Section 6.59. Licensing of individuals as agents, reinsurance intermediaries, or managing general agents (s. 628.04, Stats.).  


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  • (1) Purpose. The purpose of this rule is to establish procedures for original licensure and license enlargement of an individual as an insurance agent, reinsurance intermediary or managing general agent.
    (2) Examination. An examination is required of each resident applicant for each kind of license authority listed in s. Ins 6.50 , except a reinsurance intermediary license, managing general agent, variable life or variable annuity and the limited line travel, crop and surety insurance licenses. Each examination will test the applicant's basic knowledge of the kinds of insurance to be solicited or function to be performed and the applicant's basic understanding of the applicable laws and regulations.
    (3) Fees. The following fee schedule is established for residents and non-residents:
    Application for one line of authority   $75.00
    Application for 2 lines of authority   $150.00
    Application for 3 lines of authority   $225.00
    Application for 4 lines of authority   $300.00
    Application for 5 lines of authority   $375.00
    Application for a Surplus Lines license   $100.00
    (4) Procedure.
    (a) Application for resident intermediary agents. Application for a permanent resident agent license or an enlargement of authority requiring an examination shall be made on-line following successful completion of any required prelicensing education and the examination. A completed application consists of the agent's name, the current address for the residence of the applicant; the current mailing address for the applicant; an original exemption form as required under ch. Ins 26 , if required by s. Ins 26.04 (3) ; an electronic confirmation of prelicensing education completion for the specific lines of authority; fingerprints to be provided in a format specified by the commissioner to complete, an electronic confirmation of criminal history from the Wisconsin department of justice, crime information bureau, and the federal bureau of investigation completed not more than 180 days prior to the test date; payment of the fees to the testing vendor, an electronic photograph of the applicant taken by the test service at the time of testing; confirmation of previous license in another state, if applicable; and any documentation required in answer to questions on the application.
    (am) Application for nonresident intermediary agents. Application for a permanent nonresident agent license or an enlargement of authority shall be made on-line or on form OCI 11-041N (rev.) or on the NAIC Uniform Application for Individual Nonresident License form and filed with the office of the commissioner of insurance. A completed application consists of payment of the fees; and any documentation required in answer to questions on the application. If confirmation of license status is not attainable from the National Insurance Producer Registry, an original certificate of licensing from the state of residence is required.
    (an) Application for Variable life and variable annuity products. Application for a permanent resident agent variable life and variable annuity products license or an enlargement of authority to include variable life and variable annuity products license shall be made on-line or on form OCI 11-041R (rev.) and filed with the office of the commissioner of insurance. A completed application consists of a completed form OCI 11-041R (rev.) giving the current address for the residence of the application; the current mailing address for the applicant; payment of the fees; any documentation required in answer to questions on the application; and verification of required registration by the Financial Industry Regulatory Authority (FINRA) registered for Series 6 or Series 7.
    (ap) Application for limited travel, crop, or surety agent license. Application for a permanent resident agent travel, crop or surety agent limited license or an enlargement of authority to include travel, crop or surety limited license shall be made on-line or on form OCI 11-041R (rev.) and filed with the office of the commissioner of insurance. A completed application consists of a completed form OCI 11-041R (rev.) giving the current address for the residence of the applicant; the current mailing address for the applicant; payment of the fees; and any documentation required in answer to questions on the application.
    (as) Application for reinsurance intermediary-broker, reinsurance intermediary-manager or managing general agent. Application for a reinsurance intermediary broker or reinsurance intermediary manager or managing general agent license shall be made on form OCI 11-040 and filed with the office of the commissioner of insurance. A completed application consists of a completed application form; payment of the fees; and any documentation required in answer to questions on the application.
    (av) Application for a title insurance limited license by Wisconsin licensed attorneys. Application for a permanent resident agent title insurance limited license or an enlargement of authority to include title insurance limited license shall be made on form OCI 11-41Atty (rev.) and filed with the office of the commissioner of insurance. A completed application consists of a completed form OCI 11-041Atty (rev.) giving the current address for the residence of the applicant; an original certificate signed by the provider showing completion of at least 6 hours of continuing legal education approved by the Wisconsin Board of Bar Examiners dealing solely with title insurance and completed within 1 year of the application date; a copy of the applicant's current State Bar of Wisconsin membership card; payment of the fees; and any documentation required in answer to questions on the application.
    (ax) Application for surplus lines agent license . Application for a surplus lines insurance license shall be made on form OCI 11-070 (rev.) and filed with the office of the commissioner of insurance. A completed application consists of a completed form OCI 11-070 (rev.) giving the current address for the residence of the applicant; and any documentation required in answer to questions on the application.
    (b) Scheduling the examinations. Applicants shall notify the testing vendor, at least one business day prior to the scheduled date and time of the examination.
