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28th Legislature(2013-2014)

Bill Text 28th Legislature


00 Enrolled SB 214                                                                                                         
01 Relating to independent portable electronics adjuster licensing.                                                        
02                           _______________                                                                               
03    * Section 1. AS 21.27.010(j) is amended to read:                                                                   
04            (j)  This section does not apply to a person who                                                             
05                 (1)  is employed on salary or hourly wage by a person licensed under                                    
06       this section solely for the performance of accounting, clerical, stenographic, and                                
07       similar office duties;                                                                                            
08                 (2)  only secures and forwards information required for the purposes of,                                
09       and does not receive a commission for, any of the following services:                                             
10                      (A)  performing administrative services related to                                                 
11                           (i)  group life insurance;                                                                    
12                           (ii)  group property and casualty insurance;                                                  
13                           (iii)  group annuities;                                                                       
14                           (iv)  group or blanket accident and health insurance;                                         
15                      (B)  enrolling individuals under plans for the types of insurance                                  
01            or annuities specified in (A) of this paragraph;                                                             
02                      (C)  issuing certificates under plans for the types of insurance or                                
03            annuities specified in (A) of this paragraph, or otherwise assisting in                                      
04            administering those plans;                                                                                   
05                      (D)  performing administrative services related to mass-                                           
06            marketed property and casualty insurance;                                                                    
07                 (3)  is employed on salary by a licensee at the licensee's place of                                     
08       business, is supervised by and reports directly to a licensee in the firm, and who, after                         
09       explaining that the matter must be reviewed by a licensee, may                                                    
10                      (A)  furnish premium estimates from published or printed lists                                     
11            of standard rates if the person does not advise, counsel, or suggest what                                    
12            coverage may be needed, or otherwise solicit insurance coverage;                                             
13                      (B)  arrange appointments for a licensee if the person does not                                    
14            solicit insurance coverage;                                                                                  
15                      (C)  record information from an applicant or policyholder and                                      
16            complete for the licensee's personal review and signature, a certificate of                                  
17            insurance that is not a contract of insurance; the licensee's signature may be by                            
18            facsimile;                                                                                                   
19                      (D)  inform a policyholder of the type of coverage shown in the                                    
20            licensee's policy record if the person does not advise that an event or                                      
21            hypothetical event is or is not covered; or                                                                  
22                      (E)  in the physical presence of the licensee, record information                                  
23            from an applicant or policyholder and complete for a licensee's personal                                     
24            review and personal signature, applications, binders, endorsements, or                                       
25            identification cards if the person discloses to the applicant or policyholder that                           
26            the applicant or policyholder may review the matter with a licensee;                                         
27                 (4)  is an employee of an insurer or an organization employed by an                                     
28       insurer and is engaged in the inspection, rating, or classification of risks, or in the                           
29       supervision of the training of insurance producers and is not individually engaged in                             
30       the sale, solicitation, or negotiation of insurance;                                                              
31                 (5)  advertises in this state through printed publications or electronic                                
01       mass media, the distribution of which is not limited to residents of this state, if the                           
02       person                                                                                                            
03                      (A)  performs no other insurance-related activities in this state;                                 
04                      (B)  does not intend to solicit in this state; and                                                 
05                      (C)  does not sell, solicit, or negotiate insurance of risks                                       
06            resident, located, or to be performed in this state;                                                         
07                 (6)  is not a resident of this state, but sells, solicits, or negotiates                                
08       commercial property and casualty insurance for an insured with risks located in more                              
09       than one state if the person is licensed as an insurance producer in the state where the                          
10       insured maintains its principal place of business and the contract of insurance covers                            
11       risks located in that state;                                                                                      
12                 (7)  is a salaried full-time employee who counsels or advises the                                       
13       person's employer regarding the insurance interests of the employer or of the                                     
14       subsidiaries or business affiliates of the employer, if the employee does not sell or                             
15       solicit insurance or receive a commission from the sale or solicitation of insurance;                             
16                 (8)  is an employer or association or the employer's or association's                                   
17       officer, director, employee, or the trustee of an employee trust plan, if the person is not                       
18       compensated, directly or indirectly, for transacting insurance and is engaged in the                              
19       administration or operation of a plan offering employee benefits for the employer's or                            
20       association's own employees, or the employees of its subsidiaries or affiliates; to                               
