto.
(3) Any person licensed under this chapter who receives funds which
belong to or should be paid to another person as a result of or in
connection with an insurance transaction is deemed to have received the
funds in a fiduciary capacity. The licensee shall promptly account for
and pay the funds to the person entitled to the funds.
(4) Any ((agent, solicitor, broker)) insurance producer, title
insurance agent, adjuster, or other person licensed under this chapter
who, not being lawfully entitled thereto, diverts or appropriates funds
received in a fiduciary capacity or any portion thereof to his or her
own use, is guilty of theft under chapter 9A.56 RCW.
Sec. 27 RCW 48.17.490 and 1988 c 248 s 13 are each amended to
read as follows:
(1) ((No agent, general agent, solicitor, or broker shall
compensate or offer to compensate in any manner any person other than
an agent, general agent, solicitor, or broker, licensed in this or any
other state or province, for procuring or in any manner helping to
procure applications for or to place insurance in this state. This
provision shall not prohibit the payment of compensation not contingent
upon volume of business transacted, in the form of salaries to the
regular employees of such agent, general agent, solicitor or broker, or
the payment for services furnished by an unlicensed person who does not
participate in the transaction of insurance in any way requiring
licensing as an agent, solicitor, broker, or adjuster and who is not
compensated on any basis dependent upon a sale of insurance being made.)) An insurance
company, insurance producer, or title insurance agent shall not pay a
commission, service fee, or other valuable consideration to a person
for selling, soliciting, or negotiating insurance in this state if that
person is required to be licensed under this chapter or chapter 48.15
RCW and is not so licensed.
(2) No such licensee shall be promised or allowed any compensation
on account of the procuring of applications for or the placing of kinds
of insurance which he himself is not then licensed to procure or place.
(3) The commissioner shall suspend or revoke the licenses of all
licensees participating in any violation of this section
(2) A person shall not accept a commission, service fee, or other
valuable consideration for selling, soliciting, or negotiating
insurance in this state if that person is required to be licensed under
this chapter or chapter 48.15 RCW and is not so licensed.
(3) Renewal or other deferred commissions may be paid to a person
for selling, soliciting, or negotiating insurance in this state if the
person was required to be licensed under this chapter or chapter 48.15
RCW at the time of the sale, solicitation, or negotiation, and was so
licensed at that time.
(4) An insurer, except a title insurer, or insurance producer may
pay or assign commissions, service fees, or other valuable
consideration to an insurance agency, or to persons who do not sell,
solicit, or negotiate insurance in this state, unless the payment would
violate RCW 48.30.140, 48.30.150, 48.30.155, 48.30.157, or 48.30.170.
Sec. 28 RCW 48.17.510 and 1982 c 181 s 7 are each amended to read
as follows:
(1) The commissioner may issue ((an agent's or broker's temporary
license in the following circumstances:))
a temporary insurance producer license for a period not to exceed one
hundred eighty days without requiring an examination if the
commissioner deems that the temporary license is necessary for the
servicing of an insurance business in the following cases:
(a) To the surviving spouse or next of kin or to the administrator
or executor, or the employee of the administrator or executor, of a
licensed agent or broker becoming deceased.
(b) To the spouse, next of kin, employee, or legal guardian of a
licensed agent or broker becoming disabled because of sickness,
insanity, or injury.
(c) To a surviving member of a firm or surviving officer or
employee of a corporation licensed as agent or broker upon the death of
an individual designated in the firm or corporation's license to
exercise powers thereunder.
(2) An individual to be eligible for any such temporary license
must be qualified as for a permanent license except as to experience,
training, or the taking of any examination.
(3) Any fee paid to the commissioner for issuance of a temporary
license as specified in RCW 48.14.010 shall be credited toward the fee
required for a permanent license which is issued to replace the
temporary license prior to the expiration of such temporary license
(a) To the surviving spouse or court-appointed personal
representative of a licensed insurance producer who dies or becomes
mentally or physically disabled to allow adequate time for the sale of
the insurance business owned by the insurance producer or for the
recovery or return of the insurance producer to the business, or to
provide for the training and licensing of new personnel to operate the
insurance producer's business;
(b) To a member or employee of a business entity licensed as an
insurance producer, upon the death or disability of an individual
designated in the business entity application or the license;
(c) To the designee of a licensed insurance producer entering
active service in the armed forces of the United States; or
(d) In any other circumstance where the commissioner deems that the
public interest will best be served by the issuance of this license.
