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Regular Session, 2012
SENATE BILL NO. 167
BY SENATOR GARY SMITH
INSURANCE POLICIES. Provides for portable electronics insurance policies. (8/1/12)
AN ACT1
To enact R.S. 22:821(B)(34) and 1431, and Part VIII-A of Chapter 5 of Title 22 of the2
Louisiana Revised Statutes of 1950, to be comprised of R.S. 22:1781.1 through3
1781.6, relative to portable electronics insurance; to provide definitions; to provide4
with respect to the vendors of portable electronic devices; to provide for the5
requirements for the sale of portable electronics insurance; to provide with respect6
to termination of portable electronics insurance; and to provide for related matters.7
Be it enacted by the Legislature of Louisiana:8
Section 1. R.S. 22:821(B)(34) and 1431, and Part VIII-A of Chapter 5 of Title 229
of the Louisiana Revised Statutes of 1950, to be comprised of R.S. 22:1781.1 through 1781.610
are hereby enacted to read as follows: 11
§821. Fees12
* * *13
B. The following fees and licenses shall be collected in advance by the14
commissioner of insurance:15
* * *16
(34) Portable Electronics Insurance Limited Lines License17 SB NO. 167
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(a) Initial license application......$2001
(b) Renewal...................................$1002
* * *3
§1431. Portable Electronics Insurance Policies4
A. Portable electronics insurance as defined in R.S. 22:1781.1(7) may be5
offered on a month-to-month or other periodic basis as a group or master6
commercial insurance policy issued to a vendor, as defined in R.S. 22:1781.1(9)7
of portable electronics for its enrolled customers.8
B. Notwithstanding any other provision of law to the contrary, an insurer9
may terminate or otherwise change the terms and conditions of a policy of10
portable electronics insurance only upon providing the policyholder and11
enrolled customers with at least thirty days' written notice.12
C. If the insurer changes the terms and conditions of a policy, then the13
insurer shall provide the vendor policyholder with a revised policy or14
endorsement and each enrolled customer with a revised certificate,15
endorsement, updated brochure, or other evidence indicating a change in the16
terms and conditions has occurred and a summary of any material change.17
D. Notwithstanding Subsection B of this Section, an insurer may18
terminate an enrolled customer's enrollment under a portable electronics19
insurance policy upon fifteen days' written notice for discovery of fraud or20
material misrepresentation in obtaining coverage or in the presentation of a21
claim thereunder.22
E. Notwithstanding Subsection B of this Section, an insurer may23
immediately terminate an enrolled customer's enrollment under a portable24
electronics insurance policy: 25
(1) For nonpayment of premium. 26
(2) If the enrolled customer ceases to have an active service with the27
vendor of portable electronics.28
(3) If the enrolled customer exceeds the aggregate limit of liability under29 SB NO. 167
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the terms of the portable electronics insurance policy.1
F. If an enrolled customer exhausts the aggregate limit of liability under2
the terms of the portable electronics insurance policy, the insurer shall send3
notice of termination to the enrolled customer within thirty calendar days after4
exhaustion of the limit and shall terminate the enrollment of that customer. If5
notice is not timely sent, coverage shall continue notwithstanding the exhaustion6
of the aggregate limit of liability, until the insurer sends notice of termination7
to the enrolled customer.8
G. Where a portable electronics insurance policy is terminated by a9
vendor, the vendor shall mail or deliver written notice to each enrolled10
customer advising the enrolled customer of the termination of the policy and the11
effective date of termination. The written notice shall be mailed or delivered to12
the enrolled customer at least thirty days prior to the termination.13
H. All notices or correspondence required by this Section or otherwise14
required by law shall be in writing. Notices and correspondence may be sent15
either by mail or by electronic means as set forth in this Section. If the notice or16
correspondence is mailed, it shall be sent to the vendor or the enrolled customer17
at the mailing address on file with the insurer or vendor. The insurer or vendor18
of portable electronics shall maintain proof of mailing in a form authorized or19
accepted by the United States Postal Service or other commercial mail delivery20
service. If the notice or correspondence is sent electronically, it shall be sent to21
the vendor of portable electronics at the vendor's electronic mail address22
specified for such purpose and to its affected enrolled customers' last known23
