HB60 Alabama 2023 Session

Summary

Primary Sponsor

Corley EllisRepresentative

Republican

Session

Regular Session 2023

Title

Relating to the Alabama Department of Insurance; to amend Sections 27-7-5, 27-7-14.1, 27-9A-6, 27-9A-8, 27-9A-9, 27-9A-11, 27-25-4.1, and 27-25-4.3, Code of Alabama 1975, to delete the requirement for insurance producers, independent adjusters, apprentice independent adjusters, and title insurance agents to complete a prelicensing course of study approved by the Commissioner of Insurance prior to licensure by the department; and to eliminate the issuance of new service representative licenses prospectively and to authorize a current licensee to renew his or her license.

Summary

HB60 would remove prelicensing education requirements for several insurance licenses and stop issuing new service representative licenses, while allowing current service reps to renew.

What This Bill Does

If enacted, people applying to become insurance producers, independent adjusters (including apprentices), and title insurance agents would no longer have to complete a Commissioner-approved prelicensing course before taking licensing exams. Licensing would continue to require other steps like age, background checks, fees, and passing exams, with some existing exemptions for certain lines. The act would end the issuance of new service representative licenses after the effective date, but current service representative licensees may renew; if a license lapses for 12 consecutive months, it cannot be renewed or reactivated. The act becomes effective January 1, 2024.

Who It Affects

• Individuals seeking resident licenses as insurance producers, independent adjusters (including apprentices), or title insurance agents, who would no longer need to complete a prelicensing course.
• Current service representative license holders and entities that would apply for service representative licenses, since no new service representative licenses would be issued after the act and renewals would be limited if the license lapses.

Key Provisions

• Deletes the prelicensing course requirement for insurance producers, independent adjusters (including apprentices), and title insurance agents before licensure.
• Eliminates the issuance of new service representative licenses after the act’s effective date; current licensees may renew, but a lapse of 12 consecutive months prevents renewal or reactivation.
• Maintains license examinations and other qualification steps, with certain line-specific exemptions and continued requirements (e.g., fees).
• Removes the prelicensing course requirement specifically for title insurance licensure.
• Allows the Department to contract with non-governmental entities (e.g., NAIC) to handle licensing functions and to process license-related fees electronically.
• Effective date of the act: January 1, 2024.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.