Texas 2015 - 84th Regular

Texas House Bill HB1947 Compare Versions

Version 1 (Old)

Version 2 (New)

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1	1	By: Meyer, Fallon H.B. No. 1947
2	2	(Senate Sponsor - Taylor of Collin)
3	3	(In the Senate - Received from the House April 28, 2015;
4	4	May 19, 2015, read first time and referred to Committee on
5	5	Administration; May 24, 2015, reported adversely, with favorable
6	6	Committee Substitute by the following vote: Yeas 4, Nays 0;
7	7	May 24, 2015, sent to printer.)
8	8	Click here to see the committee vote
9	9	COMMITTEE SUBSTITUTE FOR H.B. No. 1947 By: Schwertner
10	10
11	11
12	12	COMMITTEE VOTE
13	13	YeaNayAbsentPNV
14	14	HancockX
15	15	UrestiX
16	16	CampbellX
17	17	EltifeX
18	18	HuffinesX
19	19	SchwertnerX
20	20	WestX
21	21	A BILL TO BE ENTITLED
22	22	AN ACT
23	23	relating to licenses for insurance agents and adjusters.
24	24	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
25	25	SECTION 1. Sections 4001.006(a) and (b), Insurance Code,
26	26	are amended to read as follows:
27	27	(a) The department shall collect from each agent of an
28	28	insurer writing insurance in this state under this code:
29	29	(1) a nonrefundable license application fee; and
30	30	(2) a nonrefundable appointment fee for each
31	31	appointment of the agent by an insurer.
32	32	(b) The department shall deposit the fees described by
33	33	Subsection (a), together with other license application fees,
34	34	examination fees, and license renewal application fees, to the
35	35	credit of the Texas Department of Insurance operating account.
36	36	SECTION 2. Section 4003.001, Insurance Code, is amended by
37	37	amending Subsection (a) and adding Subsections (c) and (d) to read
38	38	as follows:
39	39	(a) Unless a staggered renewal system is adopted under
40	40	Section 4003.002, each [agent] license issued or renewed by the
41	41	department under Chapter 981 or Subtitles A, B, or C and not
42	42	suspended or revoked by the commissioner expires on:
43	43	(1) the second anniversary of the date the license is
44	44	issued to or renewed by a person that is not an individual; or
45	45	(2) except as provided in Subsection (c):
46	46	(A) for a license issued or renewed in an
47	47	even-numbered year, the individual license holder's birthday each
48	48	even-numbered year; or
49	49	(B) for a license issued or renewed in an
50	50	odd-numbered year, the individual license holder's birthday each
51	51	odd-numbered year.
52	52	(c) If a person holds more than one license, all licenses
53	53	issued to the person expire on the earliest expiration date of the
54	54	licenses held. Thereafter, all licenses expire in accordance with
55	55	Subsection (a).
56	56	(d) Notwithstanding Section 4003.002(b), the commissioner
57	57	may not prorate the initial application fee for a license based on
58	58	the expiration period of the license under Subsection (c).
59	59	SECTION 3. Section 4003.008(b), Insurance Code, is amended
60	60	to read as follows:
61	61	(b) The person must pay to the department a fee equal to the
62	62	license application fee.
63	63	SECTION 4. Subchapter B, Chapter 4004, Insurance Code, is
64	64	amended by adding Section 4004.055 to read as follows:
65	65	Sec. 4004.055. CONSEQUENCES OF FAILURE TO COMPLETE
66	66	CONTINUING EDUCATION REQUIREMENT. (a) The department may not
67	67	renew a license issued under this title if the license holder fails
68	68	to:
69	69	(1) complete an applicable continuing education
70	70	requirement not later than the 90th day after the last day of the
71	71	licensing period; or
72	72	(2) pay an applicable fine related to the failure to
73	73	timely complete continuing education.
74	74	(b) The department may not issue a new license under this
75	75	title to an individual who was previously licensed under this title
76	76	if the individual fails to:
77	77	(1) provide evidence of completion of an applicable
78	78	continuing education requirement for the expired, nonrenewed,
79	79	canceled, or revoked license; or
80	80	(2) pay an applicable fine related to the failure to
81	81	timely complete continuing education.
82	82	(c) Completion of continuing education after expiration of
83	83	a license is not a defense in a disciplinary action under Section
84	84	4005.101, Section 4005.109, or another provision of this code
85	85	against an individual who failed to complete continuing education
86	86	as required by this chapter.
87	87	SECTION 5. Sections 4101.057(a), (b), and (d), Insurance
88	88	Code, are amended to read as follows:
89	89	(a) Before issuing or renewing a license under this chapter,
90	90	the department shall set and collect a nonrefundable license
91	91	application fee in an amount not to exceed $50.
92	92	(b) An applicant for a renewal license must remit the fee
93	93	required by Subsection (a) before the expiration of the [biennially
94	94	after the issuance of the original] license being renewed. If the
95	95	applicant's license has been expired for not more than 90 days, an
96	96	applicant for a renewal license must remit, in addition to the fee
97	97	assessed under Subsection (a), a fee equal to one-half of the
98	98	original application [license] fee.
99	99	(d) Before issuing a duplicate license requested by an
100	100	adjuster, the department shall set and collect a duplicate license
101	101	application fee.
102	102	SECTION 6. Section 4101.061, Insurance Code, is amended to
103	103	read as follows:
104	104	Sec. 4101.061. EXPIRATION; RENEWAL. Expiration and
105	105	renewal of a license issued under this chapter are governed by
106	106	Chapter 4003, Section 4004.055, rules adopted by the commissioner,
107	107	and [or] any applicable provision of this code or another insurance
108	108	law of this state.
109	109	SECTION 7. Section 4102.062, Insurance Code, is amended to
110	110	read as follows:
111	111	Sec. 4102.062. EXPIRATION. A license issued under this
112	112	chapter expires as provided by Chapter 4003 [on the second
113	113	anniversary of the date of issuance] unless suspended or revoked by
114	114	the commissioner.
115	115	SECTION 8. Section 4102.064, Insurance Code, is amended to
