H. B. 2758


(By Delegates Carper, Ashley, L. White
Rutledge and Douglas)

[Introduced March 27, 1993; referred to the
Committee on Banking and Insurance.]



A BILL to amend and reenact sections four, five, six, eight, twelve and thirteen, article twelve-b, chapter thirty-three of the code of West Virginia, one thousand nine hundred thirty-one, as amended; and to further amend said article by adding thereto two new sections, designated sections three-a and eleven-a, all relating to insurance adjusters.

Be it enacted by the Legislature of West Virginia:
That sections four, five, six, eight, twelve and thirteen, article twelve-b, chapter thirty-three of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted; and that said article be further amended by adding thereto two new sections, designated sections three-a and eleven-a, all to read as follows:
ARTICLE 12B. ADJUSTERS.

§33-12B-3a. "Emergency adjuster" and "insurance emergency" defined.

(a) "Emergency adjuster" means an individual authorized bythe commissioner to act as an insurance adjuster in the circumstances of an insurance emergency.
(b) "Insurance emergency" means a temporary situation as declared by the insurance commissioner when the number of licensed adjusters in the state of West Virginia is inadequate to meet the demands of the public.
§33-12B-4. License required.

No person shall in West Virginia act as or hold himself out to be an adjuster unless then licensed therefor pursuant to this article. The provisions of this section do not apply to emergency insurance adjusters as provided in section eleven-a of this article.
§33-12B-5. Qualifications.

For the protection of the people of West Virginia, the commissioner shall not issue, renew or permit to exist any adjuster's license, with the exception of licenses issued to emergency adjusters, except to an individual who:
(a) Is eighteen years of age or more.
(b) Is a resident of West Virginia, except for nonresident adjusters as provided in section nine of this article.
(c) Satisfies the commissioner that he is trustworthy and competent. The commissioner may, at his discretion, test the competency of an applicant for a license under this section by examination. If such examination is required by the commissioner, each examinee shall pay a twenty-five dollar examination fee for each examination to the commissioner whichfees shall be used for the purposes set forth in section thirteen, article three of this chapter. The commissioner may, at his discretion, designate an independent testing service to prepare and administer such examination subject to direction and approval by the commissioner, and examination fees charged by such service shall be paid by the applicant.
(d) Any applicant who is engaged in the practice of professional insurance adjusting prior to the first day of July, one thousand nine hundred eighty-nine shall be exempt from the examination requirement of subdivision (c) of this section.
§33-12B-6. Application.

(a) Application for an adjuster's license or renewal thereof or emergency adjusters' licenses shall be made to the commissioner upon a form prescribed by him and shall contain such information and be accompanied by such supporting documents as the commissioner may require, and the commissioner may require such application to be made under the applicant's oath.
(b) Willful misrepresentation of any fact in any such application or any documents in support thereof is a violation of this chapter.
§33-12B-8. License fee.

The fee for an adjuster's license shall be twenty-five dollars as provided in section thirteen, article three of this chapter, except that when any other state imposes a tax, bond, fine, penalty, license fee or other obligation or prohibition on adjusters resident in this state, the same tax, bond, fine,penalty, license fee or other obligation or prohibition shall be imposed upon adjusters (where licensing of nonresident adjusters is permitted under this article) of each other state licensed or seeking a license in this state. All fees and moneys so collected shall be used for the purposes set forth in section thirteen, article three of this chapter. The provisions of this section do not apply to emergency insurance adjusters as provided in section eleven-a of this article.
§33-12B-11a. Insurance emergency; issuance of temporary insurance adjusters' licenses.

(a) Whenever the commissioner determines that a state insurance emergency, as defined in section three-a of this article, exists in the state of West Virginia, the commissioner may authorize individuals to be emergency adjusters.
(b) When such insurance emergency conditions exist, the commissioner may authorize such number of additional adjusters as he considers necessary to adequately address the emergency condition existing in the state. The adjusters shall be authorized to act upon application of an insurance company, licensed to do business in this state, which application shall state the names of any individuals that the company wishes to be authorized as emergency adjusters and other information as the commissioner may require. The commissioner shall act on the application within twenty-four hours after such application has been furnished.
(c) Any such emergency license is valid only for so long asthe commissioner specifies, not to exceed a period of one hundred twenty days.
(d) During the time an individual is licensed as an emergency adjuster, he or she has the same power, authority and responsibility as other adjusters authorized by this article.
§33-12B-12. Rules.
The commissioner is authorized to promulgate such rules and regulations as are necessary to effectuate the provisions of this article. Such rules and regulations shall be promulgated and adopted pursuant to the provisions of chapter twenty-nine-a of this code.
§33-12B-13. Effective date.

The provisions of the article shall become effective on the first day of July, one thousand nine hundred eighty-nine except that the commissioner may on and after the first day of July, one thousand nine hundred eighty-eight, promulgate rules and regulations pursuant to section twelve of this article.



NOTE: The purpose of this bill is to create and define an "emergency adjuster" and to provide for temporary insurance adjusters' licenses.

§§3a and 11a are new; therefore, strike-throughs and underscoring have been omitted.

Strike-throughs indicate language that would be stricken from the present law, and underscoring indicates new language that would be added.