Section 3119.10  Purpose

 

The purpose of this Part is to establish pre-licensing education requirements for applicants for an insurance producer license, establish continuing education requirements for licensed insurance producers, and establish requirements for providers and instructors of pre-licensing and continuing education courses.  Additionally, this Part establishes disqualification and non-compliance penalty provisions for providers.

 

(Source:  Amended at 34 Ill. Reg. 5856, effective April 7, 2010)

 

Section 3119.20  Definitions

 

For the purposes of this Part, the following definitions shall apply:

 

Code means the Illinois Insurance Code [215 ILCS 5].

 

            Contact instruction means a course presented in a classroom or seminar format.

 

            Course means any course of study certified to the Director that meets the requirements of this Part, including but not limited to seminar, classroom, and self-study formats.

 

            Date of Original Issue means the date of the issuance of a producer's license.  Any lapse or suspension of 1 year or more shall establish a new date of original issue and subject the person to this Part.

 

            Department means the Department of Insurance.

 

            Director means the Director of the Department of Insurance of the State of Illinois or anyone to whom the Director's responsibilities and authority are lawfully delegated.

           

Interactive Online means self-study courses only presented on the Internet that do not require a proctored final exam.

 

Long Term Care Training (LTCT) means prescribed training required by licensed producers prior to the producer being allowed to sell long term care insurance coverage.  This training is required pursuant to 50 Ill. Adm. Code 2012.121 and may satisfy a part of the continuing education requirement if the course is filed with the Department as a continuing education course.

 

            Provider means any person who offers a course for which certification has been received by the Director.

 

            Successful Completion means passing an examination with a score of 70% or above in accordance with criteria established by the provider.

 

            Supervised Examination means a proctored, timed and closed book examination.

 

(Source:  Amended at 34 Ill. Reg. 5856, effective April 7, 2010)

 

Section 3119.30  Provider Responsibilities

 

a)         Each provider shall submit a certification to the Director for each course it intends to offer for pre-licensing or continuing education credit.  Certification is to be submitted to the Department of Insurance at least 30 days prior to the first date the course will be offered.  Certification must be accompanied by the appropriate fee (see 215 ILCS 5/500-135(a)(6) or (7)), be signed and dated by the provider, and contain: the provider's name; Federal Employer Identification Number (FEIN) and/or Social Security number of the individual provider; contact person and that person's telephone number; published provider telephone number; course title; first date course will be offered; whether the course is for public education; class of insurance to which the course is applicable; and type of course instruction (see 215 ILCS 5/500-35(b)(1)).  The certification format and content have also been posted to the Department's website at:  www.insurance.illinois.gov/Producer/producer_information.asp and will be made available upon request from the Department.  Use of the National Association of Insurance Commissioners (NAIC) Midwest Zone Form is also permissible for purposes of certification.

 

b)         Each provider shall submit a new certification when there is a significant change in the course.  No provider shall submit the same or substantially the same course content for more than one course.

 

c)         Each provider shall maintain a copy of all instructional materials for each course.  If the provider ceases to offer a course or makes a significant change in the course materials, the provider shall maintain the original material for 1 year from the date the course was terminated or significantly changed.

 

d)         Each provider shall maintain the following records for 3 years at a central location:

 

1)         Classroom or seminar – roster for each classroom course or seminar identifying the instructors, the student, the course, the location, the date and hours of attendance, the completion date, the examinations and the results of any examinations administered.

 

2)         Self-study online – name of student, name of course, date of completion, the examinations, the results of examinations, and other applicable proof of completion.