(2) The commissioner may, by order, limit the authority of any
temporary licensee in any way deemed necessary to protect insureds and
the public. The commissioner may require the temporary licensee to
have a suitable sponsor who is a licensed insurance producer or insurer
and who assumes responsibility for all acts of the temporary licensee,
and may impose other similar requirements designed to protect insureds
and the public. The commissioner may, by order, revoke a temporary
license if the interest of insureds or the public are endangered. A
temporary license may not continue after the owner or the personal
representatives dispose of the business.
Sec. 29 RCW 48.17.530 and 1973 1st ex.s. c 152 s 2 are each
amended to read as follows:
(1) The commissioner may ((suspend, revoke, or refuse to issue or
renew any license which is issued or may be issued under this chapter
or any surplus line broker's license for any cause specified in any
other provision of this code, or for any of the following causes:)) place on probation, suspend, revoke, or refuse
to issue or renew an adjuster's license, an insurance producer's
license, a title insurance agent's license, or any surplus line
broker's license, or may levy a civil penalty in accordance with RCW
48.17.560 or any combination of actions, for any one or more of the
following causes:
(a) For any cause for which issuance of the license could have been
refused had it then existed and been known to the commissioner.
(b) If the licensee or applicant wilfully violates or knowingly
participates in the violation of any provision of this code or any
proper order or regulation of the commissioner.
(c) If the licensee or applicant has obtained or attempted to
obtain any such license through wilful misrepresentation or fraud, or
has failed to pass any examination required under this chapter.
(d) If the licensee or applicant has misappropriated or converted
to his own use or has illegally withheld moneys required to be held in
a fiduciary capacity.
(e) If the licensee or applicant has, with intent to deceive,
materially misrepresented the terms or effect of any insurance
contract; or has engaged or is about to engage in any fraudulent
transaction.
(f) If the licensee or applicant has been guilty of "twisting," as
defined in RCW 48.30.180, or of rebating, as defined in chapter 48.30
RCW.
(g) If the licensee or applicant has been convicted, by final
judgment, of a felony.
(h) If the licensee or applicant has shown himself to be, and is so
deemed by the commissioner, incompetent, or untrustworthy, or a source
of injury and loss to the public.
(i) If the licensee has dealt with, or attempted to deal with,
insurances, or to exercise powers relative to insurance outside the
scope of his licenses.
(2) If any natural person named under a firm or corporate license,
or application therefor, commits or has committed any act or fails or
has failed to perform any duty which is a ground for the commissioner
to revoke, suspend or refuse to issue or renew the license or
application for license, the commissioner may revoke, suspend, refuse
to renew, or refuse to issue:
(a) The license, or application therefor, of the corporation or
firm; or
(b) The right of the natural person to act thereunder; or
(c) Any other license held or applied for by the natural person; or
(d) He may take all such steps.
(3) Any conduct of an applicant or licensee which constitutes
ground for disciplinary action under this code shall be deemed such
ground notwithstanding that such conduct took place in another state.
(4) The holder of any license which has been revoked or suspended
shall surrender the license certificate to the commissioner at the
commissioner's request
(a) Providing incorrect, misleading, incomplete, or materially
untrue information in the license application;
(b) Violating any insurance laws, or violating any rule, subpoena,
or order of the commissioner or of another state's insurance
commissioner;
(c) Obtaining or attempting to obtain a license through
misrepresentation or fraud;
(d) Improperly withholding, misappropriating, or converting any
moneys or properties received in the course of doing insurance
business;
(e) Intentionally misrepresenting the terms of an actual or
proposed insurance contract or application for insurance;
(f) Having been convicted of a felony;
(g) Having admitted or been found to have committed any insurance
unfair trade practice or fraud;
(h) Using fraudulent, coercive, or dishonest practices, or
demonstrating incompetence, untrustworthiness, or financial
irresponsibility in this state or elsewhere;
(i) Having an insurance producer license, or its equivalent,
denied, suspended, or revoked in any other state, province, district,
or territory;
(j) Forging another's name to an application for insurance or to
any document related to an insurance transaction;
(k) Improperly using notes or any other reference material to
complete an examination for an insurance license;
(l) Knowingly accepting insurance business from a person who is
required to be licensed under this title and is not so licensed, other
than orders for issuance of title insurance on property located in this
state placed by a nonresident title insurance agent authorized to act
as a title insurance agent in the title insurance agent's home state;
or
(m) Obtaining a loan from an insurance client that is not a
financial institution and who is not related to the insurance producer
by birth, marriage, or adoption, except the commissioner may, by rule,
define and permit reasonable arrangements.
