Section 26-A199. DEFINITIONS

For the purposes of this chapter, the following words and phrases shall have the meanings ascribed:

 

Birth month - The month of the calendar year in which an individual insurance producer, or an applicant for licensure as an individual insurance producer, was born.

 

Car rental limited line insurance - Insurance offered, sold, or solicited in connection with and incidental to the rental of rental cars for a period of up to sixty (60) days, whether at the rental office or by pre-selection of coverage in master, corporate, group, or individual agreements that:

 

(a)Is non-transferable;

 

(b)Applies only to the rental car that is the subject of the rental agreement; and

 

(c)Is limited to the following kinds of insurance:

 

(1)Personal accident insurance for renters and other rental car occupants, for accidental death or dismemberment, and for medical expenses resulting from an accident that occurs during the rental period;

 

(2)Liability insurance that provides protection to the renters and other authorized drivers of a rental car for liability arising from the operation or use of the rental car during the rental period;

 

(3)Personal effects insurance that provides coverage to renters and other vehicle occupants for loss of, or damage to, personal effects in the rental car during the rental period;

 

(4)Roadside assistance and emergency sickness protection insurance; or

 

(5)Any other coverage designated by the Commissioner.

 

Credit limited line insurance - Credit life, credit disability, credit property, credit unemployment, involuntary unemployment, mortgage life, mortgage guaranty, mortgage disability, guaranteed automobile protection insurance, or any other form of insurance offered in connection with an extension of credit that is limited to partially or wholly extinguishing that credit obligation and that is designated by the Commissioner as limited line credit insurance.

 

Crop limited line insurance - Insurance providing protection against damage to crops from unfavorable weather conditions, fire or lightning, flood, hail, insect infestation, disease or other yield-reducing conditions or perils provided by the private insurance market, or that is subsidized by the Federal Crop Insurance Corporation, including Multi-Peril Crop Insurance.

 

Home state - The District of Columbia or any state or territory of the United States in which an insurance producer: (1) Maintains his or her principal place of residence or principal place of business; and (2) Is licensed as a resident insurance producer.

 

License period - The period of time starting on, and including, the day on which an insurance producer license becomes effective and ending on, and including, the day on which the license expires absent renewal. For the purposes of this definition, a license that is renewed becomes effective on the date the renewal is effective.

 

Surety limited line insurance - Insurance or bond that covers obligations to pay the debts of, or answer for the default of another, including faithlessness in a position of public or private trust. For the purposes of limited line licensing, surety limited line insurance does not include surety bail bonds.

 

Travel limited line insurance - Insurance coverage for trip cancellation, trip interruption, baggage, life, sickness and accident, disability, and personal effects when limited to a specific trip and sold in connection with transportation provided by a common carrier.

 

APPENDIX 1 - CASUALTY INSURANCE COURSE REQUIREMENTS

 

SECTION A

 

I. PRINCIPLES OF INSURANCE -- 2 Hours

 

A. Nature of risk

B. Risk management

C. Insurable and noninsurable risk

D. Pooling concept-- law of large numbers

E. Government as insurer

F. Forms of ownership

G. Marketing systems

H. Competition in the industry

I. Functions of insurers

J. Reinsurance

 

II. General District of Columbia Laws -- 3 Hours

 

A. Broad powers and duties of the Commissioner of Insurance

B. Knowledge of administrative action process, including hearings and penalties

C. Purpose of licensing, including procedures and who must be licensed

D. Record keeping and changes in agent status, including change of address

E. Agent license expiration, revocation, suspension, and limitation

F. General regulations regarding misrepresentation, knowledge of acts of agent, rebating

G. Regulation of specific insurance contract changes regarding cancellation, nonrenewal, notice of proof of loss, and payment of claims

H. Unfair claims methods and practices--timely payment of claims

I. Fair rating practices

J. Home solicitation requirements

K. Written disclosure of fees other than commissions

 

III. Ethics -- 3 Hours

 

A. Fiduciary duties, and responsibilities

B. Conflict of interest

C. Ethical marketing practices, including fair and ethical treatment of policyholders

D. Appropriate claims practices

E. Suitability of product client

F. Social responsibility of an insurance agent

G. Agent/company relationships

H. Maintaining appropriate insurance expertise

I. Education of policyholders

J. Understanding of client needs

 

SECTION B

 

IV. Policies, Terms, and Concepts -- 6 Hours

 

A. Types of policies, bonds, and related terms

 

1. General liability

 

a. Owners, landlords, and tenants liability

b. Manufacturers and contractors liability

c. Products and completed operations liability

d. Contractual liability

e. Commercial general liability

f. Premises/operations liability

g. Owners and contractors protective liability

 

2. Automobile Insurance - personal & family auto and business & commercial auto

 

a. Physical damage (collision and comprehensive)

b. Uninsured motorists

c. Underinsured motorists

d. Named insureds

e. Insureds

f. Owned automobile

g. Nonowned automobile

h. Temporary substitute auto

 

3. Workers' compensation

4. Professional liability

5. Umbrella/excess liability

 

 

B. Insurance terms and related concepts

 

1. Risks

2. Hazards

3. Indemnity

4. Insurable interest

5. Actual cash value

6. Negligence

7. Liability

8. Accident

9. Occurrence

10. Burglary

11. Robbery

12. Theft

13. Mysterious disappearance

14. Fidelity (employee dishonesty)

15. Warranties

16. Representations

17. Concealment

18. Bodily injury liability

19. Property damage liability

20. Personal injury liability

21. Limits of liability

22. Deductibles

23. Incidental contracts

24. Binders

 

 

C. Policy provisions

 

1. Declarations

2. Insuring Agreement

3. Conditions

4. Exclusions

5. Definition of the Insured

6. Duties of the Insured

7. Cancellation and Nonrenewal Provisions

8. Supplementary Payment (Additional Coverages)

9. Proof of Loss

10. Notice of Claim

11. Arbitration

12. Pro Rata Liability (Other Insurance)

13. Subrogation

14. Compliance with Provisions of Fair Credit Reporting Act

15. Claims Made Policy Form

16. Salvage

17. Consent to Settle a Loss

18. Limitations

 

 

V. District of Columbia Insurance Law -- 6 Hours

 

A. General rate standards

B. Prohibited classifications of risks

C. Surplus lines

 

1. Definition

2. Prohibitions and restrictions

3. Responsibilities of agents and brokers

 

D. Oral contracts

E. Automobile liability

 

1. Financial responsibility

 

a. Definitions

b. Persons required to show proof

 

2. Required coverages and prohibited exclusions Uninsured motorist

3. Cancellation or nonrenewal

4. Responsibility for minors operating motor vehicles

5. District of Columbia Automobile Insurance Plan (DCAIP)

 

F. Worker's compensation

 

1. Purpose

2. Definitions

 

source

Final Rulemaking published at 56 DCR 61 (January 2, 2009).