HB63 Alabama 2014 Session

Summary

Primary Sponsor

Howard Sanderford

Republican

Session

Regular Session 2014

Title

Insurance Department, licensing of insurance producers, title insurance agents, or independent adjusters, applicants, fingerprinting for criminal background check, provisions regarding transfer to National Association of Insurance Commissioners (NAIC's) deleted, Secs. 27-7-4.4, 27-9A-17, 27-25-4.6 am'd.

Summary

HB63 would remove references to submitting and storing electronic fingerprint records with the NAIC for a central repository, changing how fingerprint data is handled for licensing of insurance producers, title agents, and independent adjusters.

What This Bill Does

The bill amends fingerprinting rules for insurance license applicants (producers, title agents, and independent adjusters) and keeps background checks through the Alabama DPS and the FBI. It allows the Department of Insurance to contract fingerprint collection with applicants paying a fee, and lets the commissioner waive fingerprint submission for individuals whose fingerprints are already on file with NAIC. It would remove requirements to permanently store electronic fingerprint records with the NAIC central repository and provides for delayed enforcement for up to 24 months after the act’s effective date.

Who It Affects

• Individuals applying for initial resident licenses as insurance producers, title insurance agents, or independent adjusters in Alabama (affected by fingerprint submission, background checks, and potential contractor fees).
• Executives, directors, and major owners (51% or more of voting securities) of business entities applying for license eligibility (affected by entity-level fingerprint requirements and related procedures).

Key Provisions

• Requires fingerprints for initial resident applicants for insurance producer license and to submit fingerprints and fees to the Alabama DPS and FBI for state and national criminal history checks.
• Requires a full set of fingerprints (including a scanned file from a hard copy) to obtain national criminal history records from the FBI CJIS.
• Authorizes the commissioner to contract for collection, transmission, and resubmission of fingerprints; fees may be paid by the applicant to the contractor.
• Allows a waiver of fingerprint submission for individuals who have previously furnished fingerprints on file with NAIC central repository.
• Authorizes the commissioner to receive criminal history information from the FBI instead of the Alabama DPS and to submit electronic fingerprint records and identifying information to the NAIC for permanent retention in a centralized repository (for purposes of background checks).
• Prohibits subpoenas of fingerprint records and requires confidentiality with security measures; records are limited to authorized purposes.
• Provides for delayed enforcement of up to 24 months after the act’s effective date, as determined by regulation.
• Effective date is immediate upon passage and approval by the Governor (or otherwise becoming law).

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Insurance Department