(2) The license of a business entity may be suspended, revoked, or
refused if the commissioner finds that an individual licensee's
violation was known or should have been known by one or more of the
partners, officers, or managers acting on behalf of the partnership or
corporation, and the violation was neither reported to the commissioner
nor corrective action taken.
(3) The commissioner shall retain the authority to enforce the
provisions of and impose any penalty or remedy authorized by this
chapter and this title against any person who is under investigation
for or charged with a violation of this chapter or this title, even if
the person's license or registration has been surrendered or has lapsed
by operation of law.
(4) The holder of any license which has been revoked or suspended
shall surrender the license certificate to the commissioner at the
commissioner's request.
(5) The commissioner may probate a suspension or revocation of a
license under reasonable terms determined by the commissioner. In
addition, the commissioner may require a licensee who is placed on
probation to:
(a) Report regularly to the commissioner on matters that are the
basis of the probation;
(b) Limit practice to an area prescribed by the commissioner; or
(c) Continue or renew continuing education until the licensee
attains a degree of skill satisfactory to the commissioner in the area
that is the basis of the probation.
(6) At any time during a probation term where the licensee has
violated the probation order, the commissioner may:
(a) Rescind the probation and enforce the commissioner's original
order; and
(b) Impose any disciplinary action permitted under this section in
addition to or in lieu of enforcing the original order.
Sec. 30 RCW 48.17.565 and 1989 c 323 s 4 are each amended to read
as follows:
If an investigation of any insurance education provider culminates
in a finding by the commissioner or by any court of competent
jurisdiction, that the insurance education provider has failed to
comply with or has violated any statute or regulation pertaining to
insurance education, the insurance education provider shall pay the
expenses reasonably attributable and allocable to such investigation.
(1) The commissioner shall calculate such expenses and render a
bill therefor by registered mail to the insurance education provider.
Within thirty days after receipt of such bill, the insurance education
provider shall pay the full amount to the commissioner. The
commissioner shall transmit such payment to the state treasurer. The
state treasurer shall credit the payment to the office of the insurance
commissioner regulatory account, treating such payment as recovery of
a prior expenditure.
(2) In any action brought under this section, if the insurance
commissioner prevails, the court may award to the office of the
((insurance)) commissioner all costs of the action, including a
reasonable attorneys' fee to be fixed by the court.
Sec. 31 RCW 48.17.591 and 1990 c 121 s 1 are each amended to read
as follows:
(1) No insurer authorized to do business in this state may cancel
or refuse to renew any policy because that insurer's contract with the
independent ((agent)) insurance producer through whom such policy is
written has been terminated by the insurer, the ((agent)) insurance
producer, or by mutual agreement.
(2) If an insurer intends to terminate a written agency contract
with an independent ((agent)) insurance producer, the insurer shall
give the ((agent)) insurance producer not less than one hundred twenty
days' advance written notice of the intent, unless the reason for
termination is ((based upon the agent's abandonment of the agency, the
agent's gross and willful misconduct, the agent's loss of license by
order of the insurance commissioner, the agent's sale of, or material
change of ownership in, the agency, the agent's fraud or material
misrepresentation relative to the business of insurance, or the agent's
default in payments due the insurer under the terms of the agreement))
one of the reasons set forth in RCW 48.17.530. During the notice
period the insurer shall not amend the existing contract without the
consent of the ((agent)) insurance producer.