electronic mail addresses as provided by each enrolled customer to the insurer24
or vendor of portable electronics. For purposes of this Section, an enrolled25
customer's provision of an electronic mail address to the insurer or vendor of26
portable electronics shall be deemed consent to receive notices and27
correspondence by electronic means. The insurer or vendor of portable28
electronics, shall maintain proof that the notice or correspondence was sent.29 SB NO. 167
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I. Notice or correspondence required by this Section or otherwise1
required by law may be sent on behalf of an insurer or vendor by a person2
licensed as an insurance producer in this state or any other person with whom3
the insurer or vendor contracts to perform such services on their behalf.4
* * *5
PART VIII-A Portable Electronics Insurance6
§1781.1. Definitions7
As used in this Part, the following terms shall have the following8
meanings:9
(1) "Commissioner" means the commissioner of insurance.10
(2) "Customer" means a person who purchases portable electronics or11
services.12
(3) "Department" means the department of insurance.13
(4) "Enrolled customer" means a customer who elects coverage under14
a portable electronics insurance policy issued to a vendor of portable15
electronics.16
(5) "Location" means any physical location in the state of Louisiana or17
any website, call center site, or similar location directed to residents of the state18
of Louisiana.19
(6) "Portable electronics" means electronic devices that are portable in20
nature, their accessories, and services related to the use of the device.21
(7)(a) "Portable electronics insurance" means insurance providing22
coverage for the repairs or replacement of portable electronics which may23
provide coverage for portable electronics against any one or more of the24
following causes of loss: loss, theft, inoperability due to mechanical failure,25
malfunction, damage, or other similar causes of loss.26
(b) "Portable electronics insurance" does not include any of the27
following:28
(i) A service contract or extended warranty providing coverage limited29 SB NO. 167
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to the repair, replacement, or maintenance of property for the operational or1
structural failure of such property due to a defect in materials, workmanship,2
accidental damage from handling, power surges, or normal wear and tear.3
(ii) A policy of insurance covering a seller's or a manufacturer's4
obligations under a warranty.5
(iii) A homeowner's, renter's, private passenger automobile, commercial6
multi-peril, or similar policy.7
(8) "Portable electronics transaction" means any of the following:8
(a) The sale or lease of portable electronics by a vendor to a customer.9
(b) The sale of a service related to the use of portable electronics by a10
vendor to a customer.11
(9) "Vendor" means a person in the business of engaging in portable12
electronics transactions directly or indirectly.13
§1781.2. Licensure of vendors14
Notwithstanding any other provision of law to the contrary, the following15
requirements apply to the licensure of vendors of portable electronic devices:16
(1) A vendor is required to hold a limited lines license to sell or offer17
coverage under a policy of portable electronics insurance.18
(2) A limited lines license issued pursuant to this Section shall authorize19
any employee or authorized representative of the vendor to sell or offer20
coverage under a policy of portable electronics insurance to a customer at each21
location at which the vendor engages in portable electronics transactions. The22
vendor shall be responsible for the conduct and actions related to the sale or23
offering of portable electronics insurance of all employees and authorized24
representatives and any payment of the premium for portable electronics25
insurance to an employee or authorized representative shall be deemed payment26
to the vendor.27
(3) In connection with a vendor's application for licensure and upon28
license renewal, the vendor shall provide a list to the commissioner of all29 SB NO. 167
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locations in the state at which it offers coverage.1
§1781.3. Requirements for sale of portable electronics insurance2
A. In conjunction with and at the time of the sale of every portable3
electronics insurance policy, the vendor shall present brochures or other written4
materials to a prospective customer which:5
(1) Disclose that portable electronics insurance may provide a6
duplication of coverage already provided by a customer's homeowner's7
insurance policy, renter's insurance policy, or other source of coverage.8
(2) State that the enrollment by the customer in a portable electronics9
insurance program is not required in order to purchase or lease portable10