 

e)         Each provider shall provide to the Director a list of students who have successfully completed a pre-licensing or continuing education course.  The list shall contain course number; credit hours; course title; reporting week being submitted; provider name; FEIN and/or Social Security number for the individual provider; and student data (including student name and Social Security number, date course completed and either class of insurance for pre-licensing or credit hours for continuing education).  The information shall be submitted by an electronic method of transfer prescribed by the Director and in the specifications established by the Director.  Each list shall be received by the Director within 10 days following the end of the week in which the course was completed.  The list shall be compiled pursuant to the criteria established in Section 3119.50(b) and (e) or Section 3119.65.  The date of completion for a course with an examination shall be the date the examination is graded by the provider.  Other than the original course fee, no additional fee shall be charged to the student for reporting the student's successful completion to the Department.  If the initial report contains an error, no additional charge shall be given for re-reporting the credits to the Department.

 

f)         Instructors shall have either a Bachelor's degree or 3 years experience in the course subject matter.  Providers must maintain evidence of such qualifications while the instructor is actively engaged in instructing the course and for 1 year thereafter.

 

g)         Providers shall, upon the request of the Director, provide a copy of all course material, provider records, and evidence of instructor's qualifications to the Director.  All such requests shall be subject to a warrant of the Director and for the express purpose of gauging compliance with the Code and Department of Insurance regulations pertaining to the Code.

 

h)         The Director may make arrangements, including contracting with an outside service administrator, for the purpose of administrating and collecting the educational data from the providers.  Under such an arrangement, all or a portion of the reporting requirements of the provider shall be made to the servicing administrator.

 

i)          Providers may not advertise a pre-licensing or continuing education course unless it has been approved by the Department of Insurance.

 

(Source:  Amended at 34 Ill. Reg. 5856, effective April 7, 2010)

 

Section 3119.40  Responsibilities of Applicant for Insurance Producer Licenses and Licensed Insurance Producers Until 1/1/97 (Repealed)

 

(Source:  Repealed at 21 Ill. Reg. 13820, effective October 15, 1997; error in filed page corrected at 26 Ill. Reg. 16522, effective October 28, 2002)

 

 

Section 3119.45  Responsibilities of the Applicant for Insurance Producer Licenses and the Licensed Insurance Producers

 

a)         Applicants for Insurance Producer Licenses

 

1)         Prior to taking the licensing examination, each applicant shall complete the pre-licensing education requirements for each class of insurance for which an examination is being taken.  The pre-licensing education course must be used within 1 year after completion.

 

2)         Applicants who either have earned a college degree in insurance or hold any of the designations listed in this subsection (a)(2) will be exempt from the pre-licensing requirement of this Part.  A copy of the college degree or certification for the following designations must be provided to the Department at the time of licensure application.

 

Class of Insurance	Designation
Life	CEBS, ChFC, CIC, CFP, CLU, FLMI, and LUTCF
Accident and Health	RHU, CEBS, REBC, and HIA
Property and Casualty	AAI, ARM, CIC, and CPCU

 

3)         The following abbreviations and acronyms are used in subsection (a)(2):

 

	Life Designations
CEBS	Certified Employee Benefits Specialist
ChFC	Chartered Financial Consultant
CIC	Certified Insurance Counselor
CFP	Certified Financial Planner
CLU	Chartered Life Underwriter
FLMI	Fellow Life Management Institute
LUTCF	Life Underwriting Training Council Fellow
	Accident and Health Designations
RHU	Registered Health Underwriter
CEBS	Certified Employee Benefits Specialist
REBC	Registered Employee Benefits Consultant
HIA	Health Insurance Associate
	Property and Casualty Designations
AAI	Accredited Advisor Insurance
ARM	Associate in Risk Management
CIC	Certified Insurance Counselor
CPCU	Chartered Property and Casualty Underwriter

 

b)         Licensed Insurance Producers

 

1)         Each producer shall complete 24 hours of continuing education requirements prior to requesting an extension of an insurance producer license.  As set forth in subsection (b)(5), three of the 24 hours of continuing education must consist of classroom ethics.  The producer should complete the course no later than 1 month prior to the license extension date to allow time for the provider to submit proof of completion to the Director.  Each producer shall maintain a record of each course completed for 3 years from the date of completion.  The record shall include the name of the provider, the course title, and the date of completion.

