Claims Licensing Advancement for Interstate Matters Act or the CLAIM Act
This bill authorizes an independent insurance claims adjuster to apply to the National Association of Registered Agents and Brokers for Membership for the purpose of licensure in any state that requires a license for such adjusters that is not among such states that have enacted, within four years of this Act's enactment: (1) uniform laws and regulations governing the licensure of individuals and entities authorized to adjust claims within the state, and (2) reciprocity laws and regulations governing the licensure of nonresident individuals and entities authorized to adjust such claims within those states.
The Department of the Treasury must annually determine a state's continued compliance with such requirements.
[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2998 Introduced in House (IH)]
114th CONGRESS
1st Session
H. R. 2998
To reform uniformity and reciprocity among States that license
insurance claims adjusters and to facilitate prompt and efficient
adjusting of insurance claims, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 9, 2015
Mr. Fincher (for himself, Mr. Stivers, Mr. Tiberi, Mr. Roe of
Tennessee, Mr. Foster, Mr. Israel, Mr. Royce, and Mrs. Blackburn)
introduced the following bill; which was referred to the Committee on
Financial Services
_______________________________________________________________________
A BILL
To reform uniformity and reciprocity among States that license
insurance claims adjusters and to facilitate prompt and efficient
adjusting of insurance claims, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Claims Licensing Advancement for
Interstate Matters Act'' or the ``CLAIM Act''.
SEC. 2. STATE FLEXIBILITY IN MULTISTATE ADJUSTER LICENSING REFORMS.
(a) In General.--Section 4 shall take effect upon the expiration of
the 4-year period beginning on the date of the enactment of this Act
unless, before the expiration of such period, those States that license
independent claims adjusters have enacted--
(1) uniform laws and regulations governing the licensure of
individuals and entities authorized to adjust insurance claims
within the State; and
(2) reciprocity laws and regulations governing the
licensure of nonresident individuals and entities authorized to
adjust insurance claims within those States.
(b) Uniformity Required.--States shall be deemed to have
established the uniformity necessary to comply with subsection (a)(1)
if the States--
(1) establish uniform criteria regarding the integrity,
personal qualifications, education, training, and experience of
licensed independent claims adjusters for--
(A) property and casualty insurance;
(B) workers compensation insurance; and
(C) such other lines as a State may choose to
regulate.
(2) establish uniform continuing education requirements for
licensed independent claims adjusters for each line of
insurance under paragraph (1) that a State chooses to regulate;
(3) establish uniform ethics course requirements for
licensed independent claims adjusters in conjunction with the
continuing education requirements under paragraph (2);
(4) do not impose any requirement upon any independent
claims adjuster to be licensed or otherwise qualified to do
business as a nonresident that has the effect of limiting or
conditioning that independent claims adjuster's activities
because of its residence or place of operations; and
(5) utilize a uniform license application.
(c) Reciprocity Required.--States shall be deemed to have
established the reciprocity required to comply with subsection (a)(2)
if the following conditions are met:
(1) Administrative licensing procedures.--Each State that
licenses independent claims adjusters permits an independent
claims adjuster that has a license for adjusting insurance
claims in their home State to receive a license to adjust
insurance claims in those other States as a nonresident to the
same extent that such independent claims adjuster is permitted
to adjust insurance claims in their home State without
satisfying any additional requirements other than submitting--
(A) a request for licensure utilizing the uniform
license application;
(B) a copy of, or evidence of, a valid license held
by the adjuster in their home State (unless such
information is available in the National Insurance
Producer Registry Producer Database); and
(C) the payment of any requisite fee to the
appropriate authority.
(2) Continuing education requirements.--Each State that
licenses an independent claims adjuster accepts an insurance
claims adjuster's satisfaction of their home State's continuing
education requirements for licensed insurance claims adjusters
to satisfy the State's own continuing education requirements.
(3) No limiting nonresident requirements.--A State does not
impose any requirement upon any independent claims adjuster to
be licensed or otherwise qualified to do business as a
nonresident that has the effect of limiting or conditioning
that independent claims adjuster's activities because of its
residence or place of operations.
(4) Reciprocal reciprocity.--Each of the States that
satisfies paragraphs (1), (2), and (3) grants reciprocity to
residents of all of the other States that satisfy such
paragraphs.
(d) Determination.--
(1) Determination.--A State shall be considered to be in
compliance with subsection (a) for purposes of this Act if the
Department of the Treasury, Office of General Counsel
determines that, before the expiration of the 4-year period
beginning on the date of the enactment of this Act, the State
is in compliance with the requirements under such subsection.
