Claims Licensing Advancement for Interstate Matters Act

Summary: Claims Licensing Advancement for Interstate Matters Act or the CLAIM Act This bill authorizes an independent insurance claims adjuster to apply to the National Association of Registered Agents and Brokers for membership for the purpose of licensure in any state that requires a license for such adjusters and that does not have in effect, four years after this bill's enactment: (1) uniform laws and regulations governing the licensure of individuals and entities within the state, and (2) reciprocity laws and regulations governing the licensure of nonresident individuals and entities.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Claims Licensing Advancement for 
Interstate Matters Act'' or the ``CLAIM Act''.

SEC. 2. STATE FLEXIBILITY IN MULTISTATE ADJUSTER LICENSING REFORMS.

    (a) In General.--Section 4 shall take effect upon the expiration of 
the 4-year period beginning on the date of the enactment of this Act 
unless, before the expiration of such period, those States that license 
independent claims adjusters have enacted--
            (1) uniform laws and regulations governing the licensure of 
        individuals and entities authorized to adjust insurance claims 
        within the State; and
            (2) reciprocity laws and regulations governing the 
        licensure of nonresident individuals and entities authorized to 
        adjust insurance claims within those States.
    (b) Uniformity Required.--States shall be deemed to have 
established the uniformity necessary to comply with subsection (a)(1) 
if the States--
            (1) establish uniform criteria regarding the integrity, 
        personal qualifications, education, training, and experience of 
        licensed independent claims adjusters for--
                    (A) property and casualty insurance;
                    (B) workers compensation insurance; and
                    (C) such other lines as a State may choose to 
                regulate.
            (2) establish uniform continuing education requirements for 
        licensed independent claims adjusters for each line of 
        insurance under paragraph (1) that a State chooses to regulate;
            (3) establish uniform ethics course requirements for 
        licensed independent claims adjusters in conjunction with the 
        continuing education requirements under paragraph (2);
            (4) do not impose any requirement upon any independent 
        claims adjuster to be licensed or otherwise qualified to do 
        business as a nonresident that has the effect of limiting or 
        conditioning that independent claims adjuster's activities 
        because of its residence or place of operations; and
            (5) utilize a uniform license application.
    (c) Reciprocity Required.--States shall be deemed to have 
established the reciprocity required to comply with subsection (a)(2) 
if the following conditions are met:
            (1) Administrative licensing procedures.--Each State that 
        licenses independent claims adjusters permits an independent 
        claims adjuster that has a license for adjusting insurance 
        claims in their home State to receive a license to adjust 
        insurance claims in those other States as a nonresident to the 
        same extent that such independent claims adjuster is permitted 
        to adjust insurance claims in their home State without 
        satisfying any additional requirements other than submitting--
                    (A) a request for licensure utilizing the uniform 
                license application;
                    (B) a copy of, or evidence of, a valid license held 
                by the adjuster in their home State (unless such 
                information is available in the National Insurance 
                Producer Registry Producer Database); and
                    (C) the payment of any requisite fee to the 
                appropriate authority.
            (2) Continuing education requirements.--Each State that 
        licenses an independent claims adjuster accepts an insurance 
        claims adjuster's satisfaction of their home State's continuing 
        education requirements for licensed insurance claims adjusters 
        to satisfy the State's own continuing education requirements.
            (3) No limiting nonresident requirements.--A State does not 
        impose any requirement upon any independent claims adjuster to 
        be licensed or otherwise qualified to do business as a 
        nonresident that has the effect of limiting or conditioning 
        that independent claims adjuster's activities because of its 
        residence or place of operations.
            (4) Reciprocal reciprocity.--Each of the States that 
        satisfies paragraphs (1), (2), and (3) grants reciprocity to 
        residents of all of the other States that satisfy such 
        paragraphs.
    (d) Determination.--
            (1) Determination.--A State shall be considered to be in 
        compliance with subsection (a) for purposes of this Act if the 
        National Association of Registered Agents and Brokers 
        determines that, before the expiration of the 4-year period 
        beginning on the date of the enactment of this Act, the State 
        is in compliance with the requirements under such subsection.
            (2) Continued review.--With respect to any State that the 
        National Association of Registered Agents and Brokers has 
        determined to be in compliance with the requirements of 
        subsection (a), the National Association of Registered Agents 
        and Brokers shall continue to review and determine such State's 
        compliance with the requirements of subsection (a) on an annual 
        basis. If the National Association of Registered Agents and 
        Brokers determines at any time that a State no longer is in 
        compliance with the requirements of subsection (a), section 4 
        shall apply with respect to such State.
            (3) Judicial review.--The appropriate United States 
        District Court shall have exclusive jurisdiction over any 
        challenge arising under this section. The court shall apply the 
        standards set forth in section 706 of title 5, United States 
        Code, in reviewing any such challenge.