 

2)         Hours taken, course material provided or presented, in whole or in part, or in conjunction with a pre-licensing course that is not certified as pre-licensing education requirement, shall not be used to meet continuing education requirements.

 

3)         Courses initiated or completed prior to the original issue date of the license shall not be used to meet continuing education requirements.

 

4)         The producer may accumulate a maximum of 36 credit hours on file with the Department.

 

5)         Each producer whose license is subject to renewal shall meet the classroom ethics instruction requirement by registering for, and successfully completing, three hours of classroom ethics instruction.

 

(Source:  Amended at 34 Ill. Reg. 12802, effective August 20, 2010)

 

Section 3119.50  Pre-Licensing – Course of Study Requirements

 

a)         The certification form must be received by the Director at least 30 days prior to any course being offered.

 

b)         A course to be certified by the provider as a pre-licensing course of study shall meet the content requirements of Section 500-30(b) of the Code  and time distribution requirements as set forth in Exhibit E, F, G or H of this Part, whichever is applicable.

 

c)         For purposes of this Section, the minimum number of hours may be made up of any combination of classroom, seminar, or self-study hours.  A self-study course must have an examination.

 

d)         One credit will be awarded for each 50 minutes of contact instruction.

 

e)         No credit shall be given for a self-study course if the student does not successfully complete the examination.  If the student fails an examination and successive examinations are given, the successive examinations must be substantially different from each other. Self-study courses are subject to the following additional requirements:

 

1)         No students shall evaluate their own examination. The evaluation of the examination must be completed by the provider;

 

2)         No provider shall furnish the answers to an examination prior to the student completing the examination;

 

3)         Self-study exams must contain at least 25 questions.  The number of questions must increase proportionately as the amount of material increases;

 

4)         No more than a third of the questions shall be true/false;

 

5)         Credit hours shall be determined by the time it may take a student to study the material using 10 8½" by 11" full pages per credit hour (10-12 point font text), single line spacing with 1" margins; and

 

6)         Graphs, charts, forms and pictures may be used in course materials; however, only a total of 10 percent will count toward the course content.  The graphs, charts, forms and pictures must pertain to the course content.

 

f)         Interactive Online Courses

Interactive online is considered a type of self-study course.  Interactive online courses are, by definition, only presented on the Internet and do not require a proctored final exam.  To be eligible for certification under Section 3119.30, an interactive online course must meet the following additional requirements:

 

1)         The course must provide at least 5 questions after each unit or chapter.  The questions must be answered prior to proceeding to the next unit or chapter.  The material may be reviewed while answering questions;

 

2)         The course must provide clear instructions on how to navigate through the course;

 

3)         The course must provide the ability to go back and review any unit at any time;

 

4)         The course must provide online viewing access to the Department at all times;

 

5)         The course must include a statement that the student information will not be sold or distributed to any third party without prior written consent of the student.  Taking the course shall not constitute consent;

 

6)         The course must provide some type of encryption.  All personal information, including credit card number, name and address of the student must be encrypted so that the information cannot be read as it passes across the Internet;

 

7)         Students must affirm that they, and only they, completed the course; and

 

8)         The course must include the ability to contact an instructor (i.e., automated e-mail).

 

(Source:  Amended at 34 Ill. Reg. 5856, effective April 7, 2010)

 

Section 3119.60  Continuing Education Requirements

 

a)         The certification must be received by the Director at least 30 days prior to any course being offered.

 

b)         For purposes of this Section, "full credit" shall mean the reasonable amount of time, as certified by the provider, that is necessary for a student to study for and pass an examination, or in the case of a course with no examination, the number of documented classroom attendance hours.

 

c)         Courses shall be intended to increase the knowledge and understanding of insurance principles and coverages, applicable laws, insurance regulations, agency management, customer service and sales.  The following courses shall not be considered for continuing education:

 

1)         Courses used for insurance pre-licensing training or insurance qualifying examination preparation.

 

2)         Courses with less than 1 hour of certified continuing education credit.

