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054.00.50-4. Educational Requirements

AR ADC 054.00.50-4Arkansas Administrative CodeEffective: February 7, 2016

West's Arkansas Administrative Code
Title 054. Insurance Department
Division 00.
Rule 50. Continuing Education for Producers and Adjusters
Effective: February 7, 2016
Ark. Admin. Code 054.00.50-4
054.00.50-4. Educational Requirements
A. Number of Course Hours
1. Upon the effective date of this Rule, any non-exempt persons licensed as producers shall, biennially on or before their birthdays, satisfactorily complete a minimum of twenty-four (24) hours of continuing education instruction approved by the Commissioner, which must include at least three (3) hours of ethics in each two year license renewal cycle, if the individual is licensed to sell:
a. Life insurance;
b. Accident and health or sickness insurance;
c. Property insurance;
d. Casualty insurance;
e. Variable products insurance; or
f. Personal lines insurance.
2. Upon the effective date of this Rule, any person who holds an adjuster license shall satisfactorily complete a minimum of twenty-four (24) hours of continuing education instruction approved by the Commissioner, which must include three (3) hours of ethics in each two year license renewal cycle. This provision shall not apply to:
a. An adjuster that is licensed in another state;
b. The licensing state requires continuing education; and
c. The adjuster has satisfied the continuing education requirements of the licensing state or designated home state.
3. If a person is a non-exempt producer required to obtain continuing education under this Section and a licensed adjuster, that person shall be required to meet the continuing education requirements of both licenses.
4. The continuing education requirements in this section do not apply to title insurance agents. License renewal and continuing education requirements for title insurance agents are governed by Rule 87.
B. Biennial Licensing Period
1. Effective until January 1, 2011, all initial licensees and all renewal licensees for the above-referenced licensees will continue to be issued on an annual basis, with the continuing education requirements of eight (8) or ten (10) hours due annually.
2. Effective January 1, 2011, continuing education will be due biennially under the following schedule:
a. For existing individual licensees born in odd-numbered years, a two-year license will be issued for the 2011 renewal on the licensee's birth date, and renewed biennially thereafter. Twelve hours (12) of continuing education, which must include two hours of ethics, must be completed prior to the licensee's renewal in 2011. Beginning in 2013, the continuing education requirements of twenty-four (24) hours, which must include three (3) hours of ethics, will be due at each two year license renewal cycle based on the licensee's birth date. The first continuing education requirement of twenty-four (24) hours, which must include three (3) hours of ethics, is due by the expiration/renewal birth date in 2013, and at each subsequent two year license renewal.
b. For existing individual licensees born in even-numbered years, a one-year license will be issued for the 2011 renewal on the licensee's birth date. Resident producers and adjusters will be required to have twelve (12) hours of continuing education, which must include two (2) hours of ethics, due for license renewal in 2012. Beginning in 2012, these licensees will renew their licenses for a two-year period and renew biennially on their birth date thereafter. The continuing education requirement of twenty-four (24) hours, which must include three (3) hours of ethics, will be due at the first two year license renewal cycle based on the licensee's birth date in 2014 and biennially on the birth date thereafter.
c. For new individual licensees issued in 2011 and subsequent years, license renewal periods will not be based on birth year. The initial license will be issued for a two-year period and renewed biennially on the licensee's birth date thereafter. The continuing education requirements of twenty-four (24) hours, which must include three (3) hours of ethics, will be due at each two year license renewal cycle.
d. The continuing education requirements for resident adjusters and for those non-residents who have qualified for an Arkansas Adjuster license by taking the Arkansas adjuster exam will be 24 hours every two years of which 3 hours must be ethics. The requirement for adjusters to complete continuing education on or before their birthday will start January 1, 2012. Non-residents who have qualified by being licensed as an adjuster in their home state are exempt from continuing education requirements.
C. Requirements for Continuing Education to Qualify as Distance Learning
1. “Distance Learning” means a classroom educational program in which the licensee and the instructor may be in different physical locations yet interact with each other through various methods of telecommunications, including but not limited to video teleconference or webinar.
2. There shall be five required parts to a Distance Learning Continuing Education course: video imagery, interactivity, written materials, attendance verification, and a technology help line.
a. The video imagery shall constitute a live continuing education provider or instructor, with interactive abilities, which include, but are not limited to, allowing for attendees to ask real time questions and be assisted by continuing education providers, instructors, or proctors, in real time.
b. Written materials shall be available in hard copy or in downloadable format and may be projected as part of the video imagery during the course of the Distance Learning presentation.
c. A technology help line shall be available prior to, during, and after the Distance Learning presentation. This technology help line shall be adequate in staff size to assist attendees within a reasonable amount of time during the course of the Distance Learning presentation.
3. The Distance Learning provider shall be able to verify attendance and shall provide that attendance verification to the Department.
4. A form shall be made available on the Department's License Division website that shall be executed by the Distance Learning provider and submitted to the Department electronically so that the attendee may receive credit for the Distance Learning course. The form shall be submitted to the Department no later than ten days after attendee completes the Distance Learning course.
D. Course Approval
Subject to submission and approval of the Commissioner, the courses or programs of instruction successfully completed which shall be deemed to meet the Commissioner's standards for continuing education requirements are:
1. Any part of the Life Underwriting Training Council Life Courses Curriculum and Health Courses;
2. Any part of the American College “CLU” diploma curriculum;
3. Any part of the Insurance Institute of America's Program in general insurance;
4. Any part of the American Institute for Property and Liability Underwriters' Chartered Property Casualty Underwriter professional designated program;
5. Any part of the Certified Insurance Counselor Program;
6. Any course offered by Certified Health Consultant;
7. Any course offered by Registered Health Consultant;
8. Any insurance related course approved by the Commissioner and offered by an accredited college or university;
9. Any course or program of instruction, seminar, or meeting sponsored by any authorized insurer, recognized producers' association, insurance trade association, or any independent program of instruction;
10. Any correspondence courses, including, but not limited to, correspondence courses offered via the Internet, subject to the following:
a. All correspondence courses must have a sealed and numbered written examination which measures the licensee's knowledge of the information. Course providers may also add oral or electronic correspondence courses, with oral or electronic examinations. Electronic filings with the Arkansas Insurance Department's License Division (“License Division”) are encouraged and permitted;
b. All correspondence course examinations must be proctored or include an attestation or certification to be completed by the licensee verifying that the licensee is the person who is completing the course and exam;
c. Proctors must provide an affidavit attesting under oath or affirmation that the correspondence or electronic course examination was proctored and/or included the attestation or certification required by § 4D(10)(b), that the examination was provided in a manner specified by the correspondence course provider, and that they are not part of or aware of any efforts to circumvent the requirements of the examination, as provided in Appendix G;
d. Appendix G must accompany the filing of the Appendix H roster and these must be retained in the providers records. Correspondence course providers shall maintain all