SEC. 3. STATE AUTHORITIES.

    Nothing in this Act shall be construed to--
            (1) require a State that does not have licensing 
        requirements for independent claims adjusters to adopt any such 
        requirements;
            (2) subject to section 2, limit the right of a State to 
        establish licensing fees or enforce its laws regarding the 
        adjusting of insurance claims, provided that such State fee is 
        uniform regardless of the State of residence of the licensee in 
        that State; or
            (3) affect the jurisdiction and authority of a State 
        insurance regulator to prescribe and enforce its insurance 
        laws, rules, and regulations regulating independent claims 
        adjuster activity in its jurisdiction.

SEC. 4. AUTHORITY FOR INTERSTATE CLAIMS ADJUSTING.

    In the case of any State that requires and issues licenses for 
independent claims adjusters but is not in compliance with section 2, 
after the expiration of the 4-year period beginning on the date of the 
enactment of this Act, an independent claims adjuster may apply to the 
National Association of Registered Agents and Brokers for Membership 
for the purpose of licensure in each such State not in compliance with 
section 2, provided that such independent claims adjuster pays the 
requisite fees, including licensing fees. For purposes of this 
provision, upon such date an independent claims adjuster shall be 
determined to be a person that negotiates policies of insurance and 
offers advice, counsel, opinions or services related to insurance, as 
such terms are used in section 334(5) of Public Law 106-102, as amended 
by section 202(a) of Public Law 114-1 (15 U.S.C. 6764(5); 129 Stat. 
27).

SEC. 5. DEFINITIONS.

    For purposes of this Act, the following definitions shall apply:
            (1) Home state.--
                    (A) Actual.--The term ``home State'' means, with 
                respect to an independent claims adjuster, the State in 
                which the adjuster maintains his, her, or its principal 
                place of residence or business and is licensed upon 
                having passed an exam as an independent claims 
                adjuster.
                    (B) Designated.--If the State in which an 
                independent claims adjuster maintains his or her 
                principal place of residence or business does not issue 
                an independent claims adjuster license or require an 
                examination as a condition for such licensure for the 
                line or lines of authority sought, such term means any 
                other State in which the independent claims adjuster is 
                so licensed upon having passed an exam and that is 
                designated by such adjuster as his or her home State.
            (2) Independent claims adjuster.--The term ``independent 
        claims adjuster'' means an individual, other than a public 
        adjuster, who undertakes on behalf of insurers or self-insurers 
        to investigate, evaluate, and negotiate the resolution of the 
        amount of a property, casualty, liability, disability, or 
        workers' compensation claim, loss, or damage on behalf of an 
        insurance policy or insurer or as a third party on behalf of a 
        self-insurer. Such term includes company or staff adjusters, 
        who are individuals, other than a public adjuster, employed by 
        property casualty insurers and undertake to investigate, 
        evaluate, and negotiate the resolution of a property, casualty, 
        liability, disability, or workers' compensation claim, loss, or 
        damage on behalf of an insurance policy or insurer.
            (3) Public adjuster.--The term ``public adjuster'' means 
        any person who, for compensation or any other thing of value, 
        on behalf of the insured acts, aids, advertises, or solicits 
        business to ascertain, determine, negotiate, or settle the 
        amount of a claim, loss, or damage, solely in relation to first 
        party claims arising under contracts that insure the real or 
        personal property of the insured.
            (4) State.--The term ``State'' means the States of the 
        United States, the District of Columbia, the Commonwealth of 
        Puerto Rico, the Commonwealth of the Northern Mariana Islands, 
        Guam, the Virgin Islands, American Samoa, and any other 
        territory or possession of the United States.
            (5) State law.--The term ``State law'' includes all laws, 
        decisions, rules, regulations, or other State action of any 
        State having the effect of law; and a law of the United States 
        applicable only to the District of Columbia shall be treated as 
        a State law rather than as a law of the United States.