electronics or services.11
(3) Summarize the material terms of the insurance coverage, including:12
(a) The identity of the insurer.13
(b) The amount of any applicable deductible and how it is to be paid.14
(c) The benefits of the coverage.15
(d) The key terms and conditions of coverage such as whether portable16
electronics may be repaired or replaced with similar make and model17
reconditioned or non-original manufacturer parts or equipment.18
(4) Contain a summary of the process for filing a claim, including a19
description of how to return portable electronics and the maximum fee20
applicable in the event the customer fails to comply with any equipment return21
requirement.22
(5) Contain a statement that an enrolled customer may cancel23
enrollment for coverage under a portable electronics insurance policy at any24
time and the person paying the premium shall receive a refund or credit for any25
applicable unearned premium.26
B. Eligibility and underwriting standards for customers electing to27
enroll in coverage shall be established for each portable electronics insurance28
program.29 SB NO. 167
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§1781.4. Authority of vendors of portable electronics1
A. An employee or authorized representative of a vendor may sell or2
offer portable electronics insurance to customers and shall not be subject to3
licensure as an insurance producer under this Part provided that:4
(1) The vendor obtains a limited lines license to authorize its employees5
or authorized representatives to sell or offer portable electronics insurance6
pursuant to this Part.7
(2) The vendor shall develop a training program for employees and8
authorized representatives of the vendor. The training required by this Section9
shall comply with all of the following:10
(a) The training shall be delivered to employees and authorized11
representatives of vendors who are directly engaged in the activity of selling or12
offering portable electronics insurance prior to the engagement in any sale or13
offer of portable electronics insurance to any customer by the employee or14
authorized representative.15
(b) The training may be provided in electronic form.16
(c) The training shall include instruction about the portable electronics17
insurance offered to customers and the disclosures required under this Part.18
B. Notwithstanding any other provision of law to the contrary,19
employees or authorized representatives of a vendor of portable electronics20
shall not be compensated based primarily on the number of customers enrolled21
for portable electronics insurance coverage but may receive compensation for22
activities under the limited lines license which is incidental to their overall23
compensation.24
C. The charges for portable electronics insurance coverage may be25
billed and collected by the vendor of portable electronics. Any charge to the26
enrolled customer for coverage that is not included in the cost associated with27
the purchase or lease of portable electronics or related services shall be28
separately itemized on the enrolled customer's bill. If the portable electronics29 SB NO. 167
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insurance coverage is included with the purchase or lease of portable electronics1
or related services, the vendor shall clearly and conspicuously disclose to the2
enrolled customer that the portable electronics insurance coverage is included3
with the portable electronics or related services. Vendors billing and collecting4
such charges shall not be required to maintain such funds in a segregated5
account provided that the vendor is authorized by the insurer to hold such6
funds in an alternative manner and remits such amounts to the supervising7
entity within sixty days of receipt. All funds received by a vendor from an8
enrolled customer for the sale of portable electronics insurance shall be9
considered funds held in trust by the vendor in a fiduciary capacity for the10
benefit of the insurer. Vendors may receive compensation for billing and11
collection services.12
§1781.5. Suspension or revocation of license13
If a vendor of portable electronics or its employee or authorized14
representative violates any provision of this Part or any other applicable15
provision of this Title, the commissioner may, after notice and opportunity for16
a hearing, take any one or more of the following actions:17
(1) Impose fines not to exceed five hundred dollars per violation or five18
thousand dollars in the aggregate for such conduct.19
(2) Suspend or revoke the limited lines license of the vendor.20
(3) Suspend the privilege of transacting portable electronics insurance21
at specific business locations where violations have occurred.22
(4) Suspend or revoke the ability of individual employees or authorized23