(a) Unless the agency contract provides otherwise, during the one
hundred twenty day notice period the independent ((agent)) insurance
producer shall not write or bind any new business on behalf of the
terminating insurer without specific written approval. However,
routine adjustments by insureds are permitted. The terminating insurer
shall permit renewal of all its policies in the ((agent's)) insurance
producer's book of business for a period of one year following the
effective date of the termination, to the extent the policies meet the
insurer's underwriting standards and the insurer has no other reason
for nonrenewal. The rate of commission for any policies renewed under
this provision shall be the same as the ((agent)) insurance producer
would have received had the agency agreement not been terminated.
(b) An independent ((agent)) insurance producer whose agency
contract has been terminated shall have a reasonable opportunity to
transfer affected policies to other insurers with which the ((agent))
insurance producer has an appointment: PROVIDED, HOWEVER, That prior
to the conclusion of the one-year renewal period following the
effective date of the termination, an insurer without a reason for not
renewing an insured's policy and which has not received notification of
the placement of such policy with another insurer shall provide its
insured with appropriate written notice of an offer to continue the
policy. In such cases, except where the terminated ((agent)) insurance
producer has placed the policy with another agent of the insurer, the
insurer shall, where practical, assign the policy to an appointed
((agent)) insurance producer located reasonably near the insured
willing to accept the assignment.
(c) An insurer is not required to continue the appointment of a
terminated independent ((agent)) insurance producer during or after the
one year renewal period. However, an ((agent)) insurance producer
whose contract has been terminated by the insurer remains an agent of
the terminating insurer as to actions associated with the policies
subject to this section just as if ((he or she)) the insurance producer
were appointed by the insurer as its agent.
(3) In the absence of receipt of notice from the insured that
coverage will not be continued with the existing insurer, an insurer
whose agency contract has been terminated by an independent ((agent))
insurance producer, or by the mutual agreement of the insurer and the
((agent)) insurance producer, that elects to renew or lacks a reason
not to renew, shall give the renewal notice required by chapter 48.18
RCW to affected insureds, and continue renewed coverage in accordance
with the methods specified in subsection (2)(b) of this section.
((Agents)) Insurance producers affected by this subsection may provide
the notice to an insurer that an insured does not intend to continue
existing coverage with the insurer, after receiving written authority
to do so from an insured.
(4) For purposes of this section an "independent ((agent))
insurance producer" is a licensed insurance ((agent)) producer
representing an insurer on an independent contractor basis and not as
an employee. This term includes only those ((agents)) insurance
producers not obligated by contract to place insurance accounts with a
particular insurer or group of insurers.
(5) This section does not apply to:
(a) ((agents)) Insurance producers or policies of an insurer or
group of insurers if the business is not owned by the ((agent))
insurance producer and the termination of any such contractual
agreement does not result in the cancellation or nonrenewal of any
policies of insurance;
(b) Managing general agents, to the extent that they are acting in
that capacity;
(c) Life, disability, surety, ocean marine and foreign trade, and
title insurance policies;
(d) Situations where the termination of the agency contract results
from the insolvency or liquidation of the terminating insurer.
(6) No insurer may terminate its agency contract with an appointed
((agent)) insurance producer unless it complies with this section.
(7) Nothing contained in this section excuses an insurer from
giving cancellation and renewal notices that may be required by chapter
48.18 RCW.
NEW SECTION. Sec. 32 A new section is added to chapter 48.17 RCW
to read as follows:
(1) An insurer or authorized representative of the insurer that
terminates the appointment, employment, contract, or other insurance
business relationship with an insurance producer or title insurance
agent shall notify the commissioner within thirty days following the
effective date of the termination, using a format prescribed by the
commissioner, if the reason for termination is one of the reasons set
forth in RCW 48.17.530 or the insurer has knowledge the insurance
producer or title insurance agent was found by a court, government
body, or self-regulatory organization authorized by law to have engaged
in any of the activities in RCW 48.17.530. Upon the written request of
the commissioner, the insurer shall provide additional information,
documents, records, or other data pertaining to the termination or
activity of the insurance producer or title insurance agent.
(2) An insurer or authorized representative of the insurer that
terminates the appointment, employment, or contract with an insurance
producer or title insurance agent for any reason not set forth in RCW
48.17.530, shall notify the commissioner within thirty days following
the effective date of the termination, using a format prescribed by the
commissioner. Upon written request of the commissioner, the insurer
shall provide additional information, documents, records, or other data
pertaining to the termination.
