Chapter 09. Staggered System for Renewal of Licenses
Regulation .01 Definitions.LinkCopy Citation
A.
In this chapter, the following terms have the meanings indicated.
B.
Terms Defined.
(1)
“Administration” means the Maryland Insurance Administration.
(2)
“License” has the meaning stated in Insurance Article, §10-101(d), Annotated Code of Maryland.
Regulation .02 Establishment of Staggered System of Renewals.LinkCopy Citation
A.
In General. The Administration may establish a staggered system of renewal for licenses.
B.
Uniform Distribution of Renewal Dates.
(1)
The Administration shall establish staggered renewal dates for licenses so that approximately the same number of licenses are renewed each day.
(2)
From time to time, the Administration shall evaluate the monthly volume of license renewals for the purpose of maintaining relatively uniform workloads.
(3)
The Administration may adjust the monthly volumes of license renewals by:
(a)
Changing the month of expiration of a license;
(b)
Prorating the renewal fee for the license and the fraud prevention fee in accordance with Regulation .04 of this chapter; and
(c)
Prorating the continuing education hours for renewal of the license in accordance with Regulation .05 of this chapter.
Regulation .03 Term and Renewal of Licenses.LinkCopy Citation
A.
Term. The term of a license is 2 years from the date of issuance.
B.
Renewal. The Administration shall renew licenses for a term of 2 years from the date of renewal unless the Administration changes the expiration date under Regulation .02B(3) of this chapter.
Regulation .04 Proration of Fees.LinkCopy Citation
A.
Renewal Fees. If the Administration is required to charge a prorated renewal fee for a license, the Administration shall calculate the amount of the prorated fee by:
(1)
Dividing the appropriate renewal fee listed in Insurance Article, §2-112, Annotated Code of Maryland, by 24;
(2)
Multiplying the quotient obtained under §A(1) of this regulation by the number of months for which the license is issued or renewed; and
(3)
Rounding the product obtained under §A(2) of this regulation to the nearest dollar, with amounts ranging from 1 cent to 50 cents rounded down to the next lower dollar and amounts ranging from 51 cents to 99 cents rounded up to the next higher dollar.
B.
Fraud Prevention Fee. If the Administration is required to charge a prorated fraud prevention fee, the Administration shall calculate the amount of the prorated fee by:
(1)
Dividing the fraud prevention fee listed in Insurance Article, §6-203, Annotated Code of Maryland, by 24;
(2)
Multiplying the quotient obtained under §B(1) of this regulation by the number of months for which the license is issued or renewed; and
(3)
Rounding the product obtained under §B(2) of this regulation to the nearest dollar, with amounts ranging from 1 cent to 50 cents rounded down to the next lower dollar and amounts ranging from 51 cents to 99 cents rounded up to the next higher dollar.
Regulation .05 Proration of Continuing Education Credit Hours.LinkCopy Citation
A.
General Continuing Education Requirements. Except as otherwise provided by Insurance Article, §10-116, Annotated Code of Maryland, the holder of a license shall complete 16 credit hours of continuing education before the holder may renew the license.
B.
Proration.
(1)
The holder of a license whose date of expiration is changed by the Administration pursuant to Regulation .02B(3)(a) of this chapter, who has held a license for fewer than 25 consecutive years, shall successfully complete the following number of credit hours of continuing education before the holder may renew the license and receive a license with a 2-year term:
(a)
For a license changed to a term of 1 year to 1 1/2 years, 8 credit hours;
(b)
For a license changed to a term of more than 1 1/2 years but not more than 2 years, 12 credit hours;
(c)
For a license changed to a term of more than 2 years but not more than 2 1/2 years, 16 credit hours; or
(d)
For a license changed to a term of more than 2 1/2 years but not more than 3 years, 20 credit hours.
(2)
The holder of a license whose date of expiration is changed by the administration pursuant to Regulation .02B(3)(a) of this chapter, who has held a license for 25 or more consecutive years, beginning on the date of expiration, and counting back to the year that the license was first obtained, shall successfully complete 50 percent of the credit hours of continuing education required in §B(1) of this regulation before the holder may renew the license and receive a license with a 2-year term.
(3)
If the holder of a license whose date of expiration is changed has a license for both property or casualty, or any subdivision of property or casualty, and life or health, or any subdivision of life or health, in order to renew the license, the holder of the license shall successfully complete a minimum of:
(a)
25 percent of the required credit hours in one or more courses designated “Property/Casualty”; and
(b)
25 percent of the required credit hours in one or more courses designated “Life/Health”.
(4)
National Examination.
(a)
If the holder of a license whose date of expiration is changed receives a passing score on a national examination on or before the day before the expiration date of the license, the holder of the license shall receive the number of continuing education credit hours that the Commissioner has approved for the examination towards the credit hours needed to renew the license.
(b)
If the holder of a license whose date of expiration is changed receives a passing score on a national examination on or after the expiration date of the license, the holder of the license shall receive the number of continuing education credit hours that the Commissioner has approved for the examination towards the next license renewal.
Chapter annotations
Authority: Insurance Article, §§2-108, 2-109, and 10-115, Annotated Code of Maryland
History: Effective date: August 20, 2001 (28:16 Md. R. 1484)
History: Chapter revised effective April 10, 2006 (33:7 Md. R. 675)