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A BILL TO BE ENTITLED
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AN ACT
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relating to completion of continuing education requirements for |
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insurance agents and adjusters. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 4003.006, Insurance Code, is amended to |
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read as follows: |
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Sec. 4003.006. CONTINUATION OF ORIGINAL LICENSE. The |
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original license of a person who has applied for license renewal in |
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compliance with Section 4003.004 [4003. 004] remains in effect from |
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the date the renewal application is filed until the date: |
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(1) the department issues the renewal license; [or] |
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(2) the license is not renewed under Section 4004.055; |
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or |
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(3) the commissioner issues an order revoking the |
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license. |
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SECTION 2. Section 4004.051(a), Insurance Code, is amended |
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to read as follows: |
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(a) Except as provided by Section 4004.052 or other law, |
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each individual who holds a license issued by the department shall |
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complete, as a condition of licensure, continuing education as |
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provided by this chapter. |
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SECTION 3. Subchapter B, Chapter 4004, Insurance Code, is |
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amended by adding Section 4004.055 to read as follows: |
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Sec. 4004.055. CONSEQUENCES OF FAILURE TO COMPLETE |
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CONTINUING EDUCATION REQUIREMENT. (a) The department may not |
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renew a license issued under this title if the license holder fails |
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to: |
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(1) complete an applicable continuing education |
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requirement not later than the 90th day after the last day of the |
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licensing period; or |
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(2) pay an applicable fine related to the failure to |
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timely complete continuing education. |
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(b) The department may not issue a new license under this |
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title to an individual who was previously licensed under this title |
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if the individual fails to: |
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(1) provide evidence of completion of an applicable |
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continuing education requirement for the expired, nonrenewed, |
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canceled, or revoked license; or |
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(2) pay an applicable fine related to the failure to |
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timely complete continuing education. |
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(c) Completion of continuing education after expiration of |
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a license is not a defense in a disciplinary action under Section |
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4005.101, Section 4005.109, or another provision of this code |
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against an individual who failed to complete continuing education |
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as required by this chapter. |
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SECTION 4. Section 4004.101(a), Insurance Code, is amended |
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to read as follows: |
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(a) The department shall certify continuing education |
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programs for agents and adjusters. The certification criteria must |
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be designed to ensure that continuing education programs enhance |
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the knowledge, understanding, and professional competence of the |
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license holder. |
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SECTION 5. Subchapter C, Chapter 4004, Insurance Code, is |
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amended by adding Section 4004.105 to read as follows: |
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Sec. 4004.105. ADJUSTER CONTINUING EDUCATION PROGRAM |
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CONTENTS. A continuing education program for adjusters licensed |
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under Chapter 4101 must include education relating to: |
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(1) Chapter 541; |
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(2) Chapter 547; |
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(3) Subchapter A, Chapter 542; |
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(4) Subchapter E, Chapter 17, Business & Commerce |
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Code; and |
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(5) any other similar laws specified by the |
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department. |
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SECTION 6. Section 4005.105(d), Insurance Code, is amended |
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to read as follows: |
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(d) Subsections (b) and [Subsection] (c) do [does] not apply |
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to an applicant whose license application was denied or revoked for |
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failure by the applicant to: |
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(1) pass a required written examination; [or] |
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(2) complete continuing education or pay an applicable |
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fine under Section 4004.055(a); or |
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(3) submit a properly completed license application. |
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SECTION 7. Section 4005.109, Insurance Code, is amended by |
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amending Subsection (b) and adding Subsection (b-1) to read as |
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follows: |
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(b) A violation for which a fine may be assessed under this |
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section includes a failure to: |
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(1) obtain the total number of continuing education |
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hours before the expiration [renewal] date of a license; |
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(2) timely report a change of address to the |
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department; or |
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(3) notify the department of an administrative action |
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against the agent by a financial or insurance regulator of another |
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state or of the federal government. |
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(b-1) The aggregate amount of fines assessed under |
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Subsection (b)(1) may not exceed $500 for a licensing period. |
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SECTION 8. Section 4101.059(a), Insurance Code, is amended |
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to read as follows: |
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(a) To renew a license under this chapter, a licensed |
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adjuster must participate in a continuing education program under |
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Chapter 4004 [relating to consumer protection]. [The program must
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include education relating to consumer protection laws, including:
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[(1) Chapter 541;
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[(2) Chapter 547;
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[(3) Subchapter A, Chapter 542;
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[(4)
Subchapter E, Chapter 17, Business & Commerce
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Code; and
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[(5)
any other similar laws specified by the
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department.] |
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SECTION 9. Section 4101.061, Insurance Code, is amended to |
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read as follows: |
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Sec. 4101.061. EXPIRATION; RENEWAL. Expiration and |
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renewal of a license issued under this chapter are governed by |
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Section 4004.055, rules adopted by the commissioner, and [or] any |
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applicable provision of this code or another insurance law of this |
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state. |
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SECTION 10. Section 4102.064(c), Insurance Code, is amended |
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to read as follows: |
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(c) On the filing of a completed renewal application, |
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renewal fee, and, if applicable, evidence of compliance with the |
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continuing education requirements, the original license continues |
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in force until: |
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(1) the department issues the renewal license; [or] |
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(2) the license is not renewed under Section 4004.055; |
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or |
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(3) the commissioner issues an order revoking the |
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license. |
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SECTION 11. Sections 4102.065(a), (b), and (c), Insurance |
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Code, are amended to read as follows: |
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(a) A person whose license has been expired for 90 days or |
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less may renew the license by: |
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(1) submitting to the department: |
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(A) a completed renewal application in the form |
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prescribed by the commissioner; and |
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(B) evidence of compliance with the continuing |
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education requirements and eligibility for renewal under Section |
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4004.055; and |
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(2) paying to the department the required renewal fee |
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and an additional fee that is equal to one-half of the renewal fee |
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for the license. |
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(b) Except as provided by Section 4004.055, a [A] person |
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whose license has been expired for more than 90 days but less than |
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one year may not renew the license but is entitled to a new license |
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without taking the applicable examination if the person submits to |
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the department: |
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(1) a new application; |
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(2) evidence of compliance with the continuing |
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education requirements; |
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(3) the license fee; and |
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(4) an additional fee equal to one-half of the license |
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fee. |
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(c) A person whose license has been expired for one year or |
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more may not renew the license. The person may obtain a new license |
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by: |
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(1) submitting to reexamination, if examination is |
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required for original issuance of the license; |
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(2) [, and by] complying with the requirements and |
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procedures for obtaining an original license; and |
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(3) if applicable, submitting evidence of completion |
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of any outstanding continuing education requirement related to the |
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expired license. |
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SECTION 12. The change in law made by this Act applies only |
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to a license issued or renewed on or after the effective date of |
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this Act. A license issued or renewed before the effective date of |
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this Act is governed by the law as it existed immediately before the |
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effective date of this Act, and that law is continued in effect for |
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that purpose. |
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SECTION 13. This Act takes effect November 1, 2015. |