(3) The insurer or the authorized representative of the insurer
shall promptly notify the commissioner in a format acceptable to the
commissioner if, upon further review or investigation, the insurer
discovers additional information that would have been reportable to the
commissioner in accordance with subsection (1) of this section had the
insurer then known of its existence.
(4) A copy of the notification to the commissioner shall be
provided to the insurance producer or title insurance agent.
(a) Within fifteen days after making the notification required by
subsections (1), (2), and (3) of this section, the insurer shall mail
a copy of the notification to the insurance producer or title insurance
agent at the insurance producer's or title insurance agent's last known
address. If the insurance producer or title insurance agent is
terminated for cause for any of the reasons listed in RCW 48.17.530,
the insurer shall provide a copy of the notification to the insurance
producer or title insurance agent at the insurance producer's or title
insurance agent's last known address by certified mail, return receipt
requested, postage prepaid, or by overnight delivery using a nationally
recognized carrier.
(b) Within thirty days after the insurance producer or title
insurance agent has received the original or additional notification,
the insurance producer or title insurance agent may file written
comments concerning the substance of the notification with the
commissioner. The insurance producer or title insurance agent shall,
by the same means, simultaneously send a copy of the comments to the
reporting insurer, and the comments shall become a part of the
commissioner's file and accompany every copy of a report distributed or
disclosed for any reason about the insurance producer or title
insurance agent as permitted under subsection (6) of this section.
(5) Immunities shall apply as follows:
(a) In the absence of actual malice, an insurer, the authorized
representative of the insurer, an insurance producer, title insurance
agent, the commissioner, or an organization of which the commissioner
is a member and that compiles the information and makes it available to
other insurance commissioners or regulatory or law enforcement agencies
shall not be subject to civil liability, and a civil cause of action of
any nature shall not arise against these entities or their respective
agents or employees, as a result of any statement or information
required by or provided under this section, or any information relating
to any statement that may be requested in writing by the commissioner,
from an insurer, insurance producer, or title insurance agent; or a
statement by a terminating insurer, insurance producer, or title
insurance agent to an insurer, insurance producer, or title insurance
agent limited solely and exclusively to whether a termination for cause
under subsection (1) of this section was reported to the commissioner,
provided that the propriety of any termination for cause under
subsection (1) of this section is certified in writing by an officer or
authorized representative of the insurer, insurance producer, or title
insurance agent terminating the relationship.
(b) In any action brought against a person that may have immunity
under (a) of this subsection for making any statement required by this
section or providing any information relating to any statement that may
be requested by the commissioner, the party bringing the action shall
plead specifically in any allegation that (a) of this subsection does
not apply because the person making the statement or providing the
information did so with actual malice.
(c) Subsection (5)(a) or (b) of this section shall not abrogate or
modify any existing statutory or common law privileges or immunities.
(6) Information provided under this section is confidential.
(a) Any documents, materials, or other information in the control
or possession of the commissioner that is furnished by an insurer,
insurance producer, title insurance agent, or an employee or agent
thereof acting on behalf of the insurer, insurance producer, or title
insurance agent, or obtained by the commissioner in an investigation
pursuant to this section shall be confidential by law and privileged,
shall not be subject to disclosure under chapter 42.56 RCW, shall not
be subject to subpoena, and shall not be subject to discovery or
admissible in evidence in any private civil action. However, the
commissioner is authorized to use the documents, materials, or other
information in the furtherance of any regulatory or legal action
brought as a part of the commissioner's duties.
(b) Neither the commissioner nor any person who received documents,
materials, or other information while acting under the authority of the
commissioner shall be permitted or required to testify in any private
civil action concerning any confidential or privileged documents,
materials, or information subject to (a) of this subsection.
(c) In order to assist in the performance of the commissioner's
duties under this act and in accordance with RCW 48.02.065, the
commissioner:
(i) May share documents, materials, or other information, including
the confidential and privileged documents, materials, or information
subject to (a) of this subsection, with other state, federal, and
international regulatory agencies, with the NAIC, its affiliates, or
subsidiaries, and with state, federal, and international law
enforcement authorities, provided that the recipient agrees to maintain
the confidentiality and privileged status of the document, material, or
other information;
(ii) May receive documents, materials, or information, including
otherwise confidential and privileged documents, materials, or
information, from the NAIC, its affiliates, or subsidiaries, and from
regulatory and law enforcement officials of other foreign or domestic
jurisdictions, and shall maintain as confidential or privileged any
document, material, or information received with notice or the
understanding that it is confidential or privileged under the laws of
the jurisdiction that is the source of the document, material, or
information; and
(iii) May enter into agreements governing sharing and use of
information consistent with this subsection.