(2) Continued review.--With respect to any State that the
Department of the Treasury, Office of General Counsel has
determined to be in compliance with the requirements of
subsection (a), the Department of the Treasury, Office of
General Counsel shall continue to review and determine such
State's compliance with the requirements of subsection (a) on
an annual basis. If the Department of the Treasury, Office of
General Counsel determines at any time that a State no longer
is in compliance with the requirements of subsection (a),
section 4 shall apply with respect to such State.
(3) Judicial review.--The appropriate United States
District Court shall have exclusive jurisdiction over any
challenge arising under this section. The court shall apply the
standards set forth in section 706 of title 5, United States
Code, in reviewing any such challenge.
SEC. 3. STATE AUTHORITIES.
Nothing in this Act shall be construed to--
(1) require a State that does not have licensing
requirements for independent claims adjusters to adopt any such
requirements;
(2) subject to section 2, limit the right of a State to
establish licensing fees or enforce its laws regarding the
adjusting of insurance claims, provided that such State fee is
uniform regardless of the State of residence of the licensee in
that State; or
(3) affect the jurisdiction and authority of a State
insurance regulator to prescribe and enforce its insurance
laws, rules, and regulations regulating independent claims
adjuster activity in its jurisdiction.
SEC. 4. AUTHORITY FOR INTERSTATE CLAIMS ADJUSTING.
In the case of any State that requires and issues licenses for
independent claims adjusters but is not in compliance with section 2,
after the expiration of the 4-year period beginning on the date of the
enactment of this Act, an independent claims adjuster may apply to the
National Association of Agents and Brokers for Membership for the
purpose of licensure in each such State not in compliance with section
2, provided that such independent claims adjuster pays the requisite
fees, including licensing fees. For purposes of this provision, upon
such date an independent claims adjuster shall be determined to be a
person that negotiates policies of insurance and offers advice,
counsel, opinions or services related to insurance, as such terms are
used in section 334(5) of Public Law 106-102, as amended by section
202(a) of Public Law 114-1 (15 U.S.C. 6764(5); 129 Stat. 27).
SEC. 5. DEFINITIONS.
For purposes of this Act, the following definitions shall apply:
(1) Home state.--
(A) Actual.--The term ``home State'' means, with
respect to an independent claims adjuster, the State in
which the adjuster maintains his, her, or its principal
place of residence or business and is licensed upon
having passed an exam as an independent claims
adjuster.
(B) Designated.--If the State in which an
independent claims adjuster maintains his or her
principal place of residence or business does not issue
an independent claims adjuster license or require an
examination as a condition for such licensure for the
line or lines of authority sought, such term means any
other State in which the independent claims adjuster is
so licensed upon having passed an exam and that is
designated by such adjuster as his or her home State.
(2) Independent claims adjuster.--The term ``independent
claims adjuster'' means an individual, other than a public
adjuster, who undertakes on behalf of insurers or self-insurers
to investigate, evaluate, and negotiate the resolution of the
amount of a property, casualty, liability, disability, or
workers' compensation claim, loss, or damage on behalf of an
insurance policy or insurer or as a third-party on behalf of a
self-insurer. Such term includes company or staff adjusters,
who are individuals, other than a public adjuster, employed by
property casualty insurers and undertake to investigate,
evaluate, and negotiate the resolution of a property, casualty,
liability, disability, or workers' compensation claim, loss, or
damage on behalf of an insurance policy or insurer.
(3) Public adjuster.--The term ``public adjuster'' means
any person who, for compensation or any other thing of value,
on behalf of the insured acts, aids, advertises, or solicits
business to ascertain, determine, negotiate, or settle the
amount of a claim, loss, or damage, solely in relation to first
party claims arising under contracts that insure the real or
personal property of the insured.
(4) State.--The term ``State'' means the States of the
United States, the District of Columbia, the Commonwealth of
Puerto Rico, the Commonwealth of the Northern Mariana Islands,
Guam, the Virgin Islands, American Samoa, and any other
territory or possession of the United States.
(5) State law.--The term ``State law'' includes all laws,
decisions, rules, regulations, or other State action of any
State having the effect of law; and a law of the United States
applicable only to the District of Columbia shall be treated as
a State law rather than as a law of the United States.
<all>
Introduced in House
Introduced in House
Sponsor introductory remarks on measure. (CR E1027)
Referred to the House Committee on Financial Services.
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