Kentucky Seal

Kentucky

state commissioner

Sharon P. Clark

STATE phone
(502) 564-6004
STATE LICENSE DIVISION ADDRESS

Kentucky Department of Insurance

Address

P.O. Box 517

Frankfort, Kentucky, 40602

Appointments & Terminations

Required to report appointments?

Yes

Permits Just-in-time (JIT) appointments?

Yes

Initial appointment deadlines

Within 15 days of contract execution or first business submission

Initial appointment deadline rule

Appointments must be submitted within 15 days of the date the agent/agency contract is executed or the first piece of business is submitted to the carrier

Can be processed via nipr?

Yes

Fees for appointing a resident agency or individual?

Resident Individuals - Producer $40, Resident Individuals - Business Entity $100

Fees for appointing a nonresident agency or individual?

Nonresident Individuals, Producer: $50 Nonresident Individuals, Business Entity: $120

Appoint agencies?

Yes

Agency appointment covers affiliated producers?

Yes

Agency appointment notes

A producer only requires one appointment with one carrier if affiliated to an agency. Subsequent appointments are unnecessary as the producer can act under the agency appointment for new carriers.

Adjuster appointments via NIPR?

No

Appointment effective date can be specified?

Yes

Appointment effective date rule

Required. Effective date and is the date supplied on transaction. Must be less than 15 days old.

State requires appointment renewal?

Yes

Appointment renewals via

Via NIPR Portal

When is the state renewal period?

January 8 through March 31 Late renewal runs April 1 through June 30. Renewal fees are doubled in late renewal period

Appointment renewal fee

Nonresident Individuals: Producer $50 Nonresident Individuals: Business Entity $120 Resident Individuals: Producer $40 Resident Individuals: Business Entity $100

Licenses require appointment or affiliation?

No

State terminates appointment if license expires?

Yes

Terminations processed via NIPR?

Yes

Termination reasons

Voluntary termination; death; request regulatory review

Termination date can be specified by carrier?

Yes

Termination Effective date rule

Required and is the date supplied on transaction. Must be less than 15 days old

Termination notes

60 days after a license expiration, licensees must obtain new appointments

Termination fee

No fee

Allows carriers to terminate the appointment if license has expired?

No

Can a not-for-cause termination notice be emailed?

Notices must be mailed

Licensing

Initial individual new license fee

Resident New License Agent: $40 PLUS $40 per LOA Fee AND $50 Exam Fee Resident New License Surplus Lines Broker: $100 Nonresident New License Agent: $50 Nonresident New License Surplus Lines Broker: $100

License renewal fee

Resident Renewal Agent: $0 Resident Renewal Agent: $40 Resident Renewal Surplus Lines Broker: $100 Nonresident Renewal Agent; $0 Nonresident Renewal Agent: $50 Nonresident Renewal Surplus Lines Broker: $100

When does the resident individual producer license renewal period begin?

90 days before expiration

What is the resident individual producer license renewal date?

Last day of birth month every 2 years based on year of birth

Late renewal or reinstatement period for resident individual producer license?

Late renewal allowed up to 60 days after expiration

When does the nonresident individual producer license renewal period begin?

90 days before expiration

What is the nonresident individual producer license renewal date?

Last day of birth month every 2 years based on year of birth

Late renewal or reinstatement period for nonresident individual producer license?

Late renewal allowed up to 60 days after expiration

Can a producer use a P.O. Box in their resident or business address?

No

Are individuals required to list their county as part of the address?

No

What addresses are required for individual license maintenance?

Residence, Business, and Mailing

State individual licenses include

Agent, Life Settlement Broker, Temporary Agent, Independent Adjuster, Public Adjuster, Staff Adjuster, Reins Intermediary Broker, Reins. Intermediary Manager, Consultant Property & Casualty, Managing General Agent, Life Settlement Provider, Life Agent Registered as Life Settlement Broker, Adjuster, Apprentice Adjuster, Surplus Line Broker, Administrator, Consultant Life & Health, Rental Vehicle Agent, Rental Vehicle Managing Employee, Portable Electronics Insurance Retailer, Insurer, Pharmacy Benefit Manager

State recognizes a licensing exemption for nonresident commercial lines producers with multistate contracts?