representatives to act under the license of the vendor.24
§1781.6. Application for license and fees25
A. An application for a license pursuant to this Part shall be made to and26
filed with the commissioner on forms prescribed and furnished by the27
commissioner and shall include the legal name of the applicant, the address of28
the home office of the applicant, the name and identifying information for all29 SB NO. 167
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officers, all directors and all persons who own directly or indirectly ten percent1
or more of the applicant and such other information as the commissioner may2
reasonably require. However, any applicant whose stock is publicly traded and3
registered under the federal securities laws or that is licensed pursuant to the4
Federal Communications Act of 1934, or any affiliate or subsidiary thereof,5
may, in lieu of providing the information for all officers, all directors and all6
persons who own directly or indirectly ten percent or more of the applicant,7
designate a single officer as the designated responsible person for the activities8
of the vendor pursuant to the limited lines portable electronics insurance9
license.10
B. The application shall be accompanied by the fee pursuant to R.S.11
22:821(B)(34).12
C. Any vendor engaging in portable electronics insurance transactions13
on or before the effective date of this Part shall apply for licensure within ninety14
days of the application being made available by the commissioner.15
D. Every license issued pursuant to this Part shall expire on December16
thirty-first of the renewal year assigned by the commissioner and may be17
renewed by the filing of a renewal application as required by the commissioner18
and payment of the fee required by R.S. 22:821(B)(34).19
E. Any vendor licensed pursuant to the provisions of this Part may20
authorize a third party to make any filing or notice other than the initial or21
renewal application required by this Part with the department on behalf of the22
vendor.23 SB NO. 167
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The original instrument was prepared by Cheryl Horne. The following digest,
which does not constitute a part of the legislative instrument, was prepared
by Nancy Vicknair.
DIGEST
Gary Smith (SB 167)
Present law requires the commissioner of insurance to collect certain fees in advance.
Proposed law retains present law but adds the initial license application fee of $200 and the
license renewal fee of $100 for portable electronics insurance limited lines licenses to the
list of fees to be collected in advance by the commissioner of insurance.
Proposed law authorizes portable electronics insurance to be offered on a month-to-month
or other periodic basis as a group or master commercial insurance policy issued to a vendor
of portable electronics for its enrolled customers.
Proposed law authorizes an insurer to terminate or otherwise change the terms and
conditions of a policy of portable electronics insurance only upon providing the policyholder
and enrolled customers with at least 30 days written notice.
Proposed law provides that if an insurer changes the terms and conditions of a policy, then
requires the insurer to provide the vendor policyholder with a revised policy or endorsement
and also provides each enrolled customer with a revised certificate, endorsement, updated
brochure, or other evidence indicating that a change in the terms and conditions has
occurred. Requires the insurer to provide a summary of any material change.
As an exception to the 30-day notice of termination, proposed law authorizes an insurer to
terminate an enrolled customer's enrollment under a portable electronics insurance policy
upon 15 days written notice for discovery of fraud or material misrepresentation in obtaining
coverage or in the presentation of a claim associated with such fraud or misrepresentation.
Proposed law authorizes the immediate termination of a customer's enrollment under a
portable electronics insurance policy due to the following:
1. For nonpayment of premium.
2. If the enrolled customer ceases to have an active service with the vendor of portable
electronics.
3. If the enrolled customer exceeds the aggregate limit of liability under the terms of
the portable electronics insurance policy.
Proposed law provides that if an enrolled customer exhausts the aggregate limit of liability
under the terms of the insurance policy, the insurer is required to send a notice of termination
to the customer within 30 calendar days after exhaustion of the limit and is required to
terminate the enrollment of that customer. Provides that if the notice of termination is not
timely sent, coverage shall continue notwithstanding the exhaustion of the aggregate limit
of liability until the insurer sends notice of termination to the enrolled customer.
