CHAPTER 4056. NONRESIDENT AGENTS
INSURANCE CODE
TITLE 13. REGULATION OF PROFESSIONALS
SUBTITLE B. AGENTS
CHAPTER 4056. NONRESIDENT AGENTS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 4056.001. APPLICABILITY OF TITLE. This title applies to
licensing of a nonresident agent under this chapter.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.002. RIGHTS OF LICENSE HOLDERS. Except as otherwise
specifically provided by this code, an individual who is not a
resident of this state and to whom a license is issued under this
chapter has the same rights and privileges as a resident license
holder.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.003. RECIPROCAL LICENSING AGREEMENTS. The
commissioner may enter into an agreement with the appropriate
official of another state as necessary to implement reciprocal
licensing of nonresident agents.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.004. HOME OFFICE EMPLOYEES. This chapter does not
affect the authority established under Subchapter G, Chapter
4051, of a full-time home office salaried employee of an insurer
authorized to engage in the business of insurance in this state.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.005. RULES. The commissioner may adopt rules as
necessary to implement this subchapter and Subchapter B and to
meet the minimum requirements of federal law, including
regulations.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
SUBCHAPTER B. NONRESIDENT AGENT LICENSE
Sec. 4056.051. APPLICATION FOR NONRESIDENT AGENT LICENSE;
CRIMINAL HISTORY. (a) To apply for a license to act as a
nonresident agent, a person who is not a resident of this state
must submit to the department:
(1) an application on a form prescribed by the department; and
(2) the nonrefundable license application fee.
(b) An applicant who does not hold an insurance agent's license
in the applicant's state of residence must, through the law
enforcement agency of the state of residence, submit to the
department a copy of the applicant's criminal history records.
The department shall use the criminal history records to
determine the applicant's eligibility for issuance of a license
in accordance with this title and other laws of this state.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.052. ISSUANCE OF LICENSE TO NONRESIDENT AGENT LICENSED
IN OTHER STATE. (a) The department shall issue a license to an
applicant under this chapter if:
(1) the applicant holds a license in good standing as an agent
in the applicant's state of residence; and
(2) the applicant's state of residence will grant a nonresident
agent license on a reciprocal basis to a resident agent of this
state.
(b) The department may issue a reciprocal nonresident agent
license to an applicant if the authority granted by the license
issued by the applicant's state of residence is generally
comparable to the authority granted by a license issued by this
state.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.053. ISSUANCE OF LICENSE TO NONRESIDENT AGENT NOT
LICENSED IN OTHER STATE. The department shall issue a license to
an applicant under this chapter if the applicant has:
(1) passed the examination for an agent's license required under
this title;
(2) met the eligibility requirements for issuance of a license
after an examination of the applicant's criminal history records
under Section 4056.051(b); and
(3) satisfied the requirements for a license for an individual
under this code, including Subchapter C, Chapter 4001.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.054. ISSUANCE OF LICENSE TO CORPORATION OR
PARTNERSHIP. The department shall issue a license to an
applicant under this chapter if the applicant has satisfied the
requirements for a license for a corporation or partnership under
Subchapter C, Chapter 4001.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.055. WAIVER OF REQUIREMENTS FOR NONRESIDENT AGENT
LICENSED IN OTHER STATE OR JURISDICTION. The department may
waive any license requirement for an applicant who holds a valid
license from another state or jurisdiction if:
(1) that state or jurisdiction has license requirements
substantially equivalent to those of this state; or
(2) the waiver is necessary to promote reciprocal licensing of
nonresident agents among a majority of the states.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.056. RESTRICTIONS ON LINE OF INSURANCE BUSINESS FOR
RECIPROCAL NONRESIDENT AGENT LICENSE. A nonresident agent
licensed under Section 4056.052 may not act as a nonresident
agent for a line of insurance business in this state unless the
agent is authorized in the agent's state of residence to act in
that state as an agent for that line of insurance business.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.057. CONTINUING EDUCATION. (a) The continuing
education requirements imposed under Chapter 4004 do not apply to
a person who:
(1) holds a license issued under this chapter; and
(2) is in compliance with the continuing education requirements
of the person's state of residence.
(b) A person who holds a license issued under this chapter and
who does not hold an insurance agent's license in the person's
state of residence shall comply with the continuing education
requirements imposed under Chapter 4004.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.
Sec. 4056.058. SERVICE OF PROCESS. The commissioner is the
agent for service of process in the manner provided by Subchapter
C, Chapter 804, in a legal proceeding against a nonresident agent
who holds a license issued under this chapter if:
(1) the nonresident agent does not appoint or maintain an agent
for service in this state;
(2) an agent for service is appointed but cannot with reasonable
diligence be found; or
(3) the license of the nonresident agent is revoked.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. April 1,
2005.