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Public Act 100-0876
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| SB2513 Enrolled | LRB100 17072 SMS 32223 b |
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AN ACT concerning regulation.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Illinois Insurance Code is amended by adding |
Section 401.3 and by changing Section 500-35 as follows:
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(215 ILCS 5/401.3 new) |
Sec. 401.3. Advisory council; powers and duties. There is |
created within the Department an advisory council to review and |
make recommendations to the Department regarding rules to be |
adopted with respect to continuing education courses for which |
the approval of the Department is required under the provisions |
of this Code. In addition, the advisory council shall make |
recommendations to the Department regarding rules with respect |
to course materials, curriculum, and credentials of |
instructors. |
The advisory council shall be comprised of 7 members |
appointed by the Director. One member shall be an educational |
instructor who has regularly provided educational offerings |
for more than 5 out of the last 10 years to individuals |
licensed under this Code. Three members shall be recommended by |
the leadership of 3 statewide trade organizations whose |
memberships are primarily composed of individuals licensed |
under this Code, none of which may come from the same |
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organization. Three members shall represent a domestic |
company. |
The members' terms shall be 3 years or until their |
successors are appointed, and the expiration of their terms |
shall be staggered. No individual may serve more than 3 |
consecutive terms. |
The Director shall appoint an employee of the Department to |
serve as the chairperson of the advisory council, ex officio, |
without a vote. |
Four voting advisory council members shall constitute a |
quorum. A quorum is necessary for all advisory council |
decisions and recommendations.
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(215 ILCS 5/500-35)
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(Section scheduled to be repealed on January 1, 2027)
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Sec. 500-35. License.
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(a) Unless denied a license pursuant to Section 500-70, |
persons who have met
the
requirements of Sections 500-25 and |
500-30 shall be issued a 2-year insurance
producer license.
An |
insurance producer may receive qualification for a license in |
one or more of
the following
lines of authority:
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(1) Life: insurance coverage on human lives including |
benefits of
endowment
and annuities, and may include |
benefits in the event of death or dismemberment
by
accident |
and benefits for disability income.
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(2) Variable life and variable annuity products: |
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insurance coverage
provided
under variable life insurance |
contracts and variable annuities.
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(3) Accident and health or sickness: insurance |
coverage for sickness,
bodily
injury, or accidental death |
and may include benefits for disability income.
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(4) Property: insurance coverage for the direct or |
consequential loss or
damage to property of every kind.
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(5) Casualty: insurance coverage against legal |
liability, including that
for
death, injury, or disability |
or damage to real or personal property.
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(6) Personal lines: property and casualty insurance |
coverage sold to
individuals and families for primarily |
noncommercial purposes.
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(7) Any other line of insurance permitted under State |
laws or rules.
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(b) An insurance producer license shall remain in effect |
unless revoked or
suspended
as long as the fee set forth in |
Section 500-135 is paid and education
requirements for resident
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individual producers are met by the due date.
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(1) Before each license renewal, an insurance producer |
must satisfactorily
complete at least 24 hours of course |
study in accordance with rules prescribed
by the
Director. |
Three of the 24 hours of course study must consist of |
classroom or webinar ethics instruction. The Director may |
not approve a course of study unless the course
provides |
for
classroom, seminar, webinar, or self-study instruction |
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methods. A course given in a
combination
instruction method |
of classroom, seminar, webinar, or self-study shall be |
deemed to
be a self-study course unless the classroom, |
seminar, or webinar certified hours meets
or exceeds |
two-thirds
of total hours certified for the course. The |
self-study material used in the
combination
course must be |
directly related to and complement the classroom portion of |
the
course in
order to be considered for credit. An |
instruction method other than classroom
or seminar
shall be |
considered as self-study methodology. Self-study credit |
hours
require the
successful completion of an examination |
covering the self-study material. The
examination may not |
be self-evaluated. However, if the self-study material is
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completed
through the use of an approved computerized |
interactive format whereby the
computer
validates the |
successful completion of the self-study material, no |
additional
examination
is required. The self-study credit |
hours contained in a certified course shall
be considered
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classroom hours when at least two-thirds of the hours are |
given as classroom or
seminar
instruction.
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(2) An insurance producer license automatically |
terminates when an
insurance
producer fails to |
successfully meet the requirements of item (1) of |
subsection
(b) of this
Section. The producer must complete |
the course in advance of the renewal date
to allow
the |
education provider time to report the credit to the |
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Department.
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(c) A provider of a pre-licensing or continuing education |
course required
by Section
500-30 and this Section must pay a |
registration fee and a course certification
fee for each course
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being certified as provided by Section 500-135.
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(d) An individual insurance producer who allows his or her |
license to lapse
may,
within 12 months after the due date of |
the renewal fee, be issued a license
without the necessity
of |
passing a written examination. However, a penalty in the amount |
of double
the unpaid renewal
fee shall be required after the |
due date.
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(e) A licensed insurance producer who is unable to comply |
with license
renewal
procedures due to military service may |
request a waiver of those procedures.
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(f) The license must contain the licensee's name, address, |
and personal
identification
number, the date of issuance, the |
lines of authority, the expiration date, and
any other
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information the Director deems necessary.
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(g) Licensees must inform the Director by any means |
acceptable to the
Director of a
change of address within 30 |
days after the change.
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(h) In order to assist in the performance of the Director's |
duties, the
Director may
contract with a non-governmental |
entity including the National Association of
Insurance
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Commissioners (NAIC), or any affiliates or subsidiaries that |
the NAIC oversees,
to perform any
ministerial functions, |