    (c) Issuance of license. An applicant for an original license or an enlargement of authority who passes the examination, if required, satisfies the requirements in par. (a) , (am) or (as) and meets the standards of competence and trustworthiness as described in sub. (5) shall be issued a license for those kinds of authority for which the applicant is qualified. Examination scores are valid for 30 days. Failure to apply for a license within 30 days will require candidate to re-take the examination. Determination of the acceptance or rejection of a completed application shall be made within 90 days of receipt by the office of the commissioner of insurance of the completed application including any documentation required.
    (5) Competence and trustworthiness. The following criteria may be used in assessing trustworthiness and competence:
    (a) Criminal record. The conviction for crimes which are substantially related to the circumstances of holding an insurance license.
    (b) Accuracy of information. Any material misrepresentation in the information submitted on the application form.
    (c) Regulatory action. Any regulatory action taken with regard to any occupational license held, such as insurance licenses in other states, real estate licenses and security licenses.
    (d) Other criteria. Other criteria which the commissioner considers evidence of untrustworthiness or incompetence, including but not limited to:
    1. Providing incorrect, misleading, incomplete or materially untrue information in the license application.
    2. Violating any insurance laws, or violating any regulation, subpoena or order of the insurance commissioner or of another state's insurance commissioner.
    3. Obtaining or attempting to obtain a license through misrepresentation or fraud;
    4. Improperly withholding, misappropriating or converting any monies or properties received in the course of doing insurance business.
    5. Intentionally misrepresenting the terms of an actual or proposed insurance contract or application for insurance.
    6. Having been convicted of a felony or misdemeanor substantially related to the circumstances of holding an insurance license.
    7. Having admitted or been found to have committed any insurance unfair trade practice or fraud.
    8. Using fraudulent, coercive, or dishonest practices, or demonstrating incompetence, untrustworthiness or financial irresponsibility in the conduct of business in this state or elsewhere.
    9. Having an insurance producer license, or its equivalent, denied, suspended or revoked in any other state, province, district or territory.
    10. Forging another's name to an application for insurance or to any document related to an insurance transaction.
    11. Improperly using notes or any other reference material to complete an examination for an insurance license.
    12. Knowingly accepting insurance business from an individual who is not licensed.
    13. Failing to comply with an administrative or court order imposing a child support obligation.
    14. Failing to pay state income tax or comply with any administrative or court order directing payment of state income tax.
    (e) Age. Is at least eighteen (18) years of age.
    (6) Frequency and location. Examinations for each kind of agent authority will be administered at least once a month in accordance with a schedule adopted by the commissioner.
    (8) Change in residency status.
    (a) A licensed nonresident agent, after becoming a Wisconsin resident, may retain authority under the nonresident agent license for a maximum of 60 days, at which time all authority granted under the nonresident license shall cease.
    (b) A licensed resident agent after becoming a resident of another state, may retain authority under the resident license for a maximum of 60 days, at which time all authority granted under the resident license shall cease.
    (c) If an agent changes residency status and becomes licensed under the new status, all authority granted by the license issued under the former status shall terminate on the date the new license is issued.
    (d) Criteria used by the insurance commissioner to establish residency shall include, but not be limited to:
    1. Jurisdiction for payment of state taxes.
    2. Jurisdiction for automobile driver's license and motor vehicle registration.
    3. Location of voter registration.
    4. Location of principal residence, such as owned or rented dwelling, condominium or apartment.
    (e) A licensed nonresident agent after becoming a resident of a state other than Wisconsin, may retain licensing authority under the nonresident license for a maximum of 60 days, at which time all authority granted under the nonresident license shall cease, unless a letter of certification or other comparable evidence from the new state of residence is provided to the commissioner.
History: Cr. Register, March, 1977, No. 255 , eff. 4-1-77; am. (8), Register, June, 1978, No. 270 , eff. 7-1-78; cr. (10), Register, September, 1978, No. 273 , eff. 10-1-78; am. (3) and (7), Register, February, 1980, No. 290 , eff. 3-1-80; r. (6) and (9), renum. (7), (8) and (10) to be (6), (7) and (8), Register, August, 1980, No. 296 , eff. 9-1-80; r. and recr. Register, September, 1981, No. 309 , eff. 10-1-81; am. (4), cr. (8), Register, December, 1984, No. 348 , eff. 1-1-85; am. (2), (3), (4) (a) and (b) and (6), Register, May, 1987, No. 377 , eff. 7-1-87; am. (4) (a) and (5) (b), Register, January, 1992, No. 433 , eff. 2-1-92; cr. (8) (e), Register, April, 1992, No. 436 , eff. 5-1-92; am. (4) (a) and (c), Register, June, 1992, No. 438 , eff. 7-1-92; emerg. am. (1), (2), (4) (a), (c), (5) (a), (8) (a) to (c) and (e), cr. (9), eff. 3-12-93; emerg. am. (3), (4) (b), (c) and (6), r. and recr. (4) (a), cr. (4) (am) and (as), eff. 7-1-93; am. (1), (2), (3), (c), (5) (a), (8) (a) to (c) and (e), cr. (4) (am), (as), (9), r. and recr. (4) (a), Register, July, 1993, No. 451 , eff. 8-1-93; emerg. am. (4) (a), eff. 10-9-95; am. (4) (a) and (am), Register, February, 1996, No. 482 , eff. 3-1-96; am. (4) (a), (am) and (as), Register, January, 1999, No. 517 , eff. 2-1-99; cr. (4) (av), Register, October, 2000, No. 538 , eff. 11-1-00; CR 01-074 : am. (4) (am), (5) (a), (c) and (d), cr. (5) (d) 1. to 14. and (5) (e), r. (7) and (9), Register January 2002 No. 553 , eff. 2-1-02; CR 05-111 : am. (3) and (4) (a) to (av), cr. (4) (ax) Register October 2006 No. 610 , eff. 11-1-06; CR 07-096 : am. (2) and (4) (a) Register March 2008 No. 627 , eff. 4-1-08; CR 09-022 : am. (2), (3), (4) (a), (b), (c), (8) (a), (b), (c) and (e), cr. (4) (an) and (ap) Register August 2009 No. 644 , eff. 9-1-09.

Note

A free copy of each form referenced in this section may be obtained from the office of the commissioner of insurance, P.O. Box 7872, Madison, WI 53707-7872 or on the office of the commissioner of insurance website at http://oci.wi.gov/ . Microsoft Windows NT 6.1.7601 Service Pack 1