 

3)         Courses in excess of 12 hours of certified continuing education credit.

 

d)         For purposes of this Section, the minimum number of hours may be made up of any combination of classroom, seminar, or self-study hours.

 

e)         One credit will be awarded for each 50 minutes of contact instruction.

 

f)         No credit shall be given for a self-study course if the student does not successfully complete the examination.  If the student fails an examination and successive examinations are given, the successive examinations must be substantially different from each other.  Self-study courses are subject to the following additional requirements:

 

1)         No students shall evaluate their own examination.  The evaluation of the examination must be completed by the provider;

 

2)         No provider shall furnish the answers to an examination prior to the student completing the examination;

 

3)         Self-study exams must contain at least 25 questions.  The number of questions must increase proportionately as the amount of material increases;

 

4)         No more than a third of the questions shall be true/false; and

 

5)         Credit hours shall be determined by the time it may take a student to study the material using 10 8½" by 11" full pages per credit hour (10-12 point font text), single line spacing with 1" margins.

 

g)         Interactive Online Courses

Interactive online is considered to be a type of self-study course.  Interactive online courses are, by definition, only presented on the Internet and do not require a proctored final exam.  To be eligible for certification under Section 3119.30, an interactive online course must meet the following additional requirements:

 

1)         The course must provide at least 5 questions after each unit or chapter.  The questions must be answered prior to proceeding to the next unit or chapter.  The material may be reviewed while answering questions;

 

2)         The course must provide clear instructions on how to navigate through the course;

 

3)         The course must provide the ability to go back and review any unit at any time;

 

4)         The course must provide online viewing access to the Department at all times;

 

5)         The course must include a statement that the student information will not be sold or distributed to any third party without prior written consent of the student.  Taking the course shall not constitute consent;

 

6)         The course must provide some type of encryption.  All personal information, including credit card number, name and address of the student must be encrypted so that the information cannot be read as it passes across the Internet;

 

7)         Students must affirm that they, and only they, completed the course; and

 

8)         The course must include the ability to contact an instructor (i.e., automated e-mail).

 

h)         LTC Training Credit

 

1)         Continuing education credit may be earned based on the criteria established in Section 3119.65.

 

2)         Training credit may be obtained after a failed examination if the provider gives, and the student successfully completes, a substantially different examination.

 

3)         If a student receives training credit only, the provider shall issue a proof of completion certificate to the student but the certificate shall be prominently stamped "NO CON-ED CREDIT".

 

(Source:  Amended at 44 Ill. Reg. 3910, effective March 2, 2020)

 

Section 3119.65  Course Credit

 

The value of course credit for purposes of this Section shall be determined as follows:

 

a)         Supervised Examinations

 

1)         Successful Completion

Students who successfully complete a supervised examination will receive full credit for the course.

 

2)         Unsuccessful Completion

Students who do not successfully complete a supervised continuing education examination shall receive one hour of credit for each hour of documented classroom attendance not to exceed 50% of full credit.

 

b)         Non-Supervised Examination

 

1)         Successful Completion

Students who successfully complete a non-supervised examination will receive full credit for the course.

 

2)         Unsuccessful Completion

Students who do not successfully complete a non-supervised examination will receive no credit.  If the student fails a non-supervised examination and successive examinations are given, the successive examinations must be substantially different from each other.

 

c)         Courses Without Examination

Students will receive credit for documented attendance based on the certified hours assigned to the course.

 

d)         A producer will not be permitted to take a course for credit more than once in a license continuation period.

 

e)         Continuing education instructors may receive continuing education credit for courses they teach.  The credit earned shall be determined pursuant to the criteria established in this Section.

