PRINTER'S NO. 1043
No. 931 Session of 1991
INTRODUCED BY MAYERNIK, KOSINSKI, MARKOSEK, SALOOM, VAN HORNE,
HARPER, KENNEY, JOSEPHS, MICOZZIE, WOGAN, McCALL, COY,
FREEMAN, PERZEL, PISTELLA, SAURMAN, BILLOW, HALUSKA, MELIO,
ROBINSON, COLAFELLA, GIGLIOTTI, JAROLIN AND E. Z. TAYLOR,
APRIL 2, 1991
REFERRED TO COMMITTEE ON INSURANCE, APRIL 2, 1991
AN ACT
1 Amending the act of May 17, 1921 (P.L.789, No.285), entitled, as
2 amended, "An act relating to insurance; establishing an
3 insurance department; and amending, revising, and
4 consolidating the law relating to the licensing,
5 qualification, regulation, examination, suspension, and
6 dissolution of insurance companies, Lloyds associations,
7 reciprocal and inter-insurance exchanges, and certain
8 societies and orders, the examination and regulation of fire
9 insurance rating bureaus, and the licensing and regulation of
10 insurance agents and brokers; the service of legal process
11 upon foreign insurance companies, associations or exchanges;
12 providing penalties, and repealing existing laws," requiring
13 agents and brokers to undergo continuing education.
14 The General Assembly of the Commonwealth of Pennsylvania
15 hereby enacts as follows:
16 Section 1. The act of May 17, 1921 (P.L.789, No.285), known
17 as The Insurance Department Act of one thousand nine hundred and
18 twenty-one, is amended by adding sections to read:
19 Section 603.1. Continuing Education for Agents.--(a) Each
20 person licensed under the provisions of this act as an insurance
21 agent shall annually satisfactorily complete such courses or
22 programs of instruction as may be approved by the Insurance
1 Commissioner in the minimum number of classroom hours as
2 follows:
3 (1) Any individual agent holding a license issued subsequent
4 to the effective date of this section shall, during each of the
5 first four twelve-month periods following the date of its
6 original issue, satisfactorily complete courses or programs of
7 instruction or attend seminars equivalent to a minimum of
8 sixteen classroom hours of instruction, with a maximum of sixty-
9 four accumulated classroom hours for the forty-eight-month
10 period.
11 (2) Any individual agent holding a license issued prior to
12 the effective date of this section, or who has complied with
13 clause (1), shall for each twelve-month period satisfactorily
14 complete courses or programs of instruction or attend seminars
15 equivalent to fifteen classroom hours of instruction.
16 (b) The courses or programs of instruction successfully
17 completed which shall be deemed to meet the Insurance
18 Commissioner's standards for continuing educational
19 requirements, and the number of classroom hours for which they
20 are equivalent are as follows:
21 (1) Any part of the Life Underwriting Training Council Life
22 Course Curriculum - fifty hours; Health Course - twenty-five
23 hours.
24 (2) Any part of the American College "CLU" diploma
25 curriculum - thirty hours.
26 (3) Any part of the Insurance Institute of America's program
27 in general insurance - twenty hours.
28 (4) Any part of the American Institute for Property and
29 Liability Underwriters' Chartered Property Casualty Underwriter
30 (CPCU) professional designation program - thirty hours.
19910H0931B1043 - 2 -
1 (5) Any part of the Certified Insurance Counselor program -
2 twenty hours.
3 (6) Any insurance related course approved by the Insurance
4 Commissioner taught by an accredited college or university per
5 credit hour granted - fifteen hours.
6 (7) Any course or program of instruction or seminar
7 developed or sponsored by any authorized insurer, recognized
8 agents association or insurance trade association or any
9 independent program of instruction, shall, subject to the
10 approval of the Insurance Commissioner, qualify for the
11 equivalency of the number of classroom hours assigned thereto by
12 the Insurance Commissioner.
13 (c) A person teaching any approved course of instruction or
14 lecturing at any approved seminar shall qualify for the same
15 number of classroom hours as would be granted to a person taking
16 and successfully completing such course, seminar or program.
17 (d) Any person previously licensed as an agent whose license
18 was not in effect on the effective date of this section shall
19 comply with all of the terms and requirements of clause (1) of
20 subsection (a).
21 (e) Any person previously licensed as an agent whose license
22 was in effect on the effective date of this section, or who has
23 complied with clause (1) of subsection (a), shall comply with
24 all of the terms and requirements of clause (2) of subsection
25 (a).
26 (f) Excess classroom hours accumulated during any one-year
27 period may be carried forward to the next year.
28 (g) For good cause shown, the Insurance Commissioner may
29 grant an extension of time during which the requirements imposed
30 by subsection (a) may be completed, but such extension of time
19910H0931B1043 - 3 -
1 shall not exceed the period of one year.
2 (h) Every person subject to this section shall furnish, in a
3 form satisfactory to the Insurance Commissioner, written
4 certification as to the courses, programs or seminars of
5 instruction which he has taken and successfully completed.
