Senate Bill 2193 – Changes to Insurance Adjuster and Public Adjuster Licensing Requirements

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MIKE CHANEY

Commissioner of Insurance

State Fire Marshal

MARK HAIRE

Deputy Commissioner of Insurance

RICKY DAVIS

State Chief Deputy Fire Marshal

MISSISSIPPI INSURANCE DEPARTMENT

501 N. WEST STREET, SUITE 1001

WOOLFOLK BUILDING

JACKSON, MISSISSIPPI 39201

www.mid.ms.gov

MAILING ADDRESS

Post Office Box 79

Jackson, Mississippi 39205-0079

TELEPHONE: (601) 359-3569

FAX: (601) 359-2474

## MISSISSIPPI DEPARTMENT OF INSURANCE

BULLETIN 2016-7

### SENATE BILL 2193

CHANGES TO INSURANCE ADJUSTER

AND PUBLIC ADJUSTER LICENSING REQUIREMENTS

June 30, 2016

### I. Purpose.

During the 2016 Regular Legislative Session, the Mississippi Legislature passed Senate Bill 2193, which amended several provisions in the Insurance Code relating to the licensing and continuing education requirements of insurance adjusters and public adjusters. The bill also provided for a new limited lines workers' compensation adjuster license.

### II. Biennial License.

SB 2193 establishes a biennial license period for insurance adjusters and public adjusters on and after July 1, 2016. Upon issuance, these license types will expire on the last day of the month of birth of the licensee on a biennial basis.

Each new and renewal privilege license issued to an individual to act as an insurance adjuster or public adjuster shall continue from the date of issuance until the last day of the month of the licensee's birthday in the second year following issuance, with a minimum term of thirteen (13) months.

Each new and renewal privilege license issued to a business entity acting as an insurance adjuster or public adjuster shall continue from the date of issuance until May 31, in the second year following issuance or renewal of the license, with a minimum term of thirteen (13) months.

### III. Workers' Compensation Adjuster Line.

year following issuance, with a minimum term of thirteen (13) months.

Each new and renewal privilege license issued to a business entity acting as an insurance adjuster or public adjuster shall continue from the date of issuance until May 31, in the second year following issuance or renewal of the license, with a minimum term of thirteen (13) months.

### III. Workers' Compensation Adjuster Line.

The bill amends Miss. Code Ann. § 83-17-401 to establish a new limited license insurance adjuster line for workers' compensation adjusters. Workers' compensation adjuster means an adjuster whose scope of licensure is limited to workers' compensation insurance. A workers'

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compensation adjuster may not represent an insured individual. A workers' compensation adjuster must comply with all licensing and continuing education requirements as prescribed by the commissioner.

Adjusters who perform workers' compensation adjusting may have the choice to either obtain a workers' compensation adjuster license, which will limit the adjuster to only adjusting workers' compensation claims, or a property and casualty insurance adjusters license, which would allow the adjuster to adjust all property and casualty claims, including workers' compensation claims.

# IV. Prelicensing.

Pursuant to Miss. Code Ann. § 83-17-417(1)(d), every individual seeking to be licensed as an insurance adjuster in the State of Mississippi, as a condition of issuance of an original license, must furnish to the Commissioner of Insurance certification that he or she has completed an approved prelicensing course of study for the type of license requested. An applicant for an insurance adjuster license must complete twenty (20) hours of prelicensing education as approved by the Mississippi Insurance Department.

the State of Mississippi, as a condition of issuance of an original license, must furnish to the Commissioner of Insurance certification that he or she has completed an approved prelicensing course of study for the type of license requested. An applicant for an insurance adjuster license must complete twenty (20) hours of prelicensing education as approved by the Mississippi Insurance Department.

Pursuant to Miss. Code Ann. § 83-17-515(1)(c), every individual seeking to be licensed as a public adjuster in the State of Mississippi, as a condition of issuance of an original license, must furnish to the Commissioner of Insurance certification that he or she has completed an approved prelicensing course of study for the type of license requested. An applicant for a public adjuster license must complete twenty (20) hours of prelicensing education as approved by the Mississippi Insurance Department.

# V. Continuing Education.

Every individual seeking to renew his or her insurance adjuster or public adjuster license will be required to take twenty-four (24) hours of continuing education in courses approved by the Mississippi Insurance Department, including three (3) hours of ethics courses.

For license renewals occurring during the transition to a biennial license period, every individual seeking to renew an insurance adjuster license that has been in effect for a term of eighteen (18) months or less shall be required to only complete twelve (12) hours of continuing education, without an ethics requirement. Individuals seeking to renew an insurance adjuster or public adjuster license that has been in effect for a term of more than eighteen (18) months shall be required to complete twenty-four (24) hours of continuing education with the ethics requirement before the license may be renewed.

# VI. Prelicensing and Continuing Education Programs and Providers.

ng education, without an ethics requirement. Individuals seeking to renew an insurance adjuster or public adjuster license that has been in effect for a term of more than eighteen (18) months shall be required to complete twenty-four (24) hours of continuing education with the ethics requirement before the license may be renewed.

# VI. Prelicensing and Continuing Education Programs and Providers.

Formal programs requiring attendance or self-study will be considered for prelicensing or continuing education credit if the required fees are paid and they meet the standards set forth by

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the Commissioner. Courses may be approved for a period of twenty-four (24) months.

Education providers shall submit proof of each attendee's successful completion of approved prelicensing and continuing education programs to the Commissioner of Insurance in an electronic format approved by the Commissioner within fifteen (15) days of the course completion.

# VII. Fee Changes.

SB 2193 requires the following fees to be charged for these license types:

Business Entity License:

Upon each incorporated company, firm or association engaged in the business of adjusting any insured losses... $ 400.00.

Individual License:

Upon each person engaged in the business of adjusting any insured losses... $ 100.00.

# VIII. Effective Date.

The provisions contained within this Bulletin shall be effective on and after July 1, 2016.

If there are any questions concerning this Bulletin, please contact the Mississippi Department of Insurance, Licensing Division by email at licensing@mid.ms.gov or by telephone at (601) 359-3582.

MIKE CHANEY

COMMISSIONER OF INSURANCE

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