 

(Source:  Amended at 34 Ill. Reg. 5856, effective April 7, 2010)

 

Section 3119.70  Course and Provider Disqualification

 

a)         The Director may disqualify any provider and/or any provider's courses if the Director finds that:

 

1)         the provider or course has not met the requirements of this Part;

 

2)         the provider has made a material misstatement or intentional misrepresentation on a certification form filed with the Director; a misstatement will be considered material if the course would not have been certified in the absence of such statement;

 

3)         the provider has intentionally misrepresented itself or its course to students or prospective students;

 

4)         the provider has violated any commitment made in the request for certification and supplementary attachments to the certification, including failure to maintain the standards and method of operation set forth in the request for certification and any supplementary attachments;

 

5)         the provider has employed instructors who do not meet the requirements of Section 3119.30(f);

 

6)         the provider is deemed by the Director to have failed to act in good faith in providing a course.  A failure to act in good faith may be evidenced by the following:

 

A)        a student pass/fail ratio inconsistent with those of other providers for courses which are similar in content and difficulty;

 

B)        the number of complaints received by the Director that specifically relate to the provider's courses;

 

C)        provides to the student a proof of completion form that contains false or incomplete information;

 

D)        provides to the student a partially completed proof of completion form;

 

7)         the provider has failed to maintain the materials and records pursuant to Section 3119.30;

 

8)         the provider failed to furnish the Director with information and records required by Section 3119.30, or the provider supplied false or incomplete information or records;

 

9)         the provider fails to furnish the Director with an accurate student proof of completion list required by Section 3119.30(e) within 10 days following the end of the week in which the course was completed;

 

10)         The provider has, while conducting business as a provider, used fraudulent or dishonest practices, or has demonstrated incompetence or untrustworthiness.

 

b)         Disqualification of a provider or course shall be by order of the Director and will be sent to the provider by certified or registered mail at the address specified in the Department's records.  The provider may request a hearing in writing in accordance with 50 Ill. Adm. Code 2402, within 30 days from the date of mailing.  If no written request is made, the order shall be final upon the expiration of 30 days.

 

c)         If the provider requests a hearing within 30 days, then the Director shall issue within 30 days after receipt of the request a written notice of hearing to the provider by certified or registered mail and it will be sent to the provider at the address specified in the Department's records.  The notice of hearing must state:

 

1)         The grounds, charges or conduct that justifies disqualification under this Section;

 

2)         A specific time for the hearing, which may not be less than 20 days nor  more than 30 days after the mailing of the notice of hearing; and

 

3)         A specific place for the hearing.

 

d)         Upon disqualification, the provider shall immediately discontinue offering its courses as certified courses.  The Director shall publish all final disqualifications.

 

e)         In any order of disqualification, the Director shall give consideration for credit hours to present students.

 

f)         An education provider who has been disqualified will be ineligible to apply to the Department for 3 years after the date of the disqualification.  A provider whose certification has been disqualified may not be employed, contracted or engaged in any insurance education related capacity during the time the disqualification is in effect.

 

(Source:  Amended at 34 Ill. Reg. 5856, effective April 7, 2010)

 

Section 3119.75  Additional Penalties

 

In addition to, or instead of, course and provider disqualifications as set forth in Section 3119.70, the Director may take any appropriate regulatory action authorized by Article XXIV of the Code or any other provision of the Code or rule against a provider who fails to meet the requirements of this Part.

 

(Source:  Added at 34 Ill. Reg. 5856, effective April 7, 2010)

 

Section 3119.80  Severability

 

If any provision of this Part or the application thereof to any person or circumstance is for any reason held to be invalid, the remainder of the Part and the application of such provision to other persons or circumstances shall not be affected thereby.

