2006 Louisiana Laws - RS 22:1141 — Temporary licensing

§1141.  Temporary licensing

A.  The commissioner of insurance may issue a temporary insurance producer license for a period not to exceed one hundred eighty days without requiring an examination if the commissioner deems that the temporary license is necessary for the servicing of an insurance business in the following cases:

(1)  To the surviving spouse or next of kin, or to the administrator or executor or employee of a licensed insurance producer who is deceased, or to the spouse, next of kin, employee, legal guardian, or other court-appointed personal representative of a licensed insurance producer who becomes mentally or physically disabled, to allow adequate time for the sale of the insurance business owned by the producer, or for the recovery or return of the producer to the business, or to provide for the training and licensing of new personnel to operate the producer's business.

(2)  To a member or employee of a business entity licensed as an insurance producer, upon the death or disability of an individual designated in the business entity application or the license.

(3)  To the designee of a licensed insurance producer entering active service in the armed forces of the United States of America.

(4)  In any other circumstance where the commissioner deems that the public interest will best be served by the issuance of this license.

B.  The commissioner of insurance may by order limit the authority of any temporary licensee in any way deemed necessary to protect insureds and the public.  The commissioner may require the temporary licensee to have a suitable sponsor who is a licensed producer or insurer and who assumes responsibility for all acts of the temporary licensee, and may impose other similar requirements designed to protect insureds and the public.  The commissioner may by order revoke a temporary license if the interest of insureds or the public are endangered.  A temporary license may not continue after the owner or the personal representative disposes of the business.

C.(1)  The authority to act as a home service life insurance producer shall be granted to an applicant by the commissioner for a time period to commence with the date of certified mailing of the license application by the insurer and shall terminate upon the issue or denial of a permanent license.  The sponsoring insurer must certify that the applicant will be primarily engaged in the selling and servicing of guaranteed life insurance products on the basis set forth in the home service marketing distribution system as defined in Paragraph (2) of this Subsection.  The insurer must have a reasonable expectation that the applicant meets the requirements for licensure set forth in R.S. 22:1136(A).  For the purpose of limiting the authority contained herein, a guaranteed life insurance product means a policy in which the premiums, face amount of coverage, and nonforfeiture values, if any, are guaranteed at issue by its provisions.

(2)  "Home service marketing distribution system" means a system of marketing insurance products in which fifty percent or more of the premium income is derived from policies of insurance which are sold, serviced, or collected by producers visiting in the home or business of the insured, owner, or premium payor and in which policies are issued on a monthly or more frequent premium payment basis or by single premium payment and in which the producer is charged and debited with the responsibility for collection of the premium payments.

Acts 2001, No. 158, §1, eff. Jan. 1, 2002.