Proposed law provides that if the policy is terminated by a vendor, the vendor is required to
mail or deliver written notice to each enrolled customer advising the enrolled customer of
the termination of the policy and the effective date of termination. Requires the written
notice to be mailed or delivered to the enrolled customer at least 30 days prior to
termination.
Proposed law requires all notices or correspondence required by proposed law or otherwise SB NO. 167
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to be in writing. Authorizes that notices and correspondence be sent either by mail or by
electronic means. Requires that if notice or correspondence is mailed, it be sent to the vendor
or the enrolled customer at the mailing address on file with the insurer or vendor, and
requires the insurer or vendor to maintain proof of the mailing. Requires that if notice or
correspondence is sent electronically, it be sent to the vendor of portable electronics at the
vendor's electronic mail address and to its affected enrolled customers' last known electronic
mail addresses as provided by each enrolled customer to the insurer or vendor.
Proposed law provides that an enrolled customer who provides an electronic mail address
to an insurer or vendor of portable electronics shall be deemed to consent to receiving
notices and correspondence by electronic means. Requires the insurer or vendor to maintain
proof that the notice or correspondence was sent.
Proposed law authorizes the required notices or correspondence to be sent on behalf of an
insurer or vendor by a person licensed as an insurance producer in La. or any other person
with whom the insurer or vendor contracts to perform such services on its behalf.
Proposed law creates insurance policies for portable electronics.
Proposed law provides the following definitions:
1. "Customer" means a person who purchases portable electronics or services.
2. "Enrolled customer" means a customer who elects coverage under a portable
electronics insurance policy issued to a vendor of portable electronics.
3. "Location" means any physical location in the state of Louisiana or any website, call
center site, or similar location directed to residents of the state of Louisiana.
4. "Portable electronics" means electronic devices that are portable in nature, their
accessories, and services related to the use of the device.
5. (a)"Portable electronics insurance" means insurance providing coverage for the
repairs or replacement of portable electronics which may provide coverage
for portable electronics against any one or more of the following causes of
loss: loss, theft, inoperability due to mechanical failure, malfunction,
damage, or other similar causes of loss.
(b)"Portable electronics insurance" does not include any of the following:
(i)A service contract or extended warranty providing coverage limited
to the repair, replacement, or maintenance of property for the
operational or structural failure of such property due to a defect in
materials, workmanship, accidental damage from handling, power
surges, or normal wear and tear.
(ii)A policy of insurance covering a seller's or a manufacturer's
obligations under a warranty.
(iii)A homeowner's, renter's, private passenger automobile, commercial
multi-peril, or similar policy.
6. "Portable electronics transaction" means any of the following:
(a)The sale or lease of portable electronics by a vendor to a customer.
(b)The sale of a service related to the use of portable electronics by a vender to SB NO. 167
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a customer.
7.."Vendor" means a person in the business of engaging in portable electronics
transactions directly or indirectly.
Proposed law provides that the following requirements apply to the licensure of vendors of
portable electronic devices:
1. A vendor is required to hold a limited lines license to sell or offer coverage under a
policy of portable electronics insurance.
2. A limited lines license issued shall authorize any employee or authorized
representative of the vendor to sell or offer coverage under a policy of portable
electronics insurance to a customer at each location at which the vendor engages in
portable electronics transactions. The vendor is responsible for the conduct and
actions related to the sale or offering of portable electronics insurance of all
employees and authorized representatives and any payment of the premium for
portable electronic insurance to an employee or authorized representative is deemed
payment to the vendor.
3. In connection with a vendor's application for licensure and upon license renewal, the
vendor shall provide a list to the insurance commissioner of all locations in the state
at which it offers coverage.
Proposed law requires that in conjunction with and at the time of the sale of every portable
electronics insurance policy, the vendor present brochures or other written materials to a
prospective customer which provide the following items:
1. Disclosure that portable electronics insurance may provide a duplication of coverage
already provided by a customer's homeowner's insurance policy, renter's insurance
policy, or other source of coverage.
2. Statement that the enrollment by the customer in a portable electronics insurance
program is not required in order to purchase or lease portable electronics or services.
