2023 New York Laws › ISC - Insurance › Article 21 - Agents, Brokers, Adjusters, Consultants and Intermediaries › 2107 - Insurance Consultants; Licensing and Duties.

§  2107.  Insurance  consultants;  licensing  and  duties. (a) (1) The
superintendent may  issue  an  insurance  consultant's  license  to  any
person,  firm, association or corporation who or which has complied with
the requirements of this chapter with respect to either: life insurance,
meaning all of those kinds of insurance authorized  in  paragraphs  one,
two  and  three  of  subsection  (a) of section one thousand one hundred
thirteen of this chapter; or general insurance,  meaning  all  of  those
kinds of insurance authorized in paragraphs four through twenty-three of
such subsection, as specified in such license.
(2)  Any  such license issued to a firm or association shall authorize
only the members of such firm or association named in  such  license  as
sub-licensees  to  act  individually  as consultants thereunder, and any
such license issued to a corporation shall authorize only  the  officers
and  directors  thereof  named  in  such license as sub-licensees to act
individually as consultants thereunder. Each sub-licensee named in  such
license   must  be  qualified  to  obtain  a  license  as  an  insurance
consultant,  and  for  each  such  sub-licensee  the  fee  specified  in
subsection  (b)  of this section must be paid. Every sub-licensee acting
individually as a consultant pursuant to a license  issued  to  a  firm,
association  or  corporation shall be authorized to act only in the name
of such firm, association or corporation.
(b) (1) Before an insurance consultant's license shall  be  issued  or
renewed  the  prospective  licensee shall properly file in the office of
the superintendent an application therefor in such  form  or  forms  and
supplements  that  the superintendent prescribes, and pay a fee of fifty
dollars for each year or fraction of a year in which a license shall  be
valid  and  pay  an  additional  fee  of  fifty dollars for each year or
fraction of  a  year  in  which  a  license  shall  be  valid  for  each
sub-licensee. Every consultant's license issued pursuant to this section
to a business entity shall expire on the thirty-first day of March, with
respect  to (A) life insurance in the odd year and (B) general insurance
in the even year, next following the date of issue. On and after January
first, two thousand seven, every license issued pursuant to this section
to an individual consultant,  and  every  license  in  effect  prior  to
January  first  two  thousand  seven  that  was  issued pursuant to this
section to an individual consultant, who was born  in  an  odd  numbered
year,  shall  expire  on  the individual's birthday in each odd numbered
year. On and after January first,  two  thousand  seven,  every  license
issued  pursuant  to this section to an individual consultant, and every
license in effect prior to January first, two thousand  seven  that  was
issued  pursuant  to  this  section to an individual consultant, who was
born in an even numbered year, shall expire on the individual's birthday
in each even numbered  year.  Every  license  issued  pursuant  to  this
section may be renewed for the ensuing period of twenty-four months upon
the  filing of an application in conformity with this subsection. In the
case of a license issued to a  new  applicant,  the  superintendent  may
issue  a  license  for  a term of more than two years, provided however,
such term shall not exceed thirty months.
(2) (A) If an application for a renewal license shall have been  filed
with  the  superintendent  before  the  expiration  of such license, the
license sought to be renewed shall continue in  full  force  and  effect
either  until  the issuance by the superintendent of the renewal license
applied for or until five  days  after  the  superintendent  shall  have
refused  to  issue  such  renewal license and shall have given notice of
such refusal to the applicant.
(B) Before refusing to renew any such license, except on the ground of
failure to pass a written examination required  pursuant  to  subsection

(c)  of  this  section, the superintendent shall notify the applicant of
his intention so to do and shall give such applicant a hearing.
(c) (1) The superintendent shall, in order to determine the competency
of  every applicant for license as an insurance consultant, require such
applicant to submit to and pass to his satisfaction a personal,  written
examination  concerning  the  kinds of insurance specified in paragraphs
one, two and three of subsection (a) of section one thousand one hundred
thirteen of this chapter for a life insurance consultant's  license  and
paragraphs  four  through  twenty-three of such subsection for a general
insurance consultant's license. The fee for each such examination  taken
shall be fifty dollars.
(2)  The superintendent may accept, in lieu of any part or all of such
examination, the result of any previous written examination given by the
superintendent, The American College, the American College  of  Property
and  Liability  Underwriters,  the  Society  of  Actuaries, the Casualty
Actuarial Society, the American Academy  of  Actuaries  or  any  similar
organization which administers professional examinations.
(d)  The  superintendent may refuse to issue an insurance consultant's
license if, in his judgment, the applicant or any proposed  sub-licensee
is  not  trustworthy  and competent to act as a consultant, or has given
cause for revocation or suspension of such license,  or  has  failed  to
comply with any prerequisite for the issuance of such license.
(e)  No  person licensed as an insurance consultant under this section
may be an executive in or employee of or own any shares which give him a
substantial interest, direct or indirect, in any authorized insurer.  No
such  consultant  may  recommend or encourage the purchase of insurance,
annuities or securities from any authorized insurer in which any  member
of  his  immediate  family  holds  an  executive  position  or  holds  a
substantial interest.
(f) The superintendent may issue a  replacement  for  a  currently  in
force  license which has been lost or destroyed. Before such replacement
license shall be issued, there shall be on file in  the  office  of  the
superintendent  a  written  application  for  such  replacement license,
affirming under penalty of perjury that the original  license  has  been
lost or destroyed, together with a fee of fifteen dollars.