CHAPTER 4008. AGENT CERTIFICATION AND EDUCATION PROGRAMS FOR COMPLEX INSURANCE PRODUCTS
INSURANCE CODE
TITLE 13. REGULATION OF PROFESSIONALS
SUBTITLE A. GENERAL PROVISIONS
CHAPTER 4008. AGENT CERTIFICATION AND EDUCATION PROGRAMS FOR
COMPLEX INSURANCE PRODUCTS
Sec. 4008.001. PURPOSE. Certain insurance products are so
complex that the general agent licensing and continuing education
requirements are insufficient to ensure the level of agent
expertise necessary to safeguard consumer interests. Agents
should be equipped with the necessary skills and knowledge to
assist insureds appropriately in their purchases. Requiring
agent training or demonstration of knowledge before an agent may
sell particularly complex products mitigates the negative impact
caused by agents selling complex products without the training
and knowledge necessary to sell those products in a manner that
is fair and beneficial to insureds.
Added by Acts 2009, 81st Leg., R.S., Ch.
451, Sec. 5, eff. June 19, 2009.
Sec. 4008.002. TRAINING AND EXAMINATION REQUIREMENTS AUTHORIZED.
(a) The commissioner may adopt rules requiring an agent who
holds a license issued under this code to be certified, through
specific education, training, examination, and experience
requirements as provided by this chapter, before an agent may
sell a product or product line designated by the commissioner.
(b) Education, training, examination, and experience
requirements established by rule under this chapter may be used
to satisfy any other agent education, training, examination, and
experience requirements otherwise established under this code.
Added by Acts 2009, 81st Leg., R.S., Ch.
451, Sec. 5, eff. June 19, 2009.
Sec. 4008.003. RULES. (a) In adopting rules under this
chapter, the commissioner shall:
(1) designate the products or product lines that may not be sold
without certification under this chapter; and
(2) specify the reasons why it is necessary that the sale of a
designated product or product line requires education,
experience, or examination.
(b) By rule, the commissioner may specify:
(1) any precertification education or experience that must be
completed before a designated product or product line may be sold
by an agent;
(2) whether an agent must complete a precertification
examination concerning the designated product or product line the
agent intends to sell;
(3) whether an agent certified under this chapter must complete
specific continuing education to maintain the certificate; and
(4) whether, and if so, how frequently, an agent certified under
this chapter must periodically retake the examination to maintain
the certificate.
Added by Acts 2009, 81st Leg., R.S., Ch.
451, Sec. 5, eff. June 19, 2009.
Sec. 4008.004. APPLICATION OF CERTIFICATION REQUIREMENTS TO
CERTAIN AGENTS. (a) The commissioner by rule shall establish
whether the certification requirements established under this
chapter for sale by an agent of a designated product or product
line apply:
(1) only to an agent who, as of the effective date of the
certification requirement, does not hold the underlying agent
license required to sell that product or product line; or
(2) to each licensed agent who engages in the sale of that
product or product line.
(b) If the commissioner adopts rules requiring each agent
described by Subsection (a)(2) to be certified under this
chapter, the rules must specify the date by which the agent must
comply with the certification requirements.
Added by Acts 2009, 81st Leg., R.S., Ch.
451, Sec. 5, eff. June 19, 2009.
Sec. 4008.005. ISSUANCE OF CERTIFICATE. The department shall
issue a certificate under this chapter to an agent if the
department determines that the agent:
(1) has submitted a properly completed certification application
to the department in a form acceptable to the department;
(2) has completed, within the 12-month period preceding the date
of the certification application, all requirements for the
certification required by rules adopted under this chapter; and
(3) has not committed an act for which a license or
certification may be denied under Subchapter C, Chapter 4005.
Added by Acts 2009, 81st Leg., R.S., Ch.
451, Sec. 5, eff. June 19, 2009.
Sec. 4008.006. CERTIFICATE EXPIRATION. Unless the commissioner
by rule specifies a different period, each certificate issued
under this chapter expires on the expiration date of the agent's
appropriate underlying license.
Added by Acts 2009, 81st Leg., R.S., Ch.
451, Sec. 5, eff. June 19, 2009.
Sec. 4008.007. CERTIFICATE RENEWAL. (a) An agent may renew an
unexpired certificate before the expiration of the certificate
by:
(1) completing all renewal requirements established by rule
under this chapter; and
(2) filing a properly completed renewal application with the
department in a form acceptable to the department.
(b) A person may not renew a certificate that has been suspended
or revoked.
Added by Acts 2009, 81st Leg., R.S., Ch.
451, Sec. 5, eff. June 19, 2009.
Sec. 4008.008. ADMINISTRATION BY TESTING SERVICE AUTHORIZED.
The commissioner may accept an examination administered by a
testing service, as provided under Subchapter B, Chapter 4002, to
satisfy an examination requirement required by rule under this
chapter.
Added by Acts 2009, 81st Leg., R.S., Ch.
451, Sec. 5, eff. June 19, 2009.