SB-1344, As Passed House, December 11, 2008

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SENATE BILL No. 1344

 

 

May 28, 2008, Introduced by Senators SANBORN, BARCIA, GLEASON, BISHOP, ALLEN and CROPSEY 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 1205 (MCL 500.1205), as amended by 2001 PA 228.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1205. (1) A person applying for a resident insurance

 

producer license shall file with the commissioner the uniform

 

application required by the commissioner and shall declare under

 

penalty of refusal, suspension, or revocation of the license that

 

the statements made in the application are true, correct, and

 

complete to the best of the individual's knowledge and belief. An

 

application for a resident insurer producer license shall not be

 

approved unless the commissioner finds that the individual meets

 


all of the following:

 

     (a) Is at least 18 years of age.

 

     (b) Has not committed any act that is a ground for denial,

 

suspension, or revocation under section 1239 listed in section

 

1239(1).

 

     (c) As required under section 1204(2), has completed a

 

prelicensing course of study for the qualifications for which the

 

person has applied.

 

     (d) Has paid the fees applicable to the individual under

 

section 240.

 

     (e) Has successfully passed the examination required for each

 

qualification for which the person has applied.

 

     (2) A business entity acting as an insurance producer shall

 

obtain an insurance producer license. A business entity applying

 

for an insurance producer license shall file with the commissioner

 

the uniform business entity application required by the

 

commissioner. An application for an insurance producer license

 

under this subsection shall not be approved unless the commissioner

 

finds all of the following:

 

     (a) The business entity has paid the fees under section

 

240(1)(d).

 

     (b) The business entity has designated an individual licensed

 

producer responsible for the business entity's compliance with this

 

state's insurance laws, rules, and regulations.

 

     (c) The business entity has not committed any act that is

 

grounds for denial, suspension, or revocation under section 1239

 

listed in section 1239(1).

 


     (3) The commissioner may require the production of any

 

documents reasonably necessary to verify the information contained

 

in an application.

 

     (4) Each insurer that sells, solicits, or negotiates any form

 

of limited line credit insurance shall provide to each individual

 

whose duties will include selling, soliciting, or negotiating

 

limited line credit insurance a program of instruction that may be

 

approved by the commissioner.