CSSB 214(L&C): "An Act relating to insurance adjuster and independent portable electronics adjuster licensing."
00 CS FOR SENATE BILL NO. 214(L&C) 01 "An Act relating to insurance adjuster and independent portable electronics adjuster 02 licensing." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 21.27.010(j) is amended to read: 05 (j) This section does not apply to a person who 06 (1) is employed on salary or hourly wage by a person licensed under 07 this section solely for the performance of accounting, clerical, stenographic, and 08 similar office duties; 09 (2) only secures and forwards information required for the purposes of, 10 and does not receive a commission for, any of the following services: 11 (A) performing administrative services related to 12 (i) group life insurance; 13 (ii) group property and casualty insurance; 14 (iii) group annuities;
01 (iv) group or blanket accident and health insurance; 02 (B) enrolling individuals under plans for the types of insurance 03 or annuities specified in (A) of this paragraph; 04 (C) issuing certificates under plans for the types of insurance or 05 annuities specified in (A) of this paragraph, or otherwise assisting in 06 administering those plans; 07 (D) performing administrative services related to mass- 08 marketed property and casualty insurance; 09 (3) is employed on salary by a licensee at the licensee's place of 10 business, is supervised by and reports directly to a licensee in the firm, and who, after 11 explaining that the matter must be reviewed by a licensee, may 12 (A) furnish premium estimates from published or printed lists 13 of standard rates if the person does not advise, counsel, or suggest what 14 coverage may be needed, or otherwise solicit insurance coverage; 15 (B) arrange appointments for a licensee if the person does not 16 solicit insurance coverage; 17 (C) record information from an applicant or policyholder and 18 complete for the licensee's personal review and signature, a certificate of 19 insurance that is not a contract of insurance; the licensee's signature may be by 20 facsimile; 21 (D) inform a policyholder of the type of coverage shown in the 22 licensee's policy record if the person does not advise that an event or 23 hypothetical event is or is not covered; or 24 (E) in the physical presence of the licensee, record information 25 from an applicant or policyholder and complete for a licensee's personal 26 review and personal signature, applications, binders, endorsements, or 27 identification cards if the person discloses to the applicant or policyholder that 28 the applicant or policyholder may review the matter with a licensee; 29 (4) is an employee of an insurer or an organization employed by an 30 insurer and is engaged in the inspection, rating, or classification of risks, or in the 31 supervision of the training of insurance producers and is not individually engaged in
01 the sale, solicitation, or negotiation of insurance; 02 (5) advertises in this state through printed publications or electronic 03 mass media, the distribution of which is not limited to residents of this state, if the 04 person 05 (A) performs no other insurance-related activities in this state; 06 (B) does not intend to solicit in this state; and 07 (C) does not sell, solicit, or negotiate insurance of risks 08 resident, located, or to be performed in this state; 09 (6) is not a resident of this state, but sells, solicits, or negotiates 10 commercial property and casualty insurance for an insured with risks located in more 11 than one state if the person is licensed as an insurance producer in the state where the 12 insured maintains its principal place of business and the contract of insurance covers 13 risks located in that state; 14 (7) is a salaried full-time employee who counsels or advises the 15 person's employer regarding the insurance interests of the employer or of the 16 subsidiaries or business affiliates of the employer, if the employee does not sell or 17 solicit insurance or receive a commission from the sale or solicitation of insurance; 18 (8) is an employer or association or the employer's or association's 19 officer, director, employee, or the trustee of an employee trust plan, if the person is not 20 compensated, directly or indirectly, for transacting insurance and is engaged in the 21 administration or operation of a plan offering employee benefits for the employer's or 22 association's own employees, or the employees of its subsidiaries or affiliates; to 23 qualify under this paragraph, the plan must include insurance for employees; [OR] 24 (9) is an officer, director, or employee of an admitted insurer who does 25 not receive a commission on policies written or sold to risks resident, located, or to be 26 performed in this state if the officer's, director's, or employee's functions are executive, 27 administrative, managerial, clerical, or a combination of these and are only indirectly 28 related to the transaction of insurance; relate to underwriting or loss control; or are in 29 the capacity of an agency supervisor where the activities are limited to providing 30 technical assistance to insurance producers and whose activities do not include 31 transacting insurance;
