Regulatory Updates

Effective August 7, 2024, Arizona will implement a new transaction type to process Designated Responsible Licensed Producer (DRLP)

On August 7, 2024, Maryland Insurance Administration posted a bulletin to notify insurance producers and public adjusters that 2024 Maryland laws would increase the maximum civil penalties that the Administration may impose for certain statutory violations. These changes become effective on October 1, 2024. Please see the attachment for more information.

Effective July 1, 2024, Utah has revised the language in the following sections of their code for residents and nonresidents.  See attachments for full details. - Fee Summary - Viatical Settlements/Life Settlement: General Requirements - Appointment Renewals - Navigator General Requirements

Effective ~~August 7, 2024~~, Hawaii will be terminating 4,100 Hawaii carrier appointments. It was discovered that appointments were migrated from a legacy system giving producers lines of authority they've never held.  Update: August 8, 2024 - The update that Hawaii planned to make on August 7, 2024, is now planned for August 8, 2024.

Effective August 4, 2024, South Carolina’s Governor Henry McMaster declared a state of emergency due to Hurricane Debby. For the next 120 days, nonresident adjusters or motor vehicle physical damage appraisers will be permitted to enter the state to handle adjustments without being required to be licensed in South Carolina. Please see the attachment for more information.

Effective June 17, 2024, Michigan updated rules surrounding charging a responsible fee to cover unique expenses to surplus lines. Please see the attachment for more information

On August 2, 2024, Washington proposed a rule change for producer and adjuster licensing requirements. Please see the attachment for more information. - Simplify the licensing process for limited-line credit insurance by automatically including it for producers already licensed for life, disability, property or casualty insurance - Allow insurance agencies to designate a new responsible licensed producer (DRLP) during license renewal if the current DRLP is inactive, fixing an issue identified by NIPR. - Simplify the fee structure for the cancellation of producer licenses. This will simplify fee calculations and prevent delays in implementing new NIPR features. - Remove outdated language that exempted crop adjusters from continuing education (CE) requirements, aligning with a 2022 rule that mandated CE for all licensed resident adjusters. - Remove references to pre-licensing education (PLE) to follow a 2023 law that abolished the PLE requirement. - Remove references to specific dates for electronic submissions, as all licensing processes are now fully electronic.

Update: The rule takes effect on November 4, 2024. Attached final copy of the changes.

Maine will begin using CE Home State Approval letters. This shows if the course is approved after review by the Maine Bureau of Insurance Continuing Education Advisory Committee. Please see the attachment for more information.

On August 1, 2024, Pennsylvania announced a change to their surplus lines reporting requirements which will be effective September 6, 2024.  

Effective January 1, 2025, California revised information related to variable life-specific training requirements: - This bill would require a life agent, licensed on or after January 1, 2024, who engages in the sale of specified life insurance policies on or after January 1, 2025, to complete specified hours of life insurance training courses before soliciting consumers to sell these life insurance policies.  - The bill would require any life agent, who engages in the sale of variable life insurance policies, to complete specified hours of training before renewing their license. The bill would apply these training provisions to licenses that are issued or renewed on or after January 1, 2025. Please see the attachment for more information