Section 3119.EXHIBIT A   REQUEST FOR CERTIFICATION OF A PRELICENSING COURSE (Repealed)

 

(Source:  Repealed at 25 Ill. Reg. 6480, effective May 3, 2001)

Section 3119.EXHIBIT B   REQUEST FOR CERTIFICATION OF A CONTINUING EDUCATION COURSE (Repealed)

 

(Source:  Repealed at 25 Ill. Reg. 6480, effective May 3, 2001)

Section 3119.EXHIBIT C   PROVIDER LIST - PROOF OF COMPLETION FOR PRE-LICENSING EDUCATION (Repealed)

 

(Source:  Repealed at 25 Ill. Reg. 6480, effective May 3, 2001)

 

Section 3119.EXHIBIT D  PROVIDER LIST – PROOF OF COMPLETION FOR CONTINUING EDUCATION (Repealed)

 

(Source:  Repealed at 25 Ill. Reg. 6480, effective May 3, 2001)

Section 3119.EXHIBIT E   COURSE OF STUDY – LIFE

 

Course of Study Content Requirements					Time Distribution Requirements
I.	Types of policies and coverages				32%
	A.	Endowment
	B.	Term
		1.	Level term
		2.	Decreasing term
	C.	Whole Life
	D.	Limited Pay policies
	E.	Combination plan
	F.	Other types of policies:
		1.	Modified life
		2.	Family plans
		3.	Deposit term
		4.	Universal life
	G.	Annuity
	H.	Accidental death and dismemberment
	I.	Uses for term insurance
	J.	Uses for whole life insurance
	K.	Group life
	L.	Industrial insurance

 

II.	Policy provisions, options and benefits			40%
	A.	Entire contract
	B.	Insuring clause
	C.	Free look
	D.	Consideration clause
	E.	Owner's rights
	F.	Primary and contingent beneficiaries
	G.	Change of beneficiary
	H.	Grace period
	I.	Automatic premium loan
	J.	Reinstatement
	K.	Policy loan
	L.	Nonforfeiture options
	M.	Dividends and dividends options
	N.	Guaranteed insurability options
	O.	Incontestability
	P.	Assignment
	Q.	Suicide
	R.	Misstatement of age
	S.	Settlement options
	T.	Waiver of premiums
	U.	Accidental death benefit
	V.	Term riders
	W.	Exclusions
	X.	Conversion Options (individual and group)

 

III.	Completing the application and delivering the policy			16%
	A.	Completing the application and obtaining necessary signatures
	B.	Warranties and Representations
	C.	Complying with provision of Fair Credit Reporting Act and Illinois Insurance Privacy Act
	D.	Explaining the effect of the application with money
	E.	Explaining the effect of the application without money
	F.	The underwriting process
	G.	Delivery and explanation of the policy

 

IV.	Taxes, retirement and other insurance concepts				12%
	A.	Insurable interest
	B.	Third party ownership
	C.	Individual tax shelter plans, IRA, Keogh and TSA
	D.	Social Security benefits and taxes
	E.	Tax treatment of premiums and proceeds of insurance contracts
	F.	Determination of premiums
		1.	Mortality
		2.	Interest
		3.	Mortality
	G.	Policy reserves

 

(Source:  Amended at 20 Ill. Reg. 10340, effective July 19, 1996)

 

Section 3119.EXHIBIT F   COURSE OF STUDY – ACCIDENT/HEALTH

 

Course of Study Content Requirements				Time Distribution Requirements
I.	Types of policies and coverages			30%
	A.	Disability income
	B.	Accidental death and dismemberment and other indemnity plans
	C.	Medical expense insurance
	D.	Medicare and Medicare supplements
	E.	Medicaid
	F.	Limited coverage plans ( cancer plans and travel accident)

 

II.	Policy provisions, options and benefits			30%
	A.	Entire contract
	B.	Insuring clause
	C.	Free look (ten day, twenty day)
	D.	Consideration clause
	E.	Owner's rights
	F.	Change of beneficiaries
	G.	Grace period
	H.	Probationary (waiting) period
	I.	Reinstatement
	J.	Time limit on certain defenses
	K.	Misstatement of age
	L.	Waiver of premiums
	M.	Exclusions
	N.	Payment of claims
	O.	Notice of claims
	P.	Claim forms
	Q.	Proof of loss
	R.	Legal actions
	S.	Time of payment of claims
	T.	Physical examinations and autopsy
	U.	Change of occupation
	V.	Illegal occupation
	W.	Nonduplication and coordination of benefits (e.g., primary vs. excess benefits)
	X.	Group conversions

