THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY JOHNSON, BRIGGS, BROWN, BUXTON, CALTAGIRONE, CARROLL, D. COSTA, FRANKEL, HENNESSEY, JOSEPHS, MANN, MICOZZIE, PAYTON, READSHAW, SANTONI, SIPTROTH AND YOUNGBLOOD, MAY 5, 2010

REFERRED TO COMMITTEE ON INSURANCE, MAY 5, 2010  

AN ACT

Amending the act of May 17, 1921 (P.L.789, No.285), entitled, as

amended, "An act relating to insurance; establishing an

insurance department; and amending, revising, and

consolidating the law relating to the licensing,

qualification, regulation, examination, suspension, and

dissolution of insurance companies, Lloyds associations,

reciprocal and inter-insurance exchanges, and certain

societies and orders, the examination and regulation of fire

insurance rating bureaus, and the licensing and regulation of

insurance agents and brokers; the service of legal process

upon foreign insurance companies, associations or exchanges;

providing penalties, and repealing existing laws," in

insurance producer licensing, providing for life, accident

and health insurance.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  The act of May 17, 1921 (P.L.789, No.285), known

as The Insurance Department Act of 1921, is amended by adding a

section to read:

Section 604.1-A.  Life, accident and health insurance.

(a)  Scope.--This section shall apply to insurance producer

licensing examinations taken for life insurance or for life,

accident and health or sickness lines of insurance.

(b)  Administration.--The department or a vendor selected by

the department shall review producer licensing examinations

subject to this section if, during any six-month period

beginning on July 1, an examination exhibits an overall pass

rate of less than 70% for examinees who have taken the test for

the first time. The department shall do all of the following:

(1)  Collect demographic data from individuals who have

made application to take an insurance producer licensing

examination subject to this section. The data shall be

collected on a form and in a manner prescribed by the

department and shall include the race, gender, nation of

origin and highest achieved educational level of the

examination applicant.

(2)  Review the data collected under paragraph (1) and

compare it to the outcome of each question of the producer

insurance licensing examinations and to the overall outcome

of the examinations to determine whether there was any

disparity in the pass rate based on demographic

characteristics of the examinees.

(3)  Report to the chair and minority chair of the

Banking and Insurance Committee of the Senate and the chair

and minority chair of the Insurance Committee of the House of

Representatives by January 15, 2011, and every six months

thereafter, its findings under paragraphs (1) and (2) and

revisions made to the producer insurance licensing

examination relative to these findings.

Section 2.  This act shall take effect July 1, 2010, or

immediately, whichever is later.