Alabama Insurance Producer Licensing, Appointment, Continuing Education and Independent Adjuster Licensing

What this document is

Alabama Insurance Producer Licensing, Appointment, Continuing Education and Independent Adjuster Licensing - Ala. Code Title 27, Ch. 7 (Property, Casualty and Surety Insurance Representatives), Ch. 8A (Continuing Education Requirements) and Ch. 9A (Independent Adjusters) is a state statute published by alison.legislature.state.al.us. It is one of the Alabama documents that insurance license exam questions are written from, including alabama life & health, alabama property & casualty practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• Ala. Code tit. 27 § 27-7-4(b) (Licenses - Requirement; Forms)

  “No producer shall act on behalf of any insurer for which an appointment is not held under this chapter. A producer who is not acting on behalf of an insurer is not required to become appointed. For purposes of this section, a producer who refers business to an appointed producer pursuant to Section...”

• Ala. Code tit. 27 § 27-8A-6 (Compliance with Requirements)

  “Neither an employer of a producer or service representative nor any insurer appointing a producer or service representative shall be responsible or liable in any way for the failure of any producer or service representative to meet the requirements of this chapter or to maintain the necessary...”

• Ala. Code tit. 27 § 27-7-36(a) (Accounting for and Payment of Trust Funds by Licensees)

  “All premiums, return premiums, or other funds belonging to others received by a producer in transactions under the producer’s license shall be trust funds so received by the licensee in a fiduciary capacity, and the licensee in the applicable regular course of business shall account for and pay the...”

• Ala. Code tit. 27 § 27-7-5(b) (Licenses - Qualifications)

  “All producers seeking to be licensed for or holding the variable life and variable annuity product line of authority must also hold the life line of authority as an insurance producer and must also successfully complete the appropriate securities examinations and be registered under applicable...”

• Ala. Code § 27-7-23(b) (Temporary License - Generally)

  “(b) The temporary license shall be valid for a period of not over six months and, except as to one renewal in the case of disabling or confining illness or injury of the producer, shall not be renewed either to the then holder of the temporary license or to any other person for, or on behalf of, the producer.”

• Ala. Code § 27-7-39(a) (Reporting of Administrative Action, Etc.)

  “(a) A producer shall report to the commissioner any administrative action taken against the producer in another jurisdiction or by another governmental agency in this state within 30 days of the final disposition of the matter. This report shall include a copy of the order, consent to order, or...”

• Ala. Code § 27-8A-1(a) (Continuing Education Requirements for Insurance Producers or Service Representatives)

  “(a) Any individual licensed in this state as an insurance producer or service representative for the lines of insurance listed in subsection (b), and not exempt under subsection (c), shall satisfactorily complete a minimum of 24 classroom hours of courses, programs of instruction, or seminars as...”

• Ala. Code § 27-7-30(a) (Appointment of Producer - Generally)

  “Each insurer appointing a producer in this state shall file with the commissioner, in a format approved by the commissioner, a notice of appointment within 15 days from the date the agency contract is executed or the first insurance application is submitted, whichever occurs first.”

• Ala. Code § 27-7-30.1(a) (Appointment of Producer - Notification of Termination)

  “Within 15 days after making the notification required by subsection (e) of Section 27-7-30, the insurer shall mail a copy of the notification to the producer at his or her last known address. If the producer is terminated for cause for any of the reasons listed in Section 27-7-19, the insurer shall...”

• Ala. Code § 27-7-14.1(c) (Licenses - Lines of Authority; Renewal)

  “An individual insurance producer who allows his or her license to lapse, within 12 months from the due date of the renewal fee, may reinstate the same license without the necessity of passing a written examination. A service representative who allows his or her license to lapse, within 12 months...”

• Ala. Code § 27-7-35(a) (Division or Sharing of Commissions by Licensees)

  “No licensee shall divide with others or share in any commissions payable on account of the exercise of a license under this title except a producer may divide or share in the commissions with other producers licensed as to the same kinds of insurance or classifications thereof.”

• Ala. Code § 27-7-22(a) (Licenses - Return for Cancellation; Affidavit in Lieu Thereof)

  “All licenses issued under this chapter, though issued to a licensee, at all times are the property of the State of Alabama, and upon notice of any suspension, revocation, refusal to renew, expiration, or other termination of the license, the licensee, or other person having possession or custody...”

Practice this material

Questions about this source

More Alabama sources

• Alabama Producer Examination Content Outline - Life and Health ExaminationsCandidate handbook or exam outline
• Alabama Producer Examination Content Outline - Property and Casualty ExaminationsCandidate handbook or exam outline
• Alabama Code § 27-12-6 - TwistingState statute
• Alabama Code Title 27, Chapter 19, Article 1 - Disability Insurance Policies (Secs. 27-19-1 to 27-19-22)State statute
• Alabama Disability (Accident and Health) Insurance Policy Provisions - Ala. Code Title 27, Chapter 19, Article 1, General Provisions (§§ 27-19-1 through 27-19-39)State statute
• Alabama Group and Blanket Disability (Health) Insurance - Ala. Code Title 27, Chapter 20 (§§ 27-20-1 through 27-20-7)State statute
• Alabama Group Life Insurance - Ala. Code Title 27, Chapter 18 (§§ 27-18-1 through 27-18-16)State statute
• Alabama Insurance Contract, General Provisions - Ala. Code Title 27, Chapter 14 (§§ 27-14-1 through 27-14-32)State statute