6 (i) Any individual insurance agent failing to meet the
7 requirements imposed upon him by this section and who has not
8 been granted an extension of time within which to comply
9 pursuant to subsection (g), or who has submitted to the
10 Insurance Commissioner a false or fraudulent certificate of
11 compliance therewith shall, after a hearing thereon which
12 hearing may be waived by such person, be subject to the
13 suspension of his agent's license, and no further agent's
14 license shall be issued to him until such time as he shall have
15 demonstrated to the satisfaction of the Insurance Commissioner
16 that he has complied with all of the requirements of this
17 section.
18 (j) The Insurance Commissioner may, in accordance with law,
19 promulgate such rules and regulations as may be necessary to
20 implement the requirement of continuing education for persons
21 licensed as insurance agents.
22 Section 622.1. Continuing Education for Brokers.--(a) Each
23 person licensed under the provisions of this act as an insurance
24 broker shall annually satisfactorily complete such courses or
25 programs of instruction as may be approved by the Insurance
26 Commissioner in the minimum number of classroom hours as
27 follows:
28 (1) Any individual broker holding a license issued
29 subsequent to the effective date of this section shall, during
30 each of the first four twelve-month periods following the date
19910H0931B1043 - 4 -
1 of its original issue, satisfactorily complete courses or
2 programs of instruction or attend seminars equivalent to a
3 minimum of sixteen classroom hours of instruction, with a
4 maximum of sixty-four accumulated classroom hours for the forty-
5 eight-month period.
6 (2) Any individual broker holding a license issued prior to
7 the effective date of this section, or who has complied with
8 clause (1), shall for each twelve-month period satisfactorily
9 complete courses or programs of instruction or attend seminars
10 equivalent to fifteen classroom hours of instruction.
11 (b) The courses or programs of instruction successfully
12 completed which shall be deemed to meet the Insurance
13 Commissioner's standards for continuing educational
14 requirements, and the number of classroom hours for which they
15 are equivalent are as follows:
16 (1) Any part of the Life Underwriting Training Council Life
17 Course Curriculum - fifty hours; Health Course - twenty-five
18 hours.
19 (2) Any part of the American College "CLU" diploma
20 curriculum - thirty hours.
21 (3) Any part of the Insurance Institute of America's program
22 in general insurance - twenty hours.
23 (4) Any part of the American Institute for Property and
24 Liability Underwriters' Chartered Property Casualty Underwriter
25 (CPCU) professional designation program - thirty hours.
26 (5) Any part of the Certified Insurance Counselor program -
27 twenty hours.
28 (6) Any insurance related course approved by the Insurance
29 Commissioner taught by an accredited college or university per
30 credit hour granted - fifteen hours.
19910H0931B1043 - 5 -
1 (7) Any course or program of instruction or seminar
2 developed or sponsored by any authorized insurer, recognized
3 agents association or insurance trade association or any
4 independent program of instruction, shall, subject to the
5 approval of the Insurance Commissioner, qualify for the
6 equivalency of the number of classroom hours assigned thereto by
7 the Insurance Commissioner.
8 (c) A person teaching any approved course of instruction or
9 lecturing at any approved seminar shall qualify for the same
10 number of classroom hours as would be granted to a person taking
11 and successfully completing such course, seminar or program.
12 (d) Any person previously licensed as a broker whose license
13 was not in effect on the effective date of this section shall
14 comply with all of the terms and requirements of clause (1) of
15 subsection (a).
16 (e) Any person previously licensed as a broker whose license
17 was in effect on the effective date of this section, or who has
18 complied with clause (1) of subsection (a), shall comply with
19 all of the terms and requirements of clause (2) of subsection
20 (a).
21 (f) Excess classroom hours accumulated during any one-year
22 period may be carried forward to the next year.
23 (g) For good cause shown, the Insurance Commissioner may
24 grant an extension of time during which the requirements imposed
25 by subsection (a) may be completed, but such extension of time
26 shall not exceed the period of one year.
27 (h) Every person subject to this section shall furnish, in a
28 form satisfactory to the Insurance Commissioner, written
29 certification as to the courses, programs or seminars of
30 instruction which he has taken and successfully completed.
19910H0931B1043 - 6 -
1 (i) Any individual insurance agent failing to meet the
2 requirements imposed upon him by this section and who has not
3 been granted an extension of time within which to comply
4 pursuant to subsection (g), or who has submitted to the
5 Insurance Commissioner a false or fraudulent certificate of
6 compliance therewith shall, after a hearing thereon which
7 hearing may be waived by such person, be subject to the
8 suspension of his broker's license, and no further broker's
9 license shall be issued to him until such time as he shall have
10 demonstrated to the satisfaction of the Insurance Commissioner
11 that he has complied with all of the requirements of this
12 section.
13 (j) The Insurance Commissioner may, in accordance with law,
14 promulgate such rules and regulations as may be necessary to
15 implement the requirement of continuing education for persons
16 licensed as insurance brokers.
17 Section 2. This act shall take effect in six months.
A30L40JRW/19910H0931B1043 - 7 -