116	116	read as follows:
117	117	Sec. 4102.064. RENEWAL OF UNEXPIRED LICENSE. (a) A license
118	118	holder may renew a license that has not expired and has not been
119	119	suspended or revoked by filing with the department a properly
120	120	completed renewal application, in the form prescribed by the
121	121	commissioner, that demonstrates continued compliance with the
122	122	license requirements imposed under this chapter or adopted by rule
123	123	by the commissioner. The completed renewal application must be
124	124	accompanied by:
125	125	(1) a renewal application fee in the amount determined
126	126	by the commissioner under Section 4102.066(b); and
127	127	(2) evidence of compliance with the continuing
128	128	education requirements imposed under Section 4102.109.
129	129	(b) A license holder must submit the completed renewal
130	130	application, evidence of compliance with the continuing education
131	131	requirements, and the renewal application fee to the commissioner
132	132	not later than the 30th day before the second anniversary date of
133	133	the license.
134	134	(c) On the filing of a completed renewal application,
135	135	renewal application fee, and, if applicable, evidence of compliance
136	136	with the continuing education requirements, the original license
137	137	continues in force until:
138	138	(1) the department issues the renewal license; [or]
139	139	(2) the license is not renewed under Section 4004.055;
140	140	or
141	141	(3) the commissioner issues an order revoking the
142	142	license.
143	143	SECTION 9. Sections 4102.065(a), (b), and (d), Insurance
144	144	Code, are amended to read as follows:
145	145	(a) A person whose license has been expired for 90 days or
146	146	less may renew the license by:
147	147	(1) submitting to the department:
148	148	(A) a completed renewal application in the form
149	149	prescribed by the commissioner; and
150	150	(B) evidence of compliance with the continuing
151	151	education requirements and eligibility for renewal under Section
152	152	4004.055; and
153	153	(2) paying to the department the required renewal
154	154	application fee and an additional fee that is equal to one-half of
155	155	the renewal application fee for the license.
156	156	(b) Except as provided by Section 4004.055, a [A] person
157	157	whose license has been expired for more than 90 days but less than
158	158	one year may not renew the license but is entitled to a new license
159	159	without taking the applicable examination if the person submits to
160	160	the department:
161	161	(1) a new application;
162	162	(2) evidence of compliance with the continuing
163	163	education requirements;
164	164	(3) the license application fee; and
165	165	(4) an additional fee equal to one-half of the license
166	166	application fee.
167	167	(d) The department may renew without reexamination an
168	168	expired license of a person who was licensed in this state, moved to
169	169	another state, and is currently licensed and has been in continual
170	170	practice in the other state up to and including the date of the
171	171	application. The person must pay to the department a fee that is
172	172	equal to the license application fee.
173	173	SECTION 10. (a) The change in law made by this Act applies
174	174	only to a license issued or renewed on or after January 1, 2016. A
175	175	license issued or renewed before January 1, 2016, is governed by the
176	176	law as it existed immediately before the effective date of this Act,
177	177	and that law is continued in effect for that purpose.
178	178	(b) On January 1, 2016, each license held on that date under
179	179	Chapter 981, Insurance Code, and Subtitles A, B, and C, Title 13,
180	180	Insurance Code, expires as follows:
181	181	(1) each license issued to a person that is not an
182	182	individual expires on the expiration date of the license with the
183	183	longest remaining term held by that person on January 1, 2016;
184	184	(2) each license issued to an individual expires, or
185	185	may be extended to expire, on the individual's next birthday after
186	186	the expiration date of the license with the longest remaining term
187	187	held by that person on January 1, 2016; and
188	188	(3) after a license expires as described by
189	189	Subdivision (1) or (2) of this subsection, the license renews and
190	190	expires as provided by Section 4003.001, Insurance Code, as amended
191	191	by this Act.
192	192	(c) To the extent that the term of an existing license is
193	193	extended under this section, the department may not charge an
194	194	additional fee or require a renewal application before the renewal
195	195	date established under this section.
196	196	(d) Except as provided by Subsection (e) of this section,
197	197	the change in law made by this Act does not change the continuing
198	198	education requirement for a license issued or renewed on or after
199	199	the effective date of this Act. Except as otherwise provided by
200	200	provisions of this Act, the continuing education requirement for a
201	201	license issued or renewed before the effective date of this Act is
202	202	governed by the law as it existed immediately before the effective
203	203	date of this Act, and that law is continued in effect for that
204	204	purpose.
205	205	(e) A licensee may not be required to complete additional
206	206	continuing education hours for a license during any period the
207	207	license was extended under this section beyond its original
208	208	expiration date.
209	209	(f) Section 4004.055, Insurance Code, as added by this Act,
210	210	applies only to completion of continuing education requirements for
211	211	a license issued or renewed on or after November 1, 2015. Completion
212	212	of continuing education requirements for a license issued or
213	213	renewed before November 1, 2015, is governed by the law as it
214	214	existed immediately before the effective date of this Act, and that
215	215	law is continued in effect for that purpose.
216	216	SECTION 11. This Act takes effect September 1, 2015.
217	217	* * * * *