HLS 17RS-803 ORIGINAL
2017 Regular Session
HOUSE BILL NO. 503
BY REPRESENTATIVE THIBAUT
INSURERS/AGENTS: Provides relative to the licensing of insurance producers
1 AN ACT
2To amend and reenact R.S. 22:821(B)(3) and 1546(B)(1)(a), relative to licensing of
3 insurance producers; to provide for licensing fees paid by insurance producers; to
4 provide for licensing of business entities as insurance producers; to provide for
5 disclosure of persons with ten percent or more controlling interest in a resident
6 business entity; to provide for disclosure upon request of persons with ten percent
7 or more controlling interest in a non-resident business entity; and to provide for
8 related matters.
9Be it enacted by the Legislature of Louisiana:
10 Section 1. R.S. 22:821(B)(3) and 1546(B) (1)(a) are hereby amended and reenacted
11to read as follows:
12 §821. Fees
13 * * *
14 (3)For producers' licenses:
15 (a)Life, health, and accident producer; variable annuity producer
16 Surplus Lines:
First time applicant...................$75.00 $250.0017
18 Additional or renewal company appointment
(yearly)....................................$20.0019
20 Producer renewal Renewal fee
(every two years).....................$50.00 $350.0021
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 17RS-803 ORIGINAL
HB NO. 503
1 (b)Property and casualty producer All other lines:
First time applicant..........................$75.002
Application to add lines.......................$50.003
4 Additional Initial or renewal company appointment
(yearly)....................................$20.005
Producer renewal fee (every two years)...........$50.006
(i) One line................................$50.007
(ii) Two lines...............................$55.008
9 (c)Limited lines producer
First time applicant..........................$75.0010
Each additional line of authority................$35.0011
12 Additional or renewal company appointment
(yearly)....................................$20.0013
Renewal fee (every two years)..................$50.0014
15 (d)Limited lines credit insurance producer
First time applicant..........................$75.0016
17 Additional or renewal company appointment
(yearly)....................................$20.0018
Renewal fee (every two years)..................$50.0019
20 (e)Surplus lines broker
First time applicant.........................$250.0021
Renewal fee (every two years).................$350.0022
23 (f)Fee for failure to file producer license renewal timely
(per license)...................................$50.0024
(g)Fee for duplicate producer license..................$15.0025
26 * * *
27 §1546. Application for license
28 * * *
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 17RS-803 ORIGINAL
HB NO. 503
1 B.(1)(a) A business entity acting as an insurance producer is required to shall
2 obtain an insurance producer license.
3 (i) Every member, partner, officer, director, and person who controls directly
4 or indirectly ten percent or more of the applicant a resident business entity shall be
5 registered with the Department of Insurance under such business entity's license.
6 (ii) A non-resident business entity shall provide to the commissioner upon
7 request the name of every member, partner, officer, director, and person who
8 controls directly or indirectly ten percent or more of the non-resident business entity.
9 (iii) For purposes of this Section, "control" has the same meaning as
10 provided in R.S. 22:691.2.
11 * * *
12 Section 2. This Act shall become effective on July 1, 2018.
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 503 Original 2017 Regular Session Thibaut
Abstract: Provides for license fees for insurance producers and disclosure by non-resident
business entities with a producer's license of those controlling ten percent or more
of the non-resident business entity.
Present law provides the following fees for insurance producer licenses:
Life, health, and accident producer; variable annuity producer
First time applicant.........................................$75.00
Additional or renewal company appointment (yearly)...............$20.00
Producer renewal fee (every two years)..........................$50.00
Property and casualty producer
First time applicant.........................................$75.00
Additional or renewal company appointment (yearly)...............$20.00
Producer renewal fee (every two years)..........................$50.00
Limited lines producer
First time applicant.........................................$75.00
Each additional line of authority...............................$35.00
Additional or renewal company appointment (yearly)...............$20.00
Renewal fee (every two years).................................$50.00
Limited lines credit insurance producer
First time applicant.........................................$75.00
Additional or renewal company appointment (yearly)...............$20.00
Renewal fee (every two years).................................$50.00
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 17RS-803 ORIGINAL
HB NO. 503
Surplus lines broker
First time applicant........................................$250.00
Renewal fee (every two years)................................$350.00
Fee for failure to file producer license renewal timely (per license).......$50.00
Fee for duplicate producer license.................................$15.00
Proposed law retains the current fees for surplus lines producers and the fee for failure to
timely file a producer license renewal.
Proposed law creates an "all other lines" category of insurance producers for the purpose of
unifying the fee structure and renewal periods for the following insurance producer licenses:
life, health, and annuities; property and casualty; limited lines; and limited lines credit
insurance. Proposed law otherwise retains present law regarding the fee structure for
producers in these categories.
Proposed law creates the following fee structure for all other lines of producer licenses:
First time applicant............................................$75.00
Application to add lines.........................................$50.00
Initial or renewal company appointment (yearly).....................$20.00
Producer renewal fee (every two years):
One line..................................................$50.00
Two or more lines..........................................$55.00
Present law provides that a business entity acting as an insurance producer is required to
obtain an insurance producer license and that any person who directly or indirectly controls
10% or more of such entity shall be registered with the Department of Insurance under such
business entity's license.
Proposed law changes present law by limiting the requirement to register controlling persons
to resident business entities. Proposed law adds a requirement for non-resident business
entities to provide that information to the commissioner of insurance upon request.
Effective January 1, 2018.
(Amends R.S. 22:821(B)(3) and 1546(B)(1)(a))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.