(d) No waiver of any applicable privilege or claim of
confidentiality in the documents, materials, or information shall occur
as a result of disclosure to the commissioner under this section or as
a result of sharing as authorized in subsection (5)(c) of this section.
(e) Nothing in this chapter shall prohibit the commissioner from
releasing final, adjudicated actions including for cause terminations
that are open to public inspection pursuant to chapter 42.56 RCW to a
database or other clearinghouse service maintained by the NAIC, its
affiliates, or subsidiaries.
(7) An insurer, the authorized representative of the insurer,
insurance producer, or title insurance agent that fails to report as
required under the provisions of this section or that is found to have
reported with actual malice by a court of competent jurisdiction may,
after notice and hearing, have its license or certificate of authority
suspended or revoked, and may be fined in accordance with this title.
Sec. 33 RCW 48.17.600 and 1988 c 248 s 15 are each amended to
read as follows:
(1) All funds representing premiums or return premiums received by
an ((agent, solicitor or broker)) insurance producer or title insurance
agent in ((his or her)) the insurance producer's or title insurance
agent's fiduciary capacity shall be accounted for and maintained in a
separate account from all other business and personal funds.
(2) An ((agent, solicitor or broker)) insurance producer or title
insurance agent shall not commingle or otherwise combine premiums with
any other moneys, except as provided in subsection (3) of this section.
(3) An ((agent, solicitor or broker)) insurance producer or title
insurance agent may commingle with premium funds any additional funds
as ((he or she)) the insurance producer or title insurance agent may
deem prudent for the purpose of advancing premiums, establishing
reserves for the paying of return premiums, or for any contingencies as
may arise in ((his or her)) the insurance producer's or title insurance
agent's business of receiving and transmitting premium or return
premium funds.
(4) Each willful violation of this section shall constitute a
misdemeanor.
(((5) This section shall not apply to agents for title insurance
companies or insurance brokers whose average daily balance for premiums
received on behalf of insureds in the state of Washington equals or
exceeds one million dollars.))
NEW SECTION. Sec. 34 A new section is added to chapter 48.17 RCW
to read as follows:
(1) An insurance producer, title insurance agent, or adjuster shall
report to the commissioner any administrative action taken against the
insurance producer, title insurance agent, or adjuster in another
jurisdiction or by another governmental agency in this state within
thirty days of the final disposition of the matter. This report shall
include a copy of the order, consent to order, or other relevant legal
documents.
(2) Within thirty days of the initial pretrial hearing date, an
insurance producer, title insurance agent, or adjuster shall report to
the commissioner any criminal prosecution of the insurance producer,
title insurance agent, or adjuster taken in any jurisdiction. The
report shall include a copy of the initial complaint filed, the order
resulting from the hearing, and any other relevant legal documents.
NEW SECTION. Sec. 35 A new section is added to chapter 48.17 RCW
to read as follows:
The commissioner may adopt rules to implement and administer this
chapter.