 

III.	Completing the application and delivering the policy			10%
	A.	Completing the application and obtaining necessary signatures
	B.	Warranties and Representations
	C.	Complying with provision of Fair Credit Reporting Act and Illinois Insurance Privacy Act
	D.	Explaining the effect of the application with money
	E.	Explaining the effect of the application without money
	F.	The underwriting process
	G.	Delivery and explanation of the policy

 

IV.	Group insurance, taxation, and other insurance concepts			16%
	A.	Group insurance
	B.	Occupational vs. nonoccupational coverage
	C.	Total vs. partial disability
	D.	Social Security benefits and taxes
	E.	Service organizations (e.g., Blue Cross/Blue Shield, HMO)
	F.	Tax treatment of premiums and proceeds of insurance contracts (e.g., disability and medical expense)

 

V.	Other provisions affecting insurance benefits			14%
	A.	Deductibles
	B.	Elimination (waiting) period
	C.	Coinsurance
	D.	Preexisting conditions
	E.	Renewability provisions (e.g., noncancellable, guaranteed renewable, conditionally renewable, optionally renewable)
	F.	Covered medical expenses

 

(Source:  Amended at 20 Ill. Reg. 10340, effective July 19, 1996)

Section 3119.EXHIBIT G   COURSE OF STUDY – FIRE

 

Course of Study Content Requirements				Time Distribution Requirements
I.	Insurance and Insurance-Related Concepts			25%
	A.	Risks
	B.	Hazards
	C.	Indemnity
	D.	Insurable interest
	E.	Actual cash value
	F.	Replacement cost
	G.	Coinsurance
	H.	Specified (named) perils
	I.	All-risk
	J.	Burglary
	K.	Robbery
	L.	Theft
	M.	Mysterious disappearance
	N.	Negligence
	O.	Liability
	P.	Accident
	Q.	Occurrences
	R.	Warranties
	S.	Representations

 

II.	Policy Provisions			20%
	A.	Declarations
	B.	Definition of the insured
	C.	Insuring agreement
	D.	Duties of the insured
	E.	Obligations of the company
	F.	Cancellation and nonrenewal provisions
	G.	Supplementary payments (additional coverages)
	H.	Vacancy and unoccupancy
	I.	Abandonment
	J.	Mortgage rights
	K.	Proof of loss (notice of claim)
	L.	Appraisals
	M.	Pro-rata liability (other insurance)
	N.	Assignment
	O.	Subrogation
	P.	Compliance with provisions of Fair Credit Reporting Act

 

III.	Types of Policies							25%
	A.	Standard fire policy
		1.	General property form including extended coverage
		2.	Time element policy
			a.	Gross earnings
			b.	Earnings
			c.	Extra expense
	B.	Homeowners
	C.	Inland marine-Personal article floater and pleasure craft
	D.	Special multi-peril
	E.	National flood
	F.	FAIR plan
	G.	Mine subsidence

 

IV.	Perils, Exclusions, Deductibles, and Liability			24%
	A.	Property covered
	B.	Perils covered
	C.	Exclusions, extensions, limitations, and conditions
	D.	Deductibles
	E.	Limits of liability
	F.	Bodily injury and property damage liability

 

V.	Prospecting and Evaluating Needs			2%
	A.	Keeps current as to changes (e.g., markets, introduction of new coverages) in types of coverages that might expand coverage for current clients or increase the number of potential clients
	B.	Reviews prospect's existing policies to prevent duplication of coverage and determine areas of further potential coverage
	C.	Obtains information necessary to analyze risks, hazards, and exposures
	D.	Analyzes risks, hazards, and exposure in order to determine prospect's needs
	E.	Evaluates continued adequacy of protection, determines unprotected exposures, and recommends suitable changes in coverage
	F.	Contacts accounts at renewal time and reviews existing policies

 

