New Year Brings New Continuing Education Requirements for California Independent and Public Insurance Adjusters
On January 1, 2009, AB 2044—which has been added to the California Insurance Code as § 14090.1—went into effect. Governor Schwarzenegger signed the bill into law on September 25, 2008.
(a) An individual who holds an insurance adjuster license and who is not exempt under subdivision (b) of this section shall satisfactorily complete a minimum of 24 hours, including ethics, of continuing education courses pertinent to the duties and responsibilities of an insurance adjuster license reported to the insurance commissioner on a biennial basis in conjunction with his or her license renewal cycle.
(b) This section does not apply to either of the following:
(1) A licensee not licensed for one full year prior to the end of the applicable continuing education biennium.
(2) A licensee holding a nonresident insurance adjuster license who has met the continuing education requirements of his or her designated resident state.
Section 15059.1 contains identical provisions that require the same number of continuing education hours for public insurance adjusters, and provides:
(a) An individual who holds a public insurance adjuster license and who is not exempt under subdivision (b) shall satisfactorily complete a minimum of 24 hours, including ethics, of continuing education courses pertinent to the duties and responsibilities of a public insurance adjuster license, to be reported to the insurance commissioner on a biennial basis in conjunction with his or her license renewal cycle.
(b) This section shall not apply to:
(1) A licensee not licensed for one full year prior to the end of the applicable continuing education biennium.
(2) A licensee holding a nonresident public insurance adjuster license who has met the continuing education requirements of his or her designated state or residence.
In addition, the purpose of the law was stated to include authorization to the insurance commissioner to mail an applicant or a licensee a citation and an order assessing a specified fine for a violation the commissioner believes the applicant or licensee committed, as specified. Only if the licensee requests a hearing can proceedings be initiated regarding the validity of the citation and order, as specified. The issuance of a notice, citation, or order under this provision would not constitute a disciplinary action or an administrative action, as specified, against the licensee. In essence, the commissioner can punish any licensee without a trial and make the licensee guilty until proven innocent.
Adjusters and public adjusters must be trained to comply with this law. Applications are presently pending with the DOI and should be approved shortly. In order to assist the industry I have written courses for insurance adjusters that are published by the A. D. Banker Company, based upon my books “Heads I Win, Tails You Lose,” “Insurance Claims: A Comprehensive Guide,” and “Insurance: Cases and Materials on Coverage, Claims, and Litigation.”