Independent Adjuster Licensing – The Year In Review

2012 saw many changes when it came to the world of Independent Adjuster licensing.  For you experienced adjusters, this comes as no surprise.  Like the old saying says: “The only constant is change.”  Below is a recap of the state by state changes that occurred in 2012.  If you’re licensed in any these states read on to make sure you’re still in compliance.

Alabama announced they would begin requiring all resident adjusters take an exam in order to obtain an independent adjuster license. Alabama had not required any testing in the past, simply an application. They will also now issue by Lines of Authority; Property & Casualty, Property & Casualty excluding Workers Compensation, Crop and Apprentice. All resident applicants will be required to submit fingerprints.

Alaska began implementing the NIPR system for new applications, renewals, reinstatements and address changes. You can also do electronic email updates and print a copy of your license at no cost by accessing the Alaska DOI website.

Arizona clarified they will only reciprocate with individuals and entities holding a home state license. Reciprocity not be granted to anyone with a designated home state license.

The state of Delaware will now accept applications through the NIPR system for those adjusters holding a Designated Home State license. They are also offering email address updates for individuals and business entities through their state DOI website.

Florida made some major changes. They once had an overabundance of license types. All adjusters will now be given the “All Lines Adjuster” designation. This means individuals as well as Independent Firms will be able to appoint any licensed adjuster in the state. They have also implemented the “MyProfile” portion of the website which allows adjusters to keep track of their CE compliance date, appointments, profiles, etc. New applicants may also create a MyProfile account and submit an application online.

Georgia will now issue a two-year license beginning with this year’s 12/31/12 renewal period. With the addition of the Citizenship Affidavit requirement, the state is behind on processing and is asking that everyone be patient. They are processing as quickly as possible to try to complete the renewals by the end of the year. If you have not yet submitted your Citizenship Affidavit your renewal will be held until it is received. More information on this requirement can be found on the GA DOI website.

Michigan began accepting application through NIPR. They also announced they have a new vendor, PSI, for residents needing to take the initial exam.

Oklahoma announced it no longer requires a proctor be present during the final exam for self-study CE courses. They also made the announcement of a new license exam which began on November 1, 2012. If you will be taking the OK exam, you want to make sure you have the most current up-to-date study materials prior to taking the exam.

Effective in May of this year Oregon’s main processing system became the State Based System. However, business entities will not be able to apply or renew online. Adjusters need to make sure the state has a current email address on file as they are no longer mailing paper correspondence. All communication will be done via email. Although SBS is their main processing system, you can process renewals through either NIPR or SBS.

Texas is now requiring IA firms conducting business in the state to now acquire a Business Entity Adjuster License. With so many changes, we will try to list what we feel are the most important issues when it comes to IA licensing.

Important Change For Adjusting Firms Doing Business In Texas

For those of us who have been in the adjuster licensing field for some time now, Texas has always been known as one of the states which did not require adjusting firms to hold a business entity license. Along with so many other things, this too has changed.

Recently, Texas began requiring adjusting firms to acquire a business entity license to work claims in their state. Finding the application can actually be somewhat tricky. The form you will need to complete is TDI Form Number FIN507, “Licensing Application for Insurance Agency License.” Although adjusting firms typically do not consider themselves “agencies,” the adjuster entity application is contained within the agency license application.

To access the application, go to the Agent Forms located at http://www.tdi.texas.gov/forms/form11.html .  Scroll down to the Agent/Adjuster Application Forms. Here you fill find the necessary application to register your adjusting firm as a business entity in the state of Texas.

According to contacts within the Texas Department of Insurance, they have been so inundated with forms they are still processing processing applications submitted in September and October.  And now that word is getting out processing will most likely be even longer.  The department is working extremely hard to process all applications but it could take some time to actually receive your license.

Texas is a paper application state so open the form, fill out the appropriate fields and print it.  Do not follow the think for an online application because it will ultimately direct you back to the paper form.

Remember also that the first step to obtaining a business entity adjusting license is to register to do business in Texas. Like other state’s you’ll be required to provide proof that the business is registered.

Putting in a small plug for Xeneros; we can help you acquire both your business registration and business entity license for $125 plus state and registered agent fees.  Contact sales@xeneros.net for an easy way to become compliant in Texas.