Louisiana Department of Insurance 2008 Form Filing Seminar

1. Tammi Williams, Assistant Director of Licensing Evelyn Major, Assistant Director of Licensing Louisiana Department of Insurance 2008 Form Filing Seminar

2. Producer Licensing Overcoming the Roadblocks

3. Purpose of the Producer Licensing Division • The Producer Licensing Division licenses all insurance producers, managing general agents, surplus lines brokers, claims adjusters and public adjusters as mandated by the insurance code. • The Division provides necessary information and forms to prospective applicants for licenses.

4. Examination of applications to determine that applicants meet all requirements so that only honest and qualified persons are licensed to serve the public. Recommendations are made to approve or disapprove applicants based upon such factors as criminal history, lawsuits, bankruptcy and disciplinary actions in this or other states.

5. Response to inquiries from the public regarding the status of licensees. • Oversight of the producer and adjuster testing program. • Assurance that pre-licensing and continuing education courses contain appropriate information for instructional purposes.

6. ImplementationHow do we accomplish our purpose? • Monitoring all producers negotiating contacts of insurance to assure proper licensing and appointments by licensed insurers. • Recording of regulatory actions against producers and adjusters whose licenses have been revoked, suspended, fined or subject to other administrative actions. This ensures that additional licenses and appointments will not be issued until such time as the licensee is eligible for reinstatement or renewal.

7. Reviewing of examination questions, pre-licensing and continuing education provider applications and course content to assure that licensees are well prepared and knowledgeable in insurance. • Maintaining of producer databases for use by other State Insurance Departments, courts and law enforcement agencies. The databases are public records, available to consumers.

8. All of this causes Roadblocks

9. Overcoming the Licensing Roadblocks by utilizing all of the Electronic processes available to Producers * Non-Resident Licensing * Resident Renewals * Non-Resident Renewals * Address Changes

10. And even more for Insurance Companies • Electronic Company Appointments • Electronic Company Appointment Renewals

11. Paper applications and appointments are considered roadblocks for Producer Licensing

12. Non-Resident Licensing • Non-Resident licensing is easy when you use the electronic application that can be found at www.nipr.com. • You can apply to one or more states at one time with a single transaction.

13. Resident Renewal • We no longer mail paper renewals to any resident licensee including resident agencies. • You must renew on-line through our website at www.ldi.state.la.us. • We should have all of your CE credits on file since we receive the reports directly from the providers.

14. Non-Resident Renewals • We no longer mail renewal applications to non-resident individuals licensed in Louisiana. • You can go to www.nipr.com and renew your Louisiana license and any license which is due in any other state you are licensed in. • We are currently working with NIPR to offer this to non-resident business entities.

15. Address Change • You can currently change your address on-line at our website – www.ldi.state.la.us. • Individual producers can change their address on-line at www.nipr.com. By using this application you will be able to change your address by completing one transaction which will change your address in all states your are licensed in.

16. Electronic Company Appointments • Companies can file their company appointments through NIPR and they will be entered into our database and available for viewing on our website the next business day.

17. Electronic Company Appointment Renewals On February 1st of each year the Department mails renewal appointment invoices to the insurance company’s and allows the invoices to be paid through NIPR. Companies can electronically pay the invoices through NIPR and they will be made effective for May 1.

18. Letting the computers do the work makes for more accurate and faster processing.

19. If you still need to send us paper we will happily accept it

20. Electronically Challenged? • Paper Applications and paper appointments accepted • Both Residents and Non-Residents • Individual and Business Entity

21. Resident Requirements • 18 years of age • Reside in or maintain principal place of business in La. • Pre Licensing and test when required • Appropriate form and fees • Written consent of the Commissioner of Insurance pursuant to 18 U.S.C 1033 when required.

22. Pre-Licensing Education Requirements • Life 16 hours • H&A 16 • LH&A 32 • Property 32 • Casualty 32 • Personal Lines 32 • Bail Bonds 8

23. Examination • Administered by Prometric • Pre Licensing certificate valid for 1 year • Application, registration form mailed directly to Prometric • Exam registration remains valid for 90 calendar days after processing • Exam registration fees are not refundable or transferable

24. Limited Lines requiring no exam • Industrial Life Health & Accident • Home Service • Travel • Baggage • Credit Life • Credit Health & Accident • Credit Property & Casualty

25. Non-Resident Reciprocity • Currently licensed and in good standing in resident state • Completed application (most current) • Appropriate fees

26. Business Entity • Completed application form 1136B • At least one (1) of the firm’s officers, partners, or employee must hold license for same line of authority as applied for by business entity.

27. License Approval • License card issued • Notify DOI of change of address in 10 days to avoid $50.00 penalty • Renewal due every 2 years • Renewal fee $50.00 • Continuing education • Waiver of renewal procedure • May reinstate up to 5 years with appropriate CE (if applicable) and $100.00.

28. Continuing Education for Residents • 24 hours for P&C; Personal Lines; Fidelity & Surety • one (1) time requirement of 3 hours flood • 16 hours for Life only and Life Health & Accident • 20 hours of P&C CE if combo P&C/LH&A • 12 hours of LH&A CE if combo P&C/LH&A. • 12 hours of CE for Bail Bond • 6 hours of CE for Title

29. Roadblocks • Outdated applications • Incomplete applications • Fees not included with application • Background information incomplete

30. License Disapproval • Statutory reasons for disapproval • Denial, nonrenewal or revocation • Can impose fines for code violations

31. Reporting of Actions • Administrative actions reported within 30 days of final disposition • Criminal convictions must be reported within 30 days of conviction.

32. Appointments • Companies may still appoint/renew producers using the appropriate company appointment forms. • Companies may also cancel appointments using the company appointment cancellation form

33. Renewing your license • Renew every 2 years • Capability to print renewal • Must be mailed by filing deadline • Appropriate renewal fee • CE requirements

34. Other updates within the Producer Licensing Division • Starting November 1, 2008 we will begin the renewal of all Property & Casualty type licenses including Adjuster licenses. • If this is your first time to renew your Property & Casualty type license in which you will require CE you will also need the 3 hours of flood. • The 3 hours of flood CE is a one time requirement only. If you have already completed it and submitted it with your last Property & Casualty renewal you will not be required to complete it again.

35. The Department will be changing all producer and adjuster licenses to renew during the producer or adjusters birth month. We plan to begin with the Life, Health & Accident producer type licenses starting in April 2009. Upcoming Changes to Renewals – Birth Month Renewals

36. All continuing education must be taken and recorded with us before we can renew the license. • The renewal period will be early so get your hours early or your license will lapse.

37. We are still keeping the even/odd expirations of licenses. We are just changing the renewal time. Life, Health & Accident even numbered years, Property & Casualty type and Adjusters odd numbered years.

38. Contact Information Tammi Williams, Assistant Director of Producer Licensing twilliams@ldi.state.la.us (225) 342-5415 Evelyn Major, Assistant Director of Producer Licensing emajor@ldi.state.la.us (225) 219-7784

39. Questions?