3 Summarize the material terms of the insurance coverage, including the issuer's
identity, the amount of any deductible, an explanation of benefits and terms, and the
conditions of coverage such as whether portable electronics may be repaired or
replaced with similar make and model reconditioned or non-original manufacturer
parts or equipment.
4. A summary of the process for filing a claim.
5. A statement that an enrolled customer may cancel enrollment for coverage under a
portable electronics insurance policy at any time and the person paying the premium
shall receive a refund or credit of any applicable unearned premium.
Proposed law requires establishment of eligibility and underwriting standards for customers
electing to enroll in coverage shall be established for each portable electronics insurance
program.
Proposed law provides that an employee or authorized representative of a vendor may sell
or offer portable electronics insurance to customers and shall not be subject to licensure as
an insurance producer under proposed law provided that:
1. The vendor obtains a limited lines license to authorize its employees or authorized
representatives to sell or offer portable electronics insurance pursuant to proposed
law. SB NO. 167
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2. The vendor shall develop a training program for employees and authorized
representatives of the vendor. The training required by proposed law shall comply
with all of the following:
(a)The training shall be delivered to employees and authorized representatives
of vendors who are directly engaged in the activity of selling or offering
portable electronics insurance prior to the engagement in any sale or offer of
portable electronics insurance to any customer by the employee or authorized
representative.
(b)The training may be provided in electronic form.
(c)The training shall include instruction about the portable electronics insurance
offered to customers and the disclosures required under proposed law.
Proposed law provides that employees or authorized representatives of a vendor of portable
electronics shall not be compensated based primarily on the number of customers enrolled
but may receive compensation for activities under the limited lines license which is
incidental to their overall compensation.
Proposed law provides that charges for portable electronics insurance coverage may be billed
and collected by the vendor of portable electronics, and requires that any charge to the
enrolled customer for coverage that is not included in the cost associated with the purchase
or lease of portable electronics or related services be separately itemized on the enrolled
customer's bill. Provides that if the portable electronics insurance coverage is included with
the purchase or lease of portable electronics or related services, the vendor shall clearly and
conspicuously disclose to the enrolled customer that the portable electronics insurance
coverage is included with the portable electronics or related services. Further provides that
vendors billing and collecting charges are not required to maintain these funds in a
segregated account provided that the vendor is authorized by the insurer to hold the funds
in an alternative manner and remits these amounts to the supervising entity within 60 days
of receipt. Requires that all funds received by a vendor from an enrolled customer for the
sale of portable electronics insurance be considered funds held in trust by the vendor in a
fiduciary capacity for the benefit of the insurer. Authorizes vendors to receive compensation
for billing and collection services.
Proposed law provides that if a vendor of portable electronics or its employee or authorized
representative violates any provision of proposed law or any other applicable provision of
present law, the insurance commissioner may, after notice and opportunity for a hearing,
take any one or more of the following actions:
1. Impose fines not to exceed $500 per violation or $5,000 in the aggregate for such
conduct.
2. Suspend or revoke the limited lines license of the vendor.
3. Suspend the privilege of transacting portable electronics insurance at specific
business locations where violations have occurred.
4. Suspend or revoke the ability of individual employees or authorized representatives
to act under the license of the vendor.
Proposed law provides that an application for a license shall be made to and filed on forms
prescribed and furnished by the commissioner and include the legal name of the applicant,
the address of the home office of the applicant, the name and identifying information for all
officers, all directors and all persons who own directly or indirectly 10% or more of the
applicant and such other information as the commissioner may reasonably require. Further
provides that any applicant whose stock is publicly traded and registered under the federal SB NO. 167
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securities laws or that is licensed pursuant to the Federal Communications Act of 1934, or
any affiliate or subsidiary thereof, may, in lieu of providing the information for all officers,
all directors and all persons who own directly or indirectly ten percent or more of the
applicant, designate a single officer as the designated responsible person for the activities
of the vendor pursuant to the limited lines portable electronics insurance license.
