Oregon’s Department of Consumer and Business Services is proposing to permanently adopt a temporary rule that reduces fees for license examinations and reexaminations for insurance producers, adjusters and insurance consultants. DCBS also is proposing to change the biennial renewal date for individual adjuster and insurance consultant licenses from the anniversary of the license issuance date to the anniversary of the month of the licensee’s birth date.
DCBS said it temporary amended OAR 836-009-0007 in November 2007 to reduce the fees for license examinations and reexaminations issued to insurance producers, adjusters and insurance consultants. At the time, the examination and reexamination fees for a combined insurance producer license to transact property and casualty insurance or life and health insurance were reduced from $80 to $65, and for all other licenses were reduced from $70 to $55. The fees were reduced because the Insurance Division had contracted with another vendor for the examinations, and the amended fees reflect the agreement of the Division and the vendor for the costs of the examination services.
DCBS is now proposing to adopt these temporary amendments on a permanent basis. The amendments will be further clarified to reflect the fact that the vendor will charge and collect the examination fees. Failure to reduce the fees permanently will result in expiration of the temporary amendments and resumption of the fees in the underlying permanent rules, and lead to the collection of excess examination fees by the vendor, to the detriment of the examination applicants and contrary to the contract between the Division and the vendor.
Additionally, DCBS is proposing to permanently change the biennial renewal date for individual adjuster and insurance consultant licenses from the anniversary of the license issuance date to the anniversary of the month of the licensee’s birth date.
Previously, OAR 836-071-0135, relating to renewal of expired licenses, and OAR 836-071-0145, relating to renewal of amended licenses, were temporarily amended because of their references to the renewal date. It is now proposed to adopt these temporary amendments on a permanent basis.
Licenses for individual insurance producers are already renewed according to birth month, and the renewal periods for individual adjuster and insurance consultant licenses need to be correspondingly adjusted owing to changes that have occurred in the Division’s license processing procedures, DCBS indicated. The change in renewal date is also needed on its own merits. Some licensees hold an insurance producer license and either an adjuster license or an insurance consultant license, and DCBS said standardizing the license renewal dates will simplify the renewal process for these licensees and eliminate possible confusion arising from having to comply with different renewal dates.
The intention in making this change is not to shorten any current license period, DCBS said. The rule changes provide that renewal will occur in the birth month following the date on which renewal would have occurred under the rule before its amendment. Failure to change the renewal date for adjuster and insurance consultant licenses permanently will cause unnecessary difficulty and continued confusion in renewals for the Division and affected licensees alike.
To comment on the rules before they become permanent, contact DCBS. A public rulemaking hearing may be requested in writing by 10 or more people, or by an association with 10 or more members, within 21 days. Public comments on whether other options should be considered for achieving the rule’s substantive goals while reducing the negative economic impact of the rule on business must be submitted by May 9. For more information, visit www.insurance.oregon.gov/rules/prop_admin_rules.html.
Source: DCBS
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