Compliance Updates

FINRA:

FINRA is proposing to adopt FINRA Rule 1230(b)(6) to establish a registration category and qualification examination requirement for certain operations personnel. The proposed rule change also would adopt continuing education requirements for such operations personnel and adopt NASD Rule 1120 (Continuing Education Requirements). Generally, covered persons would be those persons who are directly responsible for overseeing that tasks within the covered functions are performed correctly in accordance with industry rules, firm protocols, policies and procedures, and who are charged with protecting the functional and control integrity of the covered functions for a member.

Connecticut:

The Commissioner has announced that beginning August 1,2011 application for licensing will be accepted and processed only online, this is another move the Department is making toward greater efficiency and most cost-savings for the state. The Commissioner noted that the Department already allows licensees to print their licenses online, resulting in postage, printing and other savings to the state. Beginning August 1, applications must be completed online at CID Licenses Online. For more information on the August 1 licensing change, contact the CID Licensing Division at 860-297- 3845 or by e-mail at  id.licensing@ct.gov Non-resident producer applications must be completed at National Insurance Producer Registry (NIPR) and both resident and non-resident producer renewals must be completed at National Insurance Producer Registry (NIPR).

Nevada:

The Nevada Division of Insurance will mail the 2011 Annual Appointment Renewal Invoices and the Detailed Appointment List on June 28, 2011. The invoices will be sent to the insurer’s mailing address on record with the Division. The invoices are due September 1, 2011. The amount of the invoice must be paid in full. Pursuant to Nevada Revised Statute 680A.200, any insurer failing to pay the appointment invoice by the due date may be assessed an administrative fine of not more than $2,000 for each act or violation.

Arizona:

Effective immediately, Arizona Non-Resident Adjuster licenses will not be available for electronic licensing until further notice. Please submit all non-resident adjuster license applications directly to the state via paper application. The following website provides instructions for applying by paper. http://www.azinsurance.gov/producers/prod_get_apply_paper.html Please contact NIPR Customer Service at customerservice@nipr.com with any questions or for additional information.

Maine:

Only the insured’s Home State may require a surplus lines producer to be licensed to sell, solicit, or negotiate nonadmitted insurance with respect to a particular placement.17 If Maine is the insured’s Home State, the surplus lines producer must be licensed in Maine. The NRRA provides that Maine may not collect licensing fees for surplus lines producers on or after July 21, 2012, unless Maine participates in the NAIC’s national insurance producer database or any other equivalent uniform national database.18 15 U.S.C. § 8203. Maine complies with this requirement by participating in the National Insurance Producer Registry (NIPR).