### October 25, 1962

Mr. William A. Harrison Commi~sionar ofInsurance State Board ofInsurance Austin, Texas Opinion No. WW-1457 Re: Whether theadoption of (1) a standard,textbook onpropertycasualty insurance or (2) a standard textbook with revisions onthe subject ofpropertycasualty inclurancewill satisfy Section 7of Article 21. 14of the Insurance Code andrelated Dear Sir: queetion.

You have requested the opinion of thie office whether or not theadoption bytheState Board of Insurance of (1) a standard textbook onproperty-casualty insurance of (2) a standard textbook onthe subject ofproperty-casualty inaurancc with certain revisions made by the State Board ofInsurance would satisfy Section 7ofArticle 21. 14of the Insurance Code which refers to

### a “manual ofqueatione andanewers published under thedirection of the Board ofInsurance Commissioners. ” Secondly, youasked whether or not the State Board of Insurance would be authorized bySection 7ofArticle 21.14 to charge a fee representing the cost ofsuch a textbook from persons interested inpreparing themselves for theagent’8 examination.

Inthepast the State Board of Insurance haapublished an inexpensive mimeographed manual ofquestions andanswer8 in compliance with Section 7 ofArticle 21. 14, anddirtribution of thir manual har been made without **charge.** 

### However, the Board feelr thatthe prerent manual does not **contain** 

### all oftheinformation necessary for theapplicant for **an** 

### agentr license and contemplator rome extensive changer.
Inanswer to thefirst que.stionit is the opinion ofthir **office** 

### thattheState Board of Inrurance may either adopt **(1)** 

### rome **standard** 

### textbook on**the** rubject ofproperty-carualty inrurance, that contain8 querrtionrandanawerr ar provided inSection 7 of Article 21.14, or (2) theState Board of Insurance may adopta standard textbook on property-casualty insurance with revision8 bythe State Board of. .

Mr. William A. Harrison, page 2 (WW-1457)

Insurance made in its text which contains such questions and answers. The only requirement of Section 7 of Article 21. 14 in this respect is that the manual, or whatever the type of publication, be published under the direction of the State Board of Insurance. The type of manual
or book to be published under the direction of the State Board of Insurance is apparently left to the discretion of the State Board of Insurance. There is no requirement that the manual or book be entirely prepared or prepared in part by the State Board of Insurance or its employees.

In answer to the second question, it is the opinion of this office that the ‘State Board of Insurance may not charge a fee which represents the cost of each manual or book. Section 7 of Article 21. 14 does not authorize the charging of such afee, and such authority is not generally implied. See WW-1285. Section 7 of Article 21. 14 does not require that the State Board of Insurance make a gift of the said manual to the prospective examinees but only requires that it shall be made available for the use of the prospective persons to prepare for the examination. Availability of these manuals or books on a loan basis to the prospective examinees would be an adequate compliance with Section 7 of Article 21. 14 by the State Board of Insurance.

SUMMARY

To comply with Section 7 of Article 21. 14 of the Texas Insurance Code, the State Board of Insurance may either (1) adopt
some standard textbook on the subject of property-casualty insurance that contains questions and answers as provided in Section 7 of Article 21. 14, or (2) adopt a standard textbook on property-casualty insurance with revisions in the text and questions and answers made by the State Board of Insurance. The State Board of **Insurance** may not charge a fee for this publication. Very truly yours,
WILL WILSON Attorney General of TexasMr. William A. Harrison, page 3 (WW-1457)

By: BOB E. SHANNON Assistant Attorney General BES: ms
APPROVED: OPINION COMMITTEE

W. V. Geppert, Chairman Robert Lewis Frank Booth Fred Ward

REVIEWED FOR THE ATTORNEY GENERAL BY: Leonard Passmore