CHAPTER 142
FORMERLY
HOUSE BILL NO. 280
AS AMENDED BY HOUSE AMENDMENT NO. 1
AN ACT TO AMEND CHAPTERS 7, 17 AND 61 OF TITLE 18 DELAWARE CODE BY PROVIDING FOR ONE-TIME LICENSING AND APPOINTMENTS OF INSURANCE AGENTS, BROKERS, SURPLUS LINES BROKERS, CONSULTANTS AND FRATERNAL REPRESENTATIVES, CHANGING THE FEES THEREFOR AND DELETING REFERENCES TO LIMITED REPRESENTATIVES.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE (three-fifths of all the members elected to each House thereof concurring therein):
Section 1. Amend Section 701, Chapter 7, Title 18 by striking present subsections (5), (6), (7), (8), (9), (10) (11), and (12), and substituting the following in lieu thereof:
"(5) Agents (§1702 of this title)
a. Permanent certificate of authority $30.00
b. One- time appointment of agent (§1714 of this title), each insurer $15.00
c. Interim agent's license (§171I of this title) $10.00
d. Temporary license (§17I2 of this title), each 90 day period $10.00
(6) Brokers (§1703 of Ulls title)
a. Permanent certificate of authority $60.00
b. Temporary License (§17I2 of this title) each 90-day period $20.00
(7) Surplus lines broker (§1702 of this title)
a. Permanent certificate of authority $150.00
b. Temporary license (§1712 of this title) each 90 day period $50.00
(8) Consultant (§1705 of this title)
a. Permanent certificate of authority $150.00
b. Temporary licetue (§17I2 of this title, each
90- day period $50.00
(9) Fraternal representative (§1707 of this title)
a. Permanent certificate of authority $10.00
b. One. time appointment of fraternal representative (§1714 of this title), each society or association $10.00
(10) Adjuster (S1708 of this title)
a: Permanent certificate of authority $30.00
(11) Motor vehicle appraiser (§1709 of this title)
a. Permanent certificate of authority $30.00
Section 2. Further Amend Section 701, Chapter 7, Title 18, Delaware Code by redesignating subsections (13) through (25) as subsections (12) through (24).
Section 3. Amend Section 1701 (a), Chapter 17,Titie 18, Delaware Code by striking the words "limited representatives,"
Section 4. Amend Section 1706, Chapter 17, Title 18, Delaware Code by striking said Section in its entirety.
Section 5. Amend Section 1713, Chapter 17, Title 18, Delaware Code by striking the present subsection (c) and substituting in lieu thereof the following:
"(c) The certificate of authority shall be valid and effective unless and until:
(1) Licensee fails to complete the minimum continuing education credit units prescribed by regulation for license continuation, or licenses otherwise ceases to be qualified to hold such certificate of authority; and/or
(2) The certificate is revoked or terminated pursuant to Section 1732 of this title."
Section 6. Further Amend Section 1713, Chapter 17, Title 18, Delaware Code by adding a new subsection (J) to read as follows:
"(1) Any certificate of authority as a limited representative shall be converted to a certificate of authority as an agent as of the effective date of this section."
Section 7. Amend subsections (a) and (b), Section 1714, Chapter 17, Title 18, Delaware Code by striking the words "limited or" from said subsections.
Section 8. Further Amend Section 1714, Chapter 17, Title 18. Delaware Code by adding a new subsection (c) to read as follows:
"(c) Each insurer shall notify the Commissioner, in writing, simultaneous with notifying an agent of termination of an appointment. Failure to notify the Commissioner shall result in a non rebuttable presumption that the agent or fraternal representative continues to be authorized to bind the insurer."
Section 9. Amend Section 1715, Chapter 17, Title 18, Delaware Code by striking subsection (b) In its entirety, and redesignating present subsections (c) through (f) as new subsections (b) through (e).
Section 10. Amend Section 1716,Chapter 17. Title 18, Delaware Code by striking the words "limited or" before the word "fraternal" and after the word "broker", as they appear therein.
Section II. Amend subsection (1). Section 1716, Chapter 17, Title 18, Delaware Code by striking the words "surplus lines broker or limited representative," before the word "if" and after the word "broker and substituting in lieu thereof the words "or surplus lines broker,".
Section 12. Amend subsection (a), Section 1720, Chapter 17, Title 18, Delaware Code by striking the words "limited or" before the word "fraternal" and after the word "agent." as they appear therein.
Section 13. Amend subsection (a) (5), 51720, Chapter 17, Title 18, Delaware Code by striking said subsection in its entirety and substituting in lieu thereof the following:
"(5) Certify that the applicant does not intend to use the certificate of authority or license principally for the purpose of writing controlled business as defined In Section 1729 of this title."
Section 14. Amend subsection (b), Section 1721, Chapter 17, Title 18, Delaware Code by adding the word "or" between the words "broker," and "agent," and striking the words "or limited representative" in said subsection.
Section 15. Amend Section 1722, Chapter 17. Title 18, Delaware Code by striking said Section in its entirety and substituting in lieu thereof the following:
"1722. Nonresident certificate of authority; fees.
Notwithstanding any other provision of this Title, every applicant for a non-resident certificate of authority shall be subject to the same fees u a resident applicant."
Section 16. Amend subsection (6) Section 1723, Chapter 17, Title 18, Delaware Code by striking said subsection in its entirety and redesignating current subsections (7) and (8) as new subsections (6) and (7).
Section 17. Amend subsection (a), Section 1726, Chapter 17, Title 18, Delaware Code by striking he words "limited and/or" before the word "fraternal" and after the word "broker," u they appear therein.
Section 18. Amend subsection (a) (3), Section 1727, Chapter 17, Title 18, Delaware Code by striking the word "limited" before the word "fraternal" and after the word "agent," u they appear therein.
Section 19. Amend subsection (c) (3), 0727, Chapter 17, Title 18, Delaware Code by striking said subsection in its entirety, and substituting in Lieu thereof the following:
"(3) The licensee fails to complete the mininaun continuing education requirements established by regulation."
Section 20. Amend subsection (g), Section 1727, Chapter 17, Title 18, Delaware Code by striking the words "limited and" before the word "fraternal" and after the word "or" u they appear therein.
Section 21. Amend subsection (h), Section 1727, Chapter 17, Title 18, Delaware Code by striking the word "limited" before the word "or" and after the word "agents," u they appear therein.
Section 22. Amend subsection (a), Section 1730, Chapter 17, Title 18, Delaware Code by adding the word "or" between the word "broker," and "consultant"; and by striking the words "or limited insurance representative" before the word "within" and after the word "broker" u they appear therein.
Section 23. Amend subsection (e), Section 1730, Chapter 17, Title 18, Delaware Code by striking the word "limited" before the word "or" and after the word "agent," u they appear therein.
Section 24. Amend Section 6128, Chapter 61, Title 18, Delaware Code by striking subsection (e) (1) in its entirety and substituting in lieu thereof the following:
"(e) Issuance of insurance agents' licenses.
(1) The Commissioner may Issue a license to any person who has paid the fees specified under Section 701 of this Title and who hu complied with the requirements of this section."
Section 25. Amend subsection (e). Section 6128, Chapter 61, Title 18, Delaware Code by striking subsections (5), (6), and (7) In their entirety.
Section 26. "Effective Date. This Act shall become effective September 15, 1985"
Approved July 4, 1985.