Texas 2015 - 84th Regular

Texas House Bill HB3910 Compare Versions

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Version 2 (New)

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1	1	By: Paul (Senate Sponsor - Eltife) H.B. No. 3910
2	2	(In the Senate - Received from the House May 6, 2015;
3	3	May 7, 2015, read first time and referred to Committee on Business
4	4	and Commerce; May 20, 2015, reported adversely, with favorable
5	5	Committee Substitute by the following vote: Yeas 7, Nays 0,
6	6	1 present not voting; May 20, 2015, sent to printer.)
7	7	Click here to see the committee vote
8	8	COMMITTEE SUBSTITUTE FOR H.B. No. 3910 By: Eltife
9	9
10	10
11	11	A BILL TO BE ENTITLED
12	12	AN ACT
13	13	relating to completion of continuing education requirements for
14	14	insurance agents and adjusters.
15	15	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
16	16	SECTION 1. Section 4003.006, Insurance Code, is amended to
17	17	read as follows:
18	18	Sec. 4003.006. CONTINUATION OF ORIGINAL LICENSE. The
19	19	original license of a person who has applied for license renewal in
20	20	compliance with Section 4003.004 [4003. 004] remains in effect from
21	21	the date the renewal application is filed until the date:
22	22	(1) the department issues the renewal license; [or]
23	23	(2) the license is not renewed under Section 4004.055;
24	24	or
25	25	(3) the commissioner issues an order revoking the
26	26	license.
27	27	SECTION 2. Section 4004.051(a), Insurance Code, is amended
28	28	to read as follows:
29	29	(a) Except as provided by Section 4004.052 or other law,
30	30	each individual who holds a license issued by the department shall
31	31	complete, as a condition of licensure, continuing education as
32	32	provided by this chapter.
33	33	SECTION 3. Subchapter B, Chapter 4004, Insurance Code, is
34	34	amended by adding Section 4004.055 to read as follows:
35	35	Sec. 4004.055. CONSEQUENCES OF FAILURE TO COMPLETE
36	36	CONTINUING EDUCATION REQUIREMENT. (a) The department may not
37	37	renew a license issued under this title if the license holder fails
38	38	to:
39	39	(1) complete an applicable continuing education
40	40	requirement not later than the 90th day after the last day of the
41	41	licensing period; or
42	42	(2) pay an applicable fine related to the failure to
43	43	timely complete continuing education.
44	44	(b) The department may not issue a new license under this
45	45	title to an individual who was previously licensed under this title
46	46	if the individual fails to:
47	47	(1) provide evidence of completion of an applicable
48	48	continuing education requirement for the expired, nonrenewed,
49	49	canceled, or revoked license; or
50	50	(2) pay an applicable fine related to the failure to
51	51	timely complete continuing education.
52	52	(c) Completion of continuing education after expiration of
53	53	a license is not a defense in a disciplinary action under Section
54	54	4005.101, Section 4005.109, or another provision of this code
55	55	against an individual who failed to complete continuing education
56	56	as required by this chapter.
57	57	SECTION 4. Section 4004.101(a), Insurance Code, is amended
58	58	to read as follows:
59	59	(a) The department shall certify continuing education
60	60	programs for agents and adjusters. The certification criteria must
61	61	be designed to ensure that continuing education programs enhance
62	62	the knowledge, understanding, and professional competence of the
63	63	license holder.
64	64	SECTION 5. Subchapter C, Chapter 4004, Insurance Code, is
65	65	amended by adding Section 4004.105 to read as follows:
66	66	Sec. 4004.105. ADJUSTER CONTINUING EDUCATION PROGRAM
67	67	CONTENTS. A continuing education program for adjusters licensed
68	68	under Chapter 4101 must include education relating to:
69	69	(1) Chapter 541;
70	70	(2) Chapter 547;
71	71	(3) Subchapter A, Chapter 542;
72	72	(4) Subchapter E, Chapter 17, Business & Commerce
73	73	Code; and
74	74	(5) any other similar laws specified by the
75	75	department.
76	76	SECTION 6. Section 4005.105(d), Insurance Code, is amended
77	77	to read as follows:
78	78	(d) Subsections (b) and [Subsection] (c) do [does] not apply
79	79	to an applicant whose license application was denied or revoked for
80	80	failure by the applicant to:
81	81	(1) pass a required written examination; [or]
82	82	(2) complete continuing education or pay an applicable
83	83	fine under Section 4004.055(a); or
84	84	(3) submit a properly completed license application.