Yes

State broker license rule

04.9-040 "Consultant" defined. (1) A "consultant" is a person, who as an independent contractor in relation to a client, for fee or compensation other than from an insurer, in any manner advises or purports to advise, any person actually or prospectively insured, or named or to be named as beneficiary, or having or to have any interest in or insured under, an insurance contract or annuity contract, existing or proposed, relative to coverage, advisability, rights, or interests under such contract, or relative to the retention, exchange, surrender, or exercise of rights thereunder. This subsection shall not apply as to an attorney while acting under a license to practice law in this state. (2) A "property and casualty consultant" is a person licensed as a consultant as to property insurance contracts, casualty insurance contracts, health insurance contracts issued by property or casualty insurers, and surety contracts. (3) A "life and health consultant" is a person licensed as a consultant as to life insurance contracts, annuity contracts, and health insurance contracts. Insurers are not required to appoint Brokers per NAIC PLMA

Requires pre licensing courses?

Yes

Study method requirements

Classroom or self study

Submission of completion certificate rule

The pre-licensing provider must submit proof of course completion for each applicant to the Department and applicant: a. on Form CPL-01, Certificate of Pre-Licensing Course Completion; or b. through the Department's website, https://bit.ly/39y0kQ2

How long is the pre licensing certification valid?

A pre-licensing course of study is valid for 1 year from the completion date.

Exemptions to pre licensing requirements

An applicant is exempt from pre-license education if the applicant: a. holds a Chartered Life Underwriter (CLU) designation; b. holds a Chartered Property and Casualty Underwriter (CPCU) designation; c. holds a Certified Insurance Counselor (CIC) designation; d. holds a Certified Employee Benefit Specialist(CEBS), Chartered Financial Consultant (ChFC), Certified Financial Planner (CFP), Fellow of the Life Management Institute (FLMI), or Life Underwriter Training Council Fellow (LUTCF) for a life line of authority; e. holds a Registered Health Underwriter (RHU), Certified Employee Benefit Specialist (CEBS), Registered Employee Benefit Consultant (REBC), or Health Insurance Advisor (HIA) designation for a health line of authority; f. holds an Accredited Advisor in Insurance (AAI) or Associate in Risk Management (ARM) designation for property, personal lines, and casualty lines of authority; g. holds an insurance degree from an accredited college or university for all lines of authority; h. is an applicant for a limited line of authority; or i. is a life agent who has been licensed at least 1 year, and operating as a life settlement broker.

Prelicense education requirement

An applicant must complete prelicense training that has been approved by the Commissioner. a. A life and health applicant must complete 40 hours of prelicense study. b. A property and casualty applicant must complete 40 hours of prelicense study. c. An applicant must complete at least 20 hours of prelicense study for each line of authority

Background Check Required?

Yes – Full criminal history

Fingerprints Required?

Not Required

State Pre-Licensing Exam Website

Kentucky Online Gateway

How Long are State Pre-Licensing Exams Active?

One Year

Citizenship requirement details

Applicants who are non-citizens must provide a copy of work authorization or green card.

Where to apply for resident license?

NIPR Gateway

Other licensing notes

A criminal background report from the Administrative Office of the Courts must be filed with the state. Obtain the report by following instructions listed on http://insurance.ky.gov.

What Transactions are Retaliatory Fees Applied to?

None

Submit Partial License Renewals through NIPR?

No

Has Personal Lines LOA?

Yes

Deadline to report personal data changes (address, name change, phone number, etc.)

A licensee must notify the Commissioner in writing of any change in address or legal name change within 30 days of the change. Contact Change Request supported via NIPR Gateway.

Penalty for failure to timely report personal data changes

Failure to timely report a change will result in a $500 fine for the first offense and $1,000 for subsequent offenses.

Travel license notes

Nonresident insurance producers can get a designated home state license for limited lines travel insurance in Kentucky if the producer's resident state doesn't issue a travel license equivalent

Agency

Can a sole proprietor be licensed as an entity?

Yes

DRLP must have active state license

Yes

DRLPs must cumulatively cover all LOAs in application

Yes

Agency Licensing renewals

90 days prior to expiration date until 2 months after expiration date.

Deadline to report key business entity changes (address, dba, phone, email, etc.)

A licensee must notify the Commissioner in writing of any change in address or legal name change within 30 days of the change. Contact Change Request supported via NIPR Gateway. The business entity must notify the Commissioner of all changes involving the individuals who are registered on the license within 30 days of the change.

Adjuster

Requires adjuster license?

Yes

Offers designated home state?

Yes

Reciprocity states

AK, AL, AR, AZ, CT, DE, FL, GA, ID, IN, LA, ME, MI, MN, MS, MT, NC, NH, NM, NV, OK, OR, RI, SC, TX, UT, VT, WA, WV, WY

Which states require an exam for reciprocity?

