Sec. 114-2-2 - Requirements for Licensing

§ 114-2-2. Requirements for Licensing

2.1. Trustworthiness. -- An insurer making application for an individual insurance producer's appointment shall make an investigation as to the suitability of the appointee. The appointing company shall, prior to submitting the appointment to this office, satisfy itself that the appointee is a suitable person and is trustworthy and qualified to act as its individual insurance producer. The Insurance Commissioner may, at any time, direct the appointing company to furnish proof that the company has made the investigation required by this subsection and that the investigation was made prior to the execution of the application for appointment.

2.2. Competency. -- The competency of persons applying to the Insurance Commissioner for an individual insurance producer's license shall be determined by examination, with the exception of those persons qualifying under subsection 2.3 of this section.

2.3. Waiver of examination. -- An examination is not required as proof of competency for those persons applying for a resident individual insurance producer's license if such person:

2.3.a. With respect to the following lines of authority, holds one or more of the following professional designations or degrees:

2.3.a.1. Life Line of Authority -- Certified Employee Benefits Specialist (CEBS), Chartered Financial Consultant (ChFC), Certified Insurance Counselor (CIC), Certified Financial Planner (CFP), Chartered Life Underwriter (CLU), Fellow Life Management Institute (FLMI), Life Underwriting Training Counsel Fellow (LUTCF);

2.3.a.2. Health Line of Authority -- Registered Health Underwriter (RHU), Certified Employee Benefits Specialist (CEBS), Registered Employee Benefits Consultant (REBC), Health Information Administration (HIA);

2.3.a.3. Property and Casualty Lines of Authority -- Accredited Advisor in Insurance (AAI), Associate in Risk Management (ARM), Certified Insurance Counselor (CIC), Chartered Property Casualty Underwriter (CPCU); or

2.3.a.4. All lines of authority except crop -- College insurance degree.

2.3.b. Is currently licensed as a resident and in good standing in his or her home state and otherwise meets the requirements of W. Va. Code § 33-12-14(a).

2.4. Any applicant who previously held a West Virginia insurance license which was terminated as a condition of public employment is exempt from re-examination provided that the public employment was in an insurance-related field and the license application was made within one year of the termination of the employment.

2.5. Limited lines insurance.

2.5.a. An examination is not required as proof of competency for those persons applying for a limited lines insurance license.

2.5.b. Each insurer that sells, solicits or negotiates any form of limited line insurance shall provide to each individual whose duties will include selling, soliciting or negotiating limited line insurance a program of instruction that may be approved by the Insurance Commissioner.

2.5.c. Limited lines insurance includes the following lines of insurance:

2.5.c.1. Car rental -- insurance offered, sold, or solicited in connection with and incidental to the rental of rental cars for a period not to exceed ninety (90) consecutive days, whether at the rental office or by pre-selection of coverage in master, corporate, group or individual agreements, that (i) is non-transferable; (ii) applies only to the rental car that is the subject of the rental agreement; and (iii) is limited to the following kinds of insurance:

2.5.c.1.A. Personal accident insurance for renters and other rental car occupants, for accidental death or dismemberment, and for medical expenses resulting from an accident that occurs with the rental car during the rental period;

2.5.c.1.B. Liability insurance that provides protection to the renters and other authorized drivers of a rental car for liability arising from the operation or use of the rental car during the rental period;

2.5.c.1.C. Personal effects insurance that provides coverage to renters and other vehicle occupants for loss of, or damage to, personal effects in the rental car during the rental period;

2.5.c.1.D. Roadside assistance and emergency sickness protection insurance; or

2.5.c.1.E. Any other coverage designated by the Insurance Commissioner.

2.5.c.2. Credit -- credit life, credit disability, credit property, credit unemployment, involuntary unemployment, mortgage life, mortgage guaranty, mortgage disability, guaranteed automobile protection insurance, or any other form of insurance offered in connection with an extension of credit that is limited to partially or wholly extinguishing that credit obligation and that is designated by the Insurance Commissioner as limited line credit insurance.

2.5.c.3. Crop insurance -- insurance providing protection against damage to crops from unfavorable weather conditions, fire or lightning, flood, hail, insect infestation, disease or other yield-reducing conditions or perils provided by the private insurance market, or that is subsidized by the Federal Crop Insurance Corporation, including Multi-Peril Crop Insurance.

2.5.c.4. Surety -- insurance or bond that covers obligations to pay the debts of, or answer for the default of another, including faithlessness in a position of public or private trust. For purpose of limited line licensing, "Surety" does not include Surety Bail Bonds.

2.5.c.5. Travel -- insurance coverage for trip cancellation, trip interruption, baggage, life, sickness and accident, disability, and personal effects when limited to a specific trip and sold in connection with transportation provided by a common carrier.

2.6. Variable Contracts.

2.6.a. No individual shall be eligible to sell or offer for sale a variable contract unless, prior to making any solicitation or sale of such a contract, he or she has a producer license for a variable contract line of authority. For the purposes of this subsection, "variable contract" means one that is required to be registered under the Federal Securities Act of 1933 (15 U.S.C. 77(a)et seq.).

2.6.b. Any individual applicant for a variable line of authority must file with the Commissioner proof of passing the Financial Industry Regulatory Authority Series 6 or 7 examination or any superseding examination that grants authority to sell variable contracts.

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