Agent License Reform Incomplete, Says CIAB Head
The head of a major agent-broker group applauded official acknowledgement that states have headed off federal involvement with insurance producer licensing, but warned that major licensing problems remain.
Four of the largest states have failed to take proper action to permit reciprocal licensing, noted Ken A. Crerar, president of the Washington-based Council of Insurance Agents and Brokers.
His comments followed action in New Orleans, where the National Association of Insurance Commissioners convened earlier this month and officially certified that 35 jurisdictions have met the reciprocity threshold established in the NARAB provisions of the Gramm-Leach-Bliley Act–six more than the minimum necessary of 29.
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Under GLB, if that minimum of 29 had not met standards providing for reciprocal treatment of non-resident producers by Nov. 12, a federal takeover of licensing procedures would have ensued through creation of a National Association of Registered Agents and Brokers.
Crerar said the council congratulated the states that were certified by the NAIC, and commended NAIC President Terri Vaughan and Vice President Mike Pickens for their leadership on the producer licensing issue. CIAB, he said, also applauded the National Council of Insurance Legislators and other state lawmakers for making producer-licensing reform a priority issue.