CA, HI, NY, PR

Independent adjuster LOAS

Property, Casualty, Workers' Compensation, Crop

Independent adjuster fees

Licensing Fee: $50 Renewal Fee: $50 Late Renewal: $100

Independent adjuster exam required?

Yes

Independent adjuster details

No line of authority is required for residents.

Apprentice adjuster license LOAS

No LOA required

Apprentice adjuster license fees

$25

Apprentice adjuster license duration

1 Year

Apprentice adjuster license details

The license will not exceed 12 months and cannot be renewed. You must be a resident to receive this license.

Public Adjuster Renewal Period

Biennially, on the last day of the birth month for residents. For nonresidents, look towards the license expiration date.

Public Adjuster Details

Note that no line of authority is required for Residents.

Public Adjuster LOAs

Property, Casualty

Public adjuster fees

Licensing Fee: $50 Renewal Fee: $50 Late Renewal: $100

Public adjuster exam required?

Yes

Emergency adjuster details

Adjusters looking to assist with claims that result from a declared catastrophe need to register online with the department of insurance.

Requires Staff Adjuster License

Yes

Staff Adjuster Reciprocal States

CT, DE, FL, LA, NV, NH, NM, NC, OK, RI, SC, TX, VT, WV, WY

Staff Adjuster LOAs

Property, Casualty, Workers' Compensation, Crop

Staff Adjuster Fees

Licensing Fee: $50 Renewal Fee: $50 Late Renewal: $100

Staff Adjuster Exam Required?

Yes

Staff Adjuster Renewal Period

Biennially, on the last day of the birth month for residents. For nonresidents, look towards the license expiration date.

Staff Adjuster Details

Note that no line of authority is required for Residents.

DHS Exam Required?

Yes

Address change request through NIPR?

Yes

Continuing Education

Total hours per renewal period

24

Renewal period

2 years

CE due before license renewal date?

Yes

License renewal date is

Last day of birth month

License renewal year based on...

Year of birth

When is the CE due?

Prior to license expiration.

How long before expiration does state send CE reminder?

90 days prior to expiration date

How long before expiration does state send CE reminder?

90 days prior to expiration date

Exemptions to CE

If you have been licensed for less than a year on first renewal, you'll wait until the next renewal period to fill CE requirements. Adjusters other than public adjusters are exempt from CE requirements. Limited lines agents such as producers licensed solely in credit, travel, crop, or surety lines are exempt from CE requirements. Agents who are licensed solely to continue receiving renewal commissions on existing contracts can be exempt from CE if the state has a signed affidavit affirming they no longer sell products.

What if a producer missed the renewal date?

Within 30 days of your license expiration, you can still provide proof of CE and renew your license without penalty. After 30 days but within 60 days of your license expiration, you can prove you are current on CE and reinstate your lapsed license through paying a late penalty. After 60 days but within 12 months, you can reinstate as long as you get current on CE and submit a new application (including a background check, fees for licensure, fees for appointments, etc.). After 12 months, you will need to reapply as a new applicant, including fulfilling prelicensing training and relevant exams.

CE instructors get credit for teaching courses?

Yes

Can rollover excess hours?

Yes

Amount of rollover credits allowed

Up to 12 hours

Ethics requirements

3

Credits must be specific to major LOAs?

Yes

Major lines requirements

6 hours must be directly related to producer LOA

Flood-specific CE requirements

3 hours of NFIP course

LTC-specific CE requirements

8-hour initial certification, with 4 hours of LTC-specific training each renewal cycle thereafter specific to the Kentucky LTC Insurance Partnership Program

Annuity-specific CE requirements

One-time, 4-hour course

Additional line of business requirements

Life settlement brokers must complete at least 3 hours CE specific to life settlement

Regulatory Updates

Kentucky Issues 2025 Company Appointment Renewal Dates

Effective January 1, 2025**, **Kentucky company appointment renewals will be created, with invoices available for payment from January 3, 2025, through June 30, 2025. The termination deadline is December 31, 2024.

Kentucky Adds Appointment and Termination Electronic Support for Self-Service Storage Space

Effective October 10, 2024, Kentucky will add Self-Service Storage Space to be processed electronically for Appointments and Terminations. 

Kentucky Changing Continuing Education Service Provider

Effective July 1, 2024, the Kentucky Department of Insurance’s Personal Service Contract for Continuing Education/Prelicensing Services will be handled by PSI Services. Prometric will no longer accept or process education course and instructor reviews after June 21, 2024. See attachment for full details. 

