Title of Rule and Other Identifying Information: WAC 284-17-429 Appointments and affiliations of licensees.
THIS RULE IS BEING PROPOSED UNDER AN EXPEDITED RULE-MAKING PROCESS THAT WILL ELIMINATE THE NEED FOR THE AGENCY TO HOLD PUBLIC HEARINGS, PREPARE A SMALL BUSINESS ECONOMIC IMPACT STATEMENT, OR PROVIDE RESPONSES TO THE CRITERIA FOR A SIGNIFICANT LEGISLATIVE RULE. IF YOU OBJECT TO THIS USE OF THE EXPEDITED RULE-MAKING PROCESS, YOU MUST EXPRESS YOUR OBJECTIONS IN WRITING AND THEY MUST BE SENT TO Donna Dorris, Office of the Insurance Commissioner, P.O. Box 40258, Olympia, WA 98504-0258, e-mail Donnad@OIC.WA.Gov , AND RECEIVED BY December 20, 2011.
Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: This proposed rule will correct an omission of language in WAC 284-17-429(6).
Reasons Supporting Proposal: When WAC 284-17-429 was amended in January 2011, two words "are licensed" were omitted from WAC 284-17-429(6) making the sentence confusing and incomplete. The addition of these two words corrects and clarifies the meaning of the sentence.
Statutory Authority for Adoption: RCW 48.17.005.
Statute Being Implemented: Chapter 48.17 RCW.
Rule is not necessitated by federal law, federal or state court decision.
Name of Proponent: Mike Kreidler, insurance commissioner, governmental.
Name of Agency Personnel Responsible for Drafting: Donna Dorris, P.O. Box 40258, Olympia, WA 98504-0258, (360) 725-7040; Implementation: John Hamje, P.O. Box 40255, Olympia, WA 98505-0255 [98504-0255], (360) 725-7262; and Enforcement: Carol Sureau, P.O. Box 40255, Olympia, WA 98505-0255 [98504-0255], (360) 725-7050.
October 19, 2011
AMENDATORY SECTION(Amending Matter No. R 2010-07, filed 1/28/11, effective 2/28/11)
WAC 284-17-429 Appointments and affiliations of licensees. (1) An insurance producer may be appointed or affiliated by submitting electronically the notice of appointment or affiliation through a third-party on-line licensing provider or the commissioner's on-line services, available at www.insurance.wa.gov.
(2) Insurance producers upon initial appointment by an insurer or upon initial affiliation by a business entity must be authorized to transact at least one line of authority within the authority of the insurer or the business entity.
(3) Initial appointments and affiliations are continuous. Each appointment or affiliation is effective until the first of the following occurs:
(a) The insurance producer's license is revoked, terminated, or nonrenewed;
(b) The appointment or affiliation renewal fee is not paid; or
(c) Notice of termination is electronically submitted to the commissioner.
(4) The insurer is obligated to ensure that its appointed insurance producers are licensed for the proper line of authority for which the insurance producer submits an application for insurance.
(5) Individual surplus line brokers may be affiliated with a business entity possessing a surplus line broker license in the manner set forth in subsection (1) of this section.
(6) Business entities are obligated to ensure that all affiliated insurance producers are licensed for the proper line of authority for which the insurance producer submits an application for insurance and that surplus line brokers are properly licensed.
(7) The applicable initial and renewal appointment and affiliation fees, as set forth in RCW 48.14.010, must be paid at the time of appointment, affiliation, or their renewals.
[Statutory Authority: RCW 48.15.015 and 48.17.005. 11-04-067 (Matter No. R 2010-07), § 284-17-429, filed 1/28/11, effective 2/28/11. Statutory Authority: RCW 48.02.060, 48.17.005. 09-02-073 (Matter No. R 2008-06), § 284-17-429, filed 1/6/09, effective 7/1/09. Statutory Authority: RCW 48.02.060 (3)(a) and 48.17.150 (1)(g)(ii). 06-12-025 (Matter No. R 2005-06), § 284-17-429, filed 5/30/06, effective 6/30/06.]