NU Online News Service, Jan. 7, 5:44 p.m. – A new insurance producer licensing law will take effect in Michigan March 1.
The measure, signed by Gov. John Engler Jan. 2, was enacted in an effort to meet the agent licensing reciprocity requirements of the federal Gramm-Leach-Bliley Financial Services Modernization Act.
When Congress passed the federal act, it gave states a choice of adopting reciprocal licensing laws or accepting federal regulation of agent licensing.
The new Michigan law is based on the Model Uniform Insurance Producer Licensing Act, a model act developed by the National Association of Insurance Commissioners, Kansas City, Mo.