VI.	Servicing Clients			2%
	A.	Explains services (e.g., claims, safety programs) provided by insurance producer and company
	B.	Assists policyowner with service needs (e.g., change of name, change of mode of premium payment)
	C.	Maintains accurate records of client data (e.g., change of address)
	D.	Assists in filing and following up in claims

 

VII.	Presentation and Acceptance			2%
	A.	Informs insured and carrier of date and time coverage takes effect
	B.	Prepares and forwards proposal, application, and other pertinent information to appropriate carrier for underwriting and premium determination
	C.	Maintains complete records of all business transactions as required (e.g., pending files, binders, binder charges, and premium accounting)

 

(Source:  Amended at 25 Ill. Reg. 6480, effective May 3, 2001)

Section 3119.EXHIBIT H   COURSE OF STUDY – CASUALTY/MOTOR VEHICLE

 

Course of Study Content Requirements				Time Distribution Requirements
I.	Insurance and Insurance-Related Concepts			25%
	A.	Risks
	B.	Hazards
	C.	Indemnity
	D.	Insurable interest
	E.	Actual cash value
	F.	Negligence
	G.	Liability
	H.	Accident
	I.	Occurrence
	J.	Burglary
	K.	Robbery
	L.	Theft
	M.	Mysterious disappearance
	N.	Fidelity (employee dishonesty)
	O.	Warranties
	P.	Representations

 

II.	Policy Provisions			20%
	A.	Declarations
	B.	Definition of the insured
	C.	Insuring agreement
	D.	Duties of the insured
	E.	Obligations of the company
	F.	Cancellation and nonrenewal provisions
	G.	Supplementary payments (additional coverages)
	H.	Proof of loss (notice of claim)
	I	Arbitration
	J.	Pro-rata liability (other insurance)
	K.	Subrogation
	L.	Compliance with provisions of Fair Credit Reporting Act

 

III.	Types of Policies						25%
	A.	General Liability
		1.	Owners, landlords, and tenants
		2.	Manufacturers, contractors
		3.	Products and completed operations
		4.	Contractual liability
		5.	Comprehensive general liability
	B.	Automobile-Personal and commercial auto insurance, including assigned risk and involuntary plans
	C.	Workers Compensation
	D.	Crime
		1.	Fidelity
		2.	Open stock burglary
		3.	Mercantile robbery and safe burglary
		4.	Money and security broad form

 

IV.	Perils, Exclusions, Deductibles, and Liability			24%
	A.	Bodily injury and property damage liability
	B.	Perils covered
	C.	Exclusions, extensions, limitations, and conditions
	D.	Limits of liability
	E.	Deductibles

 

V.	Prospecting and Evaluating Needs			2%
	A.	Keeps current as to changes (e.g., markets, introduction of new coverages) in types of coverages that might expand coverage for current clients or increase the number of potential clients
	B.	Reviews prospect's existing policies to prevent duplication of coverage and determine areas of further potential coverage
	C.	Obtains information necessary to analyze risks, hazards and exposures
	D.	Analyzes risks, hazards, and exposures in order to determine prospect's needs
	E.	Evaluates continued adequacy of protection, determines unprotected exposures, and recommends suitable changes in coverage
	F.	Contacts accounts at renewal time and reviews existing policies

 

VI.	Servicing Clients			2%
	A.	Explains services (e.g., claims, safety programs) provided by insurance producer and company
	B.	Assists policyowner with service needs (e.g., change of name, policy loans, change of mode of premium payment)
	C.	Maintains accurate records of client data (e.g., change of address)
	D.	Assists in filing and following up in claims

 

VII.	Presentation and Acceptance			2%
	A.	Informs insured and carrier of date and time coverage takes effect
	B.	Prepares and forwards proposal, application, and other pertinent information to appropriate carrier for underwriting and premium determination
	C.	Maintains complete records of all business transactions as required (e.g., pending files, binders, and binder charges)

 

(Source:  Amended at 25 Ill. Reg. 6480, effective May 3, 2001)