Sec. 36 RCW 42.56.400 and 2006 c 284 s 17 and 2006 c 8 s 210 are
each reenacted and amended to read as follows:
The following information relating to insurance and financial
institutions is exempt from disclosure under this chapter:
(1) Records maintained by the board of industrial insurance appeals
that are related to appeals of crime victims' compensation claims filed
with the board under RCW 7.68.110;
(2) Information obtained and exempted or withheld from public
inspection by the health care authority under RCW 41.05.026, whether
retained by the authority, transferred to another state purchased
health care program by the authority, or transferred by the authority
to a technical review committee created to facilitate the development,
acquisition, or implementation of state purchased health care under
chapter 41.05 RCW;
(3) The names and individual identification data of all viators
regulated by the insurance commissioner under chapter 48.102 RCW;
(4) Information provided under RCW 48.30A.045 through 48.30A.060;
(5) Information provided under RCW 48.05.510 through 48.05.535,
48.43.200 through 48.43.225, 48.44.530 through 48.44.555, and 48.46.600
through 48.46.625;
(6) Information gathered under chapter 19.85 RCW or RCW 34.05.328
that can be identified to a particular business;
(7) Examination reports and information obtained by the department
of financial institutions from banks under RCW 30.04.075, from savings
banks under RCW 32.04.220, from savings and loan associations under RCW
33.04.110, from credit unions under RCW 31.12.565, from check cashers
and sellers under RCW 31.45.030(3), and from securities brokers and
investment advisers under RCW 21.20.100, all of which is confidential
and privileged information;
(8) Information provided to the insurance commissioner under RCW
48.110.040(3);
(9) Documents, materials, or information obtained by the insurance
commissioner under RCW 48.02.065, all of which are confidential and
privileged;
(10) Confidential proprietary and trade secret information provided
to the commissioner under RCW 48.31C.020 through 48.31C.050 and
48.31C.070;
(11) Data filed under RCW 48.140.020, 48.140.030, 48.140.050, and
7.70.140 that, alone or in combination with any other data, may reveal
the identity of a claimant, health care provider, health care facility,
insuring entity, or self-insurer involved in a particular claim or a
collection of claims. For the purposes of this subsection:
(a) "Claimant" has the same meaning as in RCW 48.140.010(2).
(b) "Health care facility" has the same meaning as in RCW
48.140.010(6).
(c) "Health care provider" has the same meaning as in RCW
48.140.010(7).
(d) "Insuring entity" has the same meaning as in RCW 48.140.010(8).
(e) "Self-insurer" has the same meaning as in RCW 48.140.010(11);
((and))
(12) Documents, materials, or information obtained by the insurance
commissioner under RCW 48.135.060; and
(13) Documents, materials, or information obtained by the insurance
commissioner under section 32 of this act.
Sec. 37 RCW 48.14.010 and 2005 c 223 s 5 are each amended to read
as follows:
(1) The commissioner shall collect in advance the following fees:
| (a) | For filing charter documents: | ||
| (i) | Original charter documents, bylaws or record of organization of insurers, or certified copies thereof, required to be filed . . . . . . . . . . . . | $250.00 | |
| (ii) | Amended charter documents, or certified copy thereof, other than amendments of bylaws . . . . . . . . . . . . | $ 10.00 | |
| (iii) | No additional charge or fee shall be required for filing any of such documents in the office of the secretary of state. | ||
| (b) | Certificate of authority: | ||
| (i) | Issuance . . . . . . . . . . . . | $ 25.00 | |
| (ii) | Renewal . . . . . . . . . . . . | $ 25.00 | |
| (c) | Annual statement of insurer, filing . . . . . . . . . . . . | $ 20.00 | |
| (d) | Organization or financing of domestic insurers and affiliated corporations: | ||
| (i) | Application for solicitation permit, filing . . . . . . . . . . . . | $100.00 | |
| (ii) | Issuance of solicitation permit . . . . . . . . . . . . | $ 25.00 | |
| (e) | (( | ||
| (i) | (( | (( $ 55.00 | |
| (ii) | (( | $ 55.00 | |
| (iii) | Initial appointment and renewal of
appointment of each (( | $ 20.00 | |
| (( | Limited (( to RCW 48.17.190 | $ 20.00 | |
| (f) | Reinsurance intermediary licenses: | ||
| (i) | Reinsurance intermediary-broker, each year . . . . . . . . . . . . | $ 50.00 | |
| (ii) | Reinsurance intermediary- manager, each year . . . . . . . . . . . . | $100.00 | |
| (g) | (( | ||
years . . . . . . . . . . . . | |||
| Surplus line broker license
application and renewal, every two years . . . . . . . . . . . . | $200.00 | ||
| (h) | (( | ||
| Adjusters' licenses: | |||
| (i) | Independent adjuster, every two years . . . . . . . . . . . . | $ 50.00 | |
| (ii) | Public adjuster, every two years . . . . . . . . . . . . | $ 50.00 | |
| (( | |||
| Managing general agent appointment, every two years . . . . . . . . . . . . | $200.00 | ||
| (( (j) | Examination for license, each examination: | ||
| $ 20.00 | |||
| (( (k) | Miscellaneous services: | ||
| (i) | Filing other documents . . . . . . . . . . . . | $ 5.00 | |
| (ii) | Commissioner's certificate under seal . . . . . . . . . . . . | $ 5.00 | |
| (iii) | Copy of documents filed in the commissioner's office, reasonable charge therefor as determined by the commissioner. | ||
NEW SECTION. Sec. 38 If any provision of this act or its
application to any person or circumstance is held invalid, the
remainder of the act or the application of the provision to other
persons or circumstances is not affected.
