September 10, 2008, Introduced by Senators GILBERT, SANBORN and BARCIA and referred to the Committee on Economic Development and Regulatory Reform.
A bill to amend 1956 PA 218, entitled
"The insurance code of 1956,"
by amending section 1204 (MCL 500.1204), as amended by 2001 PA 228.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1204. (1) A resident individual applying for an insurance
producer license shall pass a written examination unless exempt
pursuant to section 1206b.
(2) Within a reasonable time after receipt of a properly
completed application for examination, the commissioner shall
subject the applicant to a written examination. An applicant shall
not be given an examination unless the applicant has completed a
program of study registered with the commissioner pursuant to
section 1204a. An applicant shall file a certificate of completion
of the registered program of study with the commissioner on a form
prescribed by the commissioner indicating that the course of study
was
completed by the applicant not more than 6 12 months
before the
application for examination is received by the commissioner. The
commissioner may waive the applicable examination or program of
study
requirements of this section for a person who applies meets
any of the following:
(a) Applies for a limited license as designated by the
commissioner. ;
for a person who has
(b) Has been a licensed insurance producer within the
preceding
12 months. ; for a person who has
(c) Has obtained the chartered property and casualty
underwriter designation, the chartered life underwriter
designation, certified insurance counselor designation, accredited
advisor
in insurance designation, or the chartered financial
consultant
designation, ; or for a person who has the certified
employee benefit specialist designation, the certified financial
planner designation, the fellow life management institute
designation, the life underwriting training council fellow
designation, the registered health underwriter designation, the
registered employee benefits consultant designation, the health
insurance associate designation, or the associate in risk
management designation.
(d) Has an associate's, bachelor's, or master's degree with a
concentration in insurance from an institution approved by the
commissioner.
(3) The examination shall be fair and entry level and shall
test the knowledge of the individual concerning the qualifications
for which application is made, the duties and responsibilities of
an insurance producer, and the insurance laws and regulations of
this state. Examinations required by this section shall be
developed and conducted as prescribed by the commissioner.
(4) The commissioner may make arrangements, including
contracting with an outside testing service, for administering
examinations under this section and collecting the nonrefundable
fee in section 240(1)(h) or (4).
(5) Each individual applying for an examination under this
section shall remit a nonrefundable fee as prescribed in section
240(1)(h) or (4).
(6) An individual who fails to appear for the examination
required under this section as scheduled or fails to pass the
examination shall reapply for an examination and remit all required
examination fees and forms to be rescheduled for another
examination.
(7) Each individual applying for an examination under this
section shall be requested to submit with the application for
examination all of the following:
(a) The applicant's gender.
(b) The applicant's native language.
(c) The highest level of education achieved by the applicant.
(d) The applicant's race and ethnicity.
(8) The request under subsection (7) shall contain a statement
that an applicant is not required to disclose, and will not be
penalized for failing to disclose, his or her gender, native
language, highest level of education achieved, or race and
ethnicity, and that the office of financial and insurance
regulation will use this information exclusively for research and
statistical purposes and to improve the quality and fairness of the
examination.