21       qualify under this paragraph, the plan must include insurance for employees; [OR]                                 
22                 (9)  is an officer, director, or employee of an admitted insurer who does                               
23       not receive a commission on policies written or sold to risks resident, located, or to be                         
24       performed in this state if the officer's, director's, or employee's functions are executive,                      
25       administrative, managerial, clerical, or a combination of these and are only indirectly                           
26       related to the transaction of insurance; relate to underwriting or loss control; or are in                        
27       the capacity of an agency supervisor where the activities are limited to providing                                
28       technical assistance to insurance producers and whose activities do not include                                   
29       transacting insurance;                                                                                        
30                 (10)  is an employee of a licensed independent adjuster or an                                       
31       employee of an affiliate of a licensed independent adjuster with not more than 25                             
01       people under the supervision of one licensed independent adjuster or licensed                                 
02       producer who collects or furnishes claim information for portable electronics                                 
03       insurance issued under AS 21.36.515 to insureds or claimants and enters the                                   
04       information into an automated claims adjudication system; the automated claims                                
05       adjudication system must be a preprogrammed computer system designed for the                                  
06       collection, data entry, calculation, and final resolution of portable electronics                             
07       insurance claims that                                                                                         
08                      (A)  may be used only by a licensed independent adjuster,                                      
09            licensed agent, or supervised individuals operating under this section;                                  
10                      (B)  must comply with the claims payment requirements of                                       
11            this title; and                                                                                          
12                      (C)  must be certified as compliant with this paragraph by a                                   
13            licensed independent adjuster that is an officer of a licensed entity under                              
14            this chapter.                                                                                            
15    * Sec. 2. AS 21.27.270 is amended by adding new subsections to read:                                               
16            (h)  A nonresident applicant for an independent adjuster license who only                                    
17       adjusts claims related to portable electronics insurance under AS 21.36.515 and who is                            
18       licensed as an independent adjuster and in good standing in the applicant's home state                            
19       does not have to meet the requirements of AS 21.27.060 or 21.27.830 to be licensed                                
20       under this section. A resident of Canada may not be licensed as an independent                                    
21       adjuster under this section unless the applicant has obtained a resident independent                              
22       adjuster license in another state or declared another state the applicant's home state                            
23       and obtained an independent adjuster license in that state.                                                       
24            (i)  If a nonresident independent portable electronics adjuster applicant's home                             
25       state does not license independent adjusters, the independent portable electronics                                
26       adjuster applicant may designate the applicant's home state as any state in which the                             
27       applicant is licensed in good standing.                                                                           
28    * Sec. 3. AS 21.27.330(a) is amended to read:                                                                      
29            (a)  A person licensed under this chapter shall have and maintain at least one                               
30       place of business that is physically accessible to the public in this state unless the                            
31       person holds a nonresident license and principally conducts transactions in another                               
01       state. However, the nonresident licensee must have at least one physically accessible                             
02       place in the nonresident licensee's home state. The requirements of this subsection do                            
03       not apply to a nonresident independent portable electronics adjuster that has                                 
04       designated a state or territory other than the nonresident adjuster's resident state                          
05       as the nonresident adjuster's home state or to a licensee who only conducts                                   
06       business in life or health insurance or annuities.                                                                
07    * Sec. 4. AS 21.27.900(10) is amended to read:                                                                     
08                 (10)  "home state," with respect to                                                             
09                      (A)  an insurance producer, means the District of Columbia or                                  
10            a state or territory of the United States in which an insurance producer                                     
11            maintains the producer's principal place of residence or principal place of                                  
12            business and is licensed to act as an insurance producer;                                                
13                      (B)  an independent portable electronics adjuster, means the                                   
14            District of Columbia or a state or territory of the United States in which                               
15            an independent portable electronics adjuster maintains the independent                                   
16            portable electronics adjuster's principal place of residence or principal                                
17            place of business and is licensed to act as an independent adjuster or, if                               
18            the state or territory of the United States of the independent portable                                  
19            electronics adjuster's principal place of residence or principal place of                                
20            business does not license independent adjusters, the state or territory of                               
21            the United States designated by the independent portable electronics                                     
22            adjuster where the independent portable electronics adjuster is licensed;                                
23    * Sec. 5. AS 21.27.900 is amended by adding a new paragraph to read:                                               
24                 (31)  "independent portable electronics adjuster" means an independent                                  
25       adjuster who collects, furnishes, or enters claim information for portable electronics                            
26       insurance issued under AS 21.36.515.                                                                              
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