NEW SECTION. Sec. 39 The following acts or parts of acts are
each repealed:
(1) RCW 48.17.020 ("Broker" defined) and 1947 c 79 s .17.02;
(2) RCW 48.17.030 ("Solicitor" defined) and 1947 c 79 s .17.03;
(3) RCW 48.17.040 (Service representatives) and 1947 c 79 s .17.04;
(4) RCW 48.17.050 ("Adjuster" defined) and 1947 c 79 s .17.05;
(5) RCW 48.17.055 ("Insurance education provider" defined) and 1989
c 323 s 2;
(6) RCW 48.17.070 (General qualifications for license) and 1947 c
79 s .17.07;
(7) RCW 48.17.100 (One filing of personal data sufficient) and 1947
c 79 s .17.10;
(8) RCW 48.17.120 (Scope of examinations) and 1989 c 323 s 6, 1981
c 111 s 2, 1967 c 150 s 17, 1955 c 303 s 11, & 1947 c 79 s .17.12;
(9) RCW 48.17.130 (Examinations -- Form, time of, fee) and 1981 c 111
s 3, 1967 c 150 s 18, & 1947 c 79 s .17.13;
(10) RCW 48.17.190 (Limited licenses) and 1995 c 214 s 2, 1979 c
138 s 1, 1967 c 150 s 21, & 1947 c 79 s .17.19;
(11) RCW 48.17.200 (One license required by agent) and 1979 ex.s.
c 269 s 5, 1955 c 303 s 14, & 1947 c 79 s .17.20;
(12) RCW 48.17.210 (Minimum license combinations) and 1947 c 79 s
.17.21;
(13) RCW 48.17.230 (Agent placing rejected business) and 1988 c 248
s 10 & 1947 c 79 s .17.23;
(14) RCW 48.17.240 (Scope of broker's license) and 1967 c 150 s 22
& 1947 c 79 s .17.24;
(15) RCW 48.17.260 (Broker's authority -- Commissions) and 1949 c 190
s 24 & 1947 c 79 s .17.26;
(16) RCW 48.17.280 (Solicitor's qualifications) and 1947 c 79 s
.17.28;
(17) RCW 48.17.290 (Solicitor's license -- Application) and 1947 c 79
s .17.29;
(18) RCW 48.17.300 (Solicitor's license fee -- Custody -- Cancellation)
and 1947 c 79 s .17.30;
(19) RCW 48.17.310 (Limitations upon solicitors) and 1947 c 79 s
.17.31;
(20) RCW 48.17.320 (Responsibility of employing agent or broker)
and 1947 c 79 s .17.32;
(21) RCW 48.17.330 (Nonresident agents and brokers -- Reciprocity)
and 2001 c 56 s 2, 1973 1st ex.s. c 107 s 1, 1955 c 303 s 28, & 1947 c
79 s .17.33;
(22) RCW 48.17.340 (Service of process against nonresident agent or
broker) and 1981 c 339 s 14 & 1947 c 79 s .17.34;
(23) RCW 48.17.500 (Expiration and renewal of licenses) and 1979
ex.s. c 269 s 6, 1977 ex.s. c 182 s 6, 1965 ex.s. c 70 s 20, 1957 c 193
s 9, 1953 c 197 s 7, & 1947 c 79 s .17.50;
(24) RCW 48.17.520 (Temporary licenses -- Duration -- Limitations) and
1985 c 264 s 8, 1953 c 197 s 9, & 1947 c 79 s .17.52; and
(25) RCW 48.05.310 (General agents, managers -- Appointment -- Powers--Licensing) and 1995 c 338 s 1, 1982 c 181 s 17, & 1947 c 79 s .05.31.
NEW SECTION. Sec. 40 This act takes effect July 1, 2009.