85	85	SECTION 7. Section 4005.109, Insurance Code, is amended by
86	86	amending Subsection (b) and adding Subsection (b-1) to read as
87	87	follows:
88	88	(b) A violation for which a fine may be assessed under this
89	89	section includes a failure to:
90	90	(1) obtain the total number of continuing education
91	91	hours before the expiration [renewal] date of a license;
92	92	(2) timely report a change of address to the
93	93	department; or
94	94	(3) notify the department of an administrative action
95	95	against the agent by a financial or insurance regulator of another
96	96	state or of the federal government.
97	97	(b-1) The aggregate amount of fines assessed under
98	98	Subsection (b)(1) may not exceed $500 for a licensing period.
99	99	SECTION 8. Section 4101.059(a), Insurance Code, is amended
100	100	to read as follows:
101	101	(a) To renew a license under this chapter, a licensed
102	102	adjuster must participate in a continuing education program under
103	103	Chapter 4004 [relating to consumer protection]. [The program must
104	104	include education relating to consumer protection laws, including:
105	105	[(1) Chapter 541;
106	106	[(2) Chapter 547;
107	107	[(3) Subchapter A, Chapter 542;
108	108	[(4) Subchapter E, Chapter 17, Business & Commerce
109	109	Code; and
110	110	[(5) any other similar laws specified by the
111	111	department.]
112	112	SECTION 9. Section 4101.061, Insurance Code, is amended to
113	113	read as follows:
114	114	Sec. 4101.061. EXPIRATION; RENEWAL. Expiration and
115	115	renewal of a license issued under this chapter are governed by
116	116	Section 4004.055, rules adopted by the commissioner, and [or] any
117	117	applicable provision of this code or another insurance law of this
118	118	state.
119	119	SECTION 10. Section 4102.064(c), Insurance Code, is amended
120	120	to read as follows:
121	121	(c) On the filing of a completed renewal application,
122	122	renewal fee, and, if applicable, evidence of compliance with the
123	123	continuing education requirements, the original license continues
124	124	in force until:
125	125	(1) the department issues the renewal license; [or]
126	126	(2) the license is not renewed under Section 4004.055;
127	127	or
128	128	(3) the commissioner issues an order revoking the
129	129	license.
130	130	SECTION 11. Sections 4102.065(a), (b), and (c), Insurance
131	131	Code, are amended to read as follows:
132	132	(a) A person whose license has been expired for 90 days or
133	133	less may renew the license by:
134	134	(1) submitting to the department:
135	135	(A) a completed renewal application in the form
136	136	prescribed by the commissioner; and
137	137	(B) evidence of compliance with the continuing
138	138	education requirements and eligibility for renewal under Section
139	139	4004.055; and
140	140	(2) paying to the department the required renewal fee
141	141	and an additional fee that is equal to one-half of the renewal fee
142	142	for the license.
143	143	(b) Except as provided by Section 4004.055, a [A] person
144	144	whose license has been expired for more than 90 days but less than
145	145	one year may not renew the license but is entitled to a new license
146	146	without taking the applicable examination if the person submits to
147	147	the department:
148	148	(1) a new application;
149	149	(2) evidence of compliance with the continuing
150	150	education requirements;
151	151	(3) the license fee; and
152	152	(4) an additional fee equal to one-half of the license
153	153	fee.
154	154	(c) A person whose license has been expired for one year or
155	155	more may not renew the license. The person may obtain a new license
156	156	by:
157	157	(1) submitting to reexamination, if examination is
158	158	required for original issuance of the license;
159	159	(2) [, and by] complying with the requirements and
160	160	procedures for obtaining an original license; and
161	161	(3) if applicable, submitting evidence of completion
162	162	of any outstanding continuing education requirement related to the
163	163	expired license.
164	164	SECTION 12. The change in law made by this Act applies only
165	165	to a license issued or renewed on or after the effective date of
166	166	this Act. A license issued or renewed before the effective date of
167	167	this Act is governed by the law as it existed immediately before the
168	168	effective date of this Act, and that law is continued in effect for
169	169	that purpose.
170	170	SECTION 13. This Act takes effect November 1, 2015.
171	171	* * * * *