H*4711(Rat #0419, Act #0374)  General Bill, By Harvin
 A Bill to amend Section 38-43-106, as amended, Code of Laws of South Carolina,
 1976, relating to continuing education requirements for insurance agents and
 the advisory committee for continuing education courses, so as to add to the
 membership of the committee one representative from the South Carolina
 Association of Health Underwriters.

   02/09/94  House  Introduced and read first time HJ-31
   02/09/94  House  Referred to Committee on Labor, Commerce and
                     Industry HJ-31
   03/02/94  House  Committee report: Favorable Labor, Commerce and
                     Industry HJ-4
   03/30/94  House  Read second time HJ-91
   04/05/94  House  Read third time and sent to Senate HJ-60
   04/06/94  Senate Introduced, read first time, placed on calendar
                     without reference SJ-6
   04/07/94  Senate Read second time SJ-21
   04/19/94  Senate Read third time and enrolled SJ-14
   04/27/94         Ratified R 419
   05/02/94         Signed By Governor
   05/02/94         Effective date 05/02/94
   05/10/94         Copies available

AN ACT TO AMEND SECTION 38-43-106, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CONTINUING EDUCATION REQUIREMENTS FOR INSURANCE AGENTS AND THE ADVISORY COMMITTEE FOR CONTINUING EDUCATION COURSES, SO AS TO ADD TO THE MEMBERSHIP OF THE COMMITTEE ONE REPRESENTATIVE FROM THE SOUTH CAROLINA ASSOCIATION OF HEALTH UNDERWRITERS.

Be it enacted by the General Assembly of the State of South Carolina:

Advisory Committee; membership increased

SECTION 1. Section 38-43-106(C) of the 1976 Code, as added by Act 141 of 1991 and last amended by Section 661 of Act 181 of 1993, is further amended to read:

"(C) The Chief Insurance Commissioner shall administer these continuing education requirements and shall approve courses of instruction which qualify for these purposes. In administering this program, the commissioner, in his discretion, may promulgate regulations whereby agents provide to a continuing education administrator established within the Department of Insurance proof of compliance with continuing education requirements as a condition of license renewal or, in the alternative, contract with an outside service provider to provide recordkeeping services as the continuing education administrator. The costs of the continuing education administrator must be paid from the continuing insurance education fees paid by agents in the manner provided by this section, except that course approval responsibilities may not be designated to the continuing education administrator. The continuing education administrator shall compile and maintain, in conjunction with insurers and agents, records reflecting the continuing insurance education status of all licensed or qualified agents subject to the requirements of this section. The continuing education administrator shall furnish to the insurer, within ninety days of the agent's renewal date, as specified by regulation, a report of the continuing insurance education status of all of its agents. All licensed agents shall provide evidence of their continuing insurance education status to the continuing education administrator at least one hundred twenty days before the annual renewal date. Any continuing insurance education approved courses taken subsequent to one hundred twenty days before the renewal date must be applied to the following biennial continuing insurance education required period.

The commissioner shall promulgate regulations prescribing the overall parameters of continuing education requirements, and these regulations shall expressly authorize the commissioner to recognize product-specific training offered by insurers, subject to those parameters and guidelines as are promulgated by the regulations. The commissioner shall appoint an advisory committee to make recommendations with respect to courses offered for approval, but the commissioner shall retain authority with respect to course approvals, subject to those regulations as are promulgated. When the advisory committee is approved, it shall meet regularly as needed, but no less than semiannually, to review new course applications. Also, the advisory committee shall review modifications of courses previously approved and review previously promulgated regulations to make recommendations regarding any need for modifications, deletions, or new regulations. The advisory committee must be comprised of two representatives from each of the following associations, groups, or categories:

(1) the Carolina's Association of Professional Insurance Agents;

(2) the Independent Insurance Agents of South Carolina;

(3) the South Carolina Association of Automobile Insurance Agents; (4) the South Carolina Association of Life Underwriters;

(5) the Association of South Carolina Life Insurance Companies;

(6) the Direct Writers Insurance Companies;

(7) the Association of South Carolina Property and Casualty Insurance Companies; and

(8) insurers that are not members of national insurance trade associations.

The advisory committee must also be comprised of one representative from the South Carolina Association of Health Underwriters.

Advisory committee members must be appointed by the commissioner from recommendations made by the respective associations, groups, or categories to the commissioner."

Time effective

SECTION 2. This act takes effect upon approval by the Governor.

Approved the 2nd day of May, 1994.