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House Bill 1294 |
House Author: Eiland |
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Effective: 9-1-09 |
Senate Sponsor: Ellis |
House Bill 1294 amends the Insurance Code to require a resident insurance agent who intends to sell, solicit, or negotiate a contract for an annuity in Texas or to represent an insurer in relation to such an annuity to submit evidence satisfactory to the Texas Department of Insurance of completion of at least four hours of appropriate training before soliciting individual consumers for the purpose of selling annuities. The bill also requires the completion of four hours of continuing education annually that specifically relates to annuities by a resident insurance agent who sells, solicits, or negotiates an annuity contract in the state, or who represents or purports to represent an insurer in relation to such a contract. The bill authorizes this training and continuing education to be used to satisfy continuing education requirements for other insurance-related licenses, and requires the commissioner of insurance by rule to adopt specified criteria for continuing education programs to satisfy these requirements not later than December 1, 2009. The bill establishes that subject matter determined by the commissioner to be primarily intended to promote the sale or marketing of annuities does not qualify as continuing education under these provisions. These changes apply to an insurance agent license issued or renewed on or after April 1, 2010.
House Bill 1294 prohibits an insurance agent from directly or indirectly using a certification or professional designation that implies that the agent holds a special certification or has specialized training in advising or servicing seniors regarding purchasing or selling a life insurance or annuity product. The bill specifies the types of certifications and designations that are prohibited and the language the commissioner of insurance must consider in making a determination about the status of a certification or designation and establishes the applicability of these requirements to job titles used within certain state or federal financial services regulatory agencies. The bill makes these provisions applicable only to the solicitation of, sale of, or advice made in connection with a life insurance or annuity contract by an insurance agent on or after January 1, 2010.