Current through Register Vol. 49, No. 9, September, 2024
SECTION 1. PURPOSE
The purpose of this Rule and Regulation is to implement Act 445
of 1989, Ark. Code Ann. §§
23-64-301,
et seq., establishing requirements and standards for continuing education for
natural persons licensed as insurance agents, solicitors, brokers, or
consultants.
SECTION 2.
AUTHORITY
This Rule is issued pursuant to the authority vested in the
Commissioner of Insurance ("Commissioner") by Ark. Code Ann. §
23-64-304(a).
SECTION 3. EFFECTIVE DATE AND APPLICABILITY
This Rule and Regulation shall be effective July 1, 1990 and
shall be applicable to those persons licensed to act as an insurance agent,
solicitor, consultant or broker and engaged in the sale of the following types
of insurance:
A. Life and disability
insurance
B. Property and casualty
insurance
C. All lines of insurance
for which an examination is required for licensing.
SECTION 4. EXEMPTIONS
A. This Rule and Regulation shall not apply
to the following individuals:
1. Persons
holding licenses for which an examination is not required.
2. Bail bondsmen.
3. Any limited or restricted license the
Commissioner may exempt.
4. Any
person who is at least sixty (60) years of age.
5. Any person who has held a license as an
agent, solicitor, consultant or broker for a period of at least fifteen (15)
consecutive years.
6. Third-party
administrators who do not solicit business.
7. Non-resident agents, non-resident
solicitors, nonresident consultants or brokers.
B. All persons requesting exemption from
compliance shall complete and file with the License Division of the Arkansas
Insurance Department the form as found in Appendix F.
C. Newly licensed agents, brokers, and
solicitors during the calendar year in which the applicant first received an
Arkansas license shall not be required to comply with continuing education
requirements until the first calendar year following licensure.
SECTION 5. EDUCATIONAL
REQUIREMENTS
A. Any licensed non-exempt
persons shall, during the two (2) year period of his or her license, complete
those courses of instruction approved by the Commissioner and equivalent to the
following:
1. A minimum of sixteen (16) hours
of instruction for a life and disability license or life or disability
licenses.
2. A minimum of sixteen
(16) hours of instruction for a property and casualty license.
3. A minimum of twenty (20) hours of
instruction for those other persons holding dual licenses for life and
disability and property and casualty.
B. Subject to submission and approval of the
Commissioner, the courses or programs of instruction successfully completed
which shall be deemed to meet the Commissioner's standards for continuing
educational requirements and the number of classroom hours for which they are
equivalent are:
1. Any part of the Life
Underwriting Training Council Life Courses Curriculum and Health
Courses.
2. Any part of the
American College "CLU" diploma curriculum.
3. Any part of the Insurance Institute of
America's Program in general insurance.
4. Any part of the American Institute for
Property and Liability Underwriters' Chartered Property Casualty Underwriter
(CPCU) professional designated program.
5. Any part of the Certified Insurance
Counselor Program.
6. Any course
offered by Certified Health Consultant (CHC).
7. Any course offered by Registered Health
Consultant.
8. Any insurance
related course approved by the Commissioner and taught by an accredited college
or university,
9. Any course or
program of instruction or seminar sponsored by any authorized insurer,
recognized agents association or insurance trade association or any independent
program of instruction, shall, subject to the approval of the Commissioner,
qualify for the equivalency of the number of classroom hours assigned thereto
by the Commissioner.
10. Any
correspondence course approved by the Commissioner shall qualify for the
equivalency of the number of classroom hours assigned thereto by the
Commissioner.
11. Any other course
or program approved by the Commissioner.
C. The Commissioner shall assign the number
of continuing education hours for which approved courses qualify.
SECTION 6. COURSE PROVIDER
APPROVAL
A. Application for approval as a
provider shall be submitted to the License Division of the Arkansas Insurance
Department not less than sixty (60) days prior to the expected use of the
program. A provider shall include the following information in duplicate:
1. Detailed description of the subject of the
program or course including a course outline, list of any resource materials,
and list of speakers or instructors.
2. Completion of Appendices A and B for the
initial certification, and completion of Appendix C upon any change in
curriculum or instructor.
3.
Schedules of classes for all locations.
B. Changes in class schedules are to be filed
with the Insurance Department no later than two (2) weeks before such program
or course is offered.
SECTION
7. INSTRUCTOR QUALIFICATIONS
A.
A person teaching any approved course of instruction or lecturing at any
approved seminar shall qualify for the same number of classroom hours for that
course as would be granted to a person taking and successfully completing such
course, seminar or program.
B.
Instructors must have had specific insurance training or educational
experiences satisfactory and approved by the State Insurance
Commissioner in order to be certified to teach any part of an approved course.
Each instructor must have five (5) or more years of specific insurance
experience and/or education in each part of the insurance training program in
which he instructs and must be approved prior to teaching any course, or any
part of a course, by the State Insurance Commissioner. Applicants for approval
as an instructor shall complete and submit Appendix D to the License Division
of the Arkansas Insurance Department.
C. No person will be approved as an
instructor who has received disciplinary action by the Arkansas Insurance
Department, the Insurance Department of another state, or any similar
regulatory body or court. The Commissioner shall have the authority to waive
this requirement.
SECTION
8. PROGRAM REVIEW
Members of the Insurance Advisory Examining Board as provided in
Ark. Code Ann. §
23-64-201
and/or representatives of the Department shall have the authority to visit a
course or program and review its offering at any time including, but not
limited to, curriculum records and attendance records.
SECTION 9. FEES AND COMPLIANCE
A. Every person subject to this Regulation
shall furnish, in a form satisfactory to the Commissioner, written
certification as to the courses, programs and seminars of instruction taken and
successfully completed by such person. Such certification shall be executed by
or on behalf of the course provider and shall be in the form prescribed in
Appendix E.
B. Every person subject
to this Rule and Regulation and who furnishes to the Commissioner written
certification as to the courses or programs of instruction taken and
successfully completed shall tender a filing fee with each certification
submitted during the two (2) year period to which the continuing education
hours apply. The amount of the filing fee shall be ten dollars
($10.00).
C. Excess classroom hours
accumulated during any two (2) year period may be carried forward only to the
next period. Those persons wishing to carry forward excess hours shall file a
certification of those hours with the Commissioner within sixty (60) days of
the beginning of the two (2) year period in which the excess hours are to be
carried over.
D. For good cause
shown, the Commissioner may grant an extension of time during which the
requirements may be completed, but such extension of time shall not exceed the
period of one (1) year.
SECTION
10. PENALTIES
Upon failure of any agent, solicitor, consultant or broker to
comply with Ark. Code Ann, §
23-64-301,
et seq, within ninety (90) days after January 1, 1993 or within ninety (90)
days after January 1 of each year thereafter, the Commissioner shall take the
steps enumerated in Ark. Code Ann. §
23-64-307(b)
to suspend such individual's license.
SECTION 11. SEVERABILITY
Any section or provision of this Rule held by the court to be
invalid or unconstitutional will not affect the validity of any other section
or provision.
APPENDIX A
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APPENDIX B
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APPENDIX C
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APPENDIX D
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APPENDIX E
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APPENDIX F
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