Kentucky Issues 2024 Company Appointment Renewals Dates

The invoice renewal period Property and Casualty and Other limited lines is Jan. 8, 2024 AM EST - March 31, 2024 3PM EST. The late renewal period is April 1, 2024 8AM EST - June 30, 2024 3PM EST. The termination deadline is Jan. 4, 2024.  **Renewal Fees: ** Individual Producers with RL: $40 Business entities/Agencies with RL: $100 Individual NR Producer: $50 Business entities/Agencies with NRL: $120 **Late Renewal Fees:** Individual Producers with RL: $80 Business entities/Agencies with RL: $200 Individual NR Producer: $100 Business entities/Agencies with NRL: $240

Kentucky Has Issued an Advisory Opinion Related to Adjuster Fees

On August 31, 2023, Kentucky issued an advisory opinion related to adjuster fees that will be effective immediately.   Review attachment for full details.

Kentucky Updates to Local Premium Tax and Data Security

Article providing updates to the Kentucky Local Premium Tax and Data Security meeting is posted. See attachment for full details.

Kentucky Clarifies its Local Government Premium Tax Process for Carriers and Surplus Lines Brokers

Kentucky clarifies its Local Government Premium Tax process for carriers and Surplus Lines brokers. See attachment for full details.

Kentucky Updates Values for Appointments and Terminations

Effective April 14, 2023, Kentucky will require the NPN for Appointment and Termination transactions.

Update to Kentucky 2023 Appointment Renewal Dates

The correction received is that the appointment types to be renewed are Life, Health, Variable Annuity, and Other lines. The original post listed Property, Casualty, and 'Other' - this has been updated as well to reflect the correction.

Kentucky Issues 2023 Company Appointment Renewals Dates

The invoice renewal period for Life, Health, Variable Annuity, and Other lines. is Jan. 6, 2023AM CST - March 31, 2023 3PM CST. The late renewal period is April 3, 2023 8AM CST - June 30, 2023 3PM CST. The termination deadlines is Jan. 1, 2023.

Kentucky Surplus Lines Bulletin

Kentucky has put out a bulletin that states the Department will no longer accept Premium Tax Annual Reconciliation Reports filed anywhere other than the Department's own direct eService upload.

Kentucky Tax Annual Reconciliation Report Filings

This update notes that KY will only accept Premium Tax Annual Reconciliation Report reports filed via the direct upload to the Departments eServices portal. Any other methods will not be accepted.

Kentucky Announces Legislative Changes

Kentucky releases legislative changes (attached). One to highlight is An Act Relating to the Issuance and Renewal of Occupational Licenses to Military Spouses. An administrative agency is required to issue a temporary or regular license to the spouse of someone currently in the armed forces. The spouse will not need to pay fees if they meet the requirements. Previously, fees were not waived.

Kentucky Clarifies Statue Regarding Automobile Policy

Kansas noted that there some incorrect interpretations of KRS 304.39-060(6) regarding automobile policy. The statue says, " “Every insurance company when issuing an automobile policy to a resident of this Commonwealth must inform the buyer in writing in a form to be prescribed by the insurance commissioner of his or her right to reject the limitations of the tort rights and liabilities under this subtitle in the manner provided in subsections (4) and (7) of this section.” It was clarified that issuing means that the form must be delivered to the insured at 1.) the initial issuance of a new policy, but not at subsequent renewals of that policy; and 2.) at the addition of any drivers to a policy.

NASAA Updates IAR CE Member Adoption list on its Website

NASAA provides an updated version of the IAR CE Member Adoption list on its website.

Kentucky Clarifies “Best Interest” in the Context of Annuities

A recent amendment to 806 KAR 12:120 requires licensees to make annuity recommendations that are in the best interest of the consumer "under the circumstances known at the time the recommendation is made". This announcement clarifies that the "best interest of the customer" requirement is applicable **only **at the time the recommendation is made and not on an ongoing basis.

Kentucky Offering Emergency Temporary Adjuster Licensing

This notification is in response to the storms that happened on December 10ths and 11th, 2021. Insurers are allowed to reasonably extend the time period to pay premiums, copayments, deductibles, and other charges in the case that this will benefit the customer. Additionally, KY is offering temporary registration for both independent and staff adjusters. To apply, form 8307 needs to be filled out and submitted by the insurer on the departments website.

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