Proposed law requires that any vendor engaging in portable electronics insurance
transactions on or before the effective date of proposed law apply for licensure within 90
days of the application being made available by the commissioner of insurance.
Proposed law provides that every license issued pursuant to proposed law shall expire on
December 31 of the renewal year and may be renewed by the filing of a renewal application
and payment of the fee required in proposed law.
Proposed law provides that any vendor licensed pursuant to the provisions of proposed law
may authorize a third party to make any filing or notice other than the initial or renewal
application required by proposed law with the department on behalf of the vendor.
Effective August 1, 2012.
(Adds R.S. 22:821(B)(34), 1431, and 1781.1-1781.6)
Summary of Amendments Adopted by Senate
Committee Amendments proposed by Senate Committee on Insurance to the original bill.
1. Require the commissioner of insurance to collect, in advance, an initial
application license fee of $200 and an application license renewal fee of $100
for portable electronics insurance limited lines licenses.
2. Authorize an insurer to terminate or change the terms and conditions of a
portable electronics insurance policy only upon 30 days' written notice to the
vendor policyholder and enrolled customers.
3. Require an insurer to provide to the vendor policyholder a revised policy or
endorsement and provide each enrolled customer with a revised certificate,
endorsement, updated brochure, or other evidence indicating a change in the
terms and conditions occurred and provide a summary of any material
change.
4. Authorize an insurer to terminate an enrolled customer's enrollment in a
portable electronics insurance policy upon 15 days' written notice for fraud
or material misrepresentation in obtaining coverage or for presenting a claim
in connection with such fraud or misrepresentation.
5. Authorize the immediate termination of an enrolled customer's enrollment
under a portable electronics insurance policy for nonpayment of premium,
the cessation of active service with the vendor, and if the enrolled customer
exceeds the aggregate limit of liability under the terms of the policy.
6. Require an insurer to terminate an enrolled customer's enrollment in a
portable electronics insurance policy and to send a notice of termination to
such enrolled customer within 30 days of the exhaustion of the aggregate
limit of liability.
7. Require a vendor (if such vendor terminates a portable electronics insurance
policy) to notify each enrolled customer of the termination of the policy and SB NO. 167
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the effective date of such termination in writing by mail or delivery at least
30 days prior to such termination.
8. Require all notices or correspondence to be in writing either by mail or
electronic means to the mailing address or electronic mail address on file
with the insurer or vendor, and requires the insurer or vendor to maintain
proof that such notices or correspondence was sent.
9. Authorize notices or correspondence to be sent on behalf of an insurer or
vendor by a person licensed as an insurance producer in La. or by any other
person with whom the insurer or vendor contracts to perform such services
on its behalf.
10.Remove the requirement for the supervising entity to maintain a registry of
vendor locations authorized to sell or solicit portable electronics insurance
coverage in La. and the inspection and examination requirement upon request
by the commissioner.
11.Require the vendor to be responsible for the conduct and actions of its
employees or authorized representatives, and specify that payment of any
insurance premium to any employee or authorized representative is deemed
to be payment to the vendor.
12.Require vendors to provide a list to the commissioner of all locations in La.
at which it offers coverage.
13.Require vendors to develop a training program for employees and authorized
representatives which includes instruction about the insurance offered to
customers and the disclosures required by proposed law.
14.Require training to employees and authorized representatives prior to any
sale or offer of insurance.
15.Authorizes the commissioner to impose fines and suspend and revoke
licenses, business privileges, and individuals for violating the provisions of
proposed law.
16.Specify requirements regarding a vendor licensing application.
17.Specify an expiration date of December 31 and authorizes the filing of a
renewal application with the appropriate renewal fee.
18.Allow any licensed vendor to authorize a third party to make any filing or
notice other than the initial or renewal application with the department on
behalf of the vendor.
Senate Floor Amendments to engrossed bill.
1. Make technical changes.