01 (10) is an employee of a licensed independent adjuster or an 02 employee of an affiliate of a licensed independent adjuster with not more than 25 03 people under the supervision of one licensed independent adjuster or licensed 04 producer who collects or furnishes claim information for portable electronics 05 insurance issued under AS 21.36.515 to insureds or claimants and enters the 06 information into an automated claims adjudication system; the automated claims 07 adjudication system must be a preprogrammed computer system designed for the 08 collection, data entry, calculation, and final resolution of portable electronics 09 insurance claims that 10 (A) may be used only by a licensed independent adjuster, 11 licensed agent, or supervised individuals operating under this section; 12 (B) must comply with the claims payment requirements of 13 this title; and 14 (C) must be certified as compliant with this paragraph by a 15 licensed independent adjuster that is an officer of a licensed entity under 16 this chapter. 17 * Sec. 2. AS 21.27.270(b) is amended to read: 18 (b) Unless the director denies or refuses to renew a license under 19 AS 21.27.410, the director shall issue a nonresident producer, limited lines, surplus 20 lines broker, managing general agent, reinsurance intermediary broker, [OR] 21 reinsurance intermediary manager, or adjuster license to a person who is not a 22 resident of this state if 23 (1) the person is currently licensed and is in good standing in the 24 person's home state; the director may verify the person's licensing status through the 25 producer licensing database records maintained by the National Association of 26 Insurance Commissioners or its affiliates or subsidiaries; 27 (2) the person has paid the fees required under AS 21.06.250 and has 28 submitted to the director 29 (A) the license application the person submitted to the person's 30 home state; or 31 (B) if the person is not a firm, a completed uniform application
01 or, if a firm, the uniform business entity application; and 02 (3) the person's home state awards nonresident adjuster, producer, 03 limited lines, surplus lines, managing general agent, reinsurance intermediary broker, 04 and reinsurance intermediary manager licenses to residents of this state on the same 05 basis as does this state. 06 * Sec. 3. AS 21.27.270 is amended by adding new subsections to read: 07 (h) A nonresident applicant for an independent adjuster license who is 08 licensed as an independent adjuster and in good standing in the applicant's home state 09 does not have to meet the requirements of AS 21.27.060 or 21.27.830 to be licensed 10 under this section. A resident of Canada may not be licensed as an independent 11 adjuster under this section unless the applicant has obtained a resident independent 12 adjuster license in another state or declared another state the applicant's home state 13 and obtained an independent adjuster license in that state. 14 (i) If a nonresident independent adjuster applicant's home state does not 15 license independent adjusters, the independent adjuster applicant may designate the 16 applicant's home state as any state in which the applicant is licensed in good standing. 17 * Sec. 4. AS 21.27.330(a) is amended to read: 18 (a) A person licensed under this chapter shall have and maintain at least one 19 place of business that is physically accessible to the public in this state unless the 20 person holds a nonresident license and principally conducts transactions in another 21 state. However, the nonresident licensee must have at least one physically accessible 22 place in the nonresident licensee's home state. The requirements of this subsection do 23 not apply to a nonresident independent portable electronics adjuster that has 24 designated a state or territory other than the nonresident adjuster's resident state 25 as the nonresident adjuster's home state or to a licensee who only conducts 26 business in life or health insurance or annuities. In this subsection, "independent 27 portable electronics adjuster" means an independent adjuster who collects, 28 furnishes, or enters claim information for portable electronics insurance issued 29 under AS 21.36.515. 30 * Sec. 5. AS 21.27.900(10) is amended to read: 31 (10) "home state," with respect to
01 (A) an insurance producer, means the District of Columbia or 02 a state or territory of the United States in which an insurance producer 03 maintains the producer's principal place of residence or principal place of 04 business and is licensed to act as an insurance producer; 05 (B) an independent adjuster, means the District of 06 Columbia or a state or territory of the United States in which an 07 independent adjuster maintains the independent adjuster's principal place 08 of residence or principal place of business and is licensed to act as an 09 independent adjuster or, if the state or territory of the United States of the 10 independent adjuster's principal place of residence or principal place of 11 business does not license independent adjusters, the state or territory of 12 the United States designated by the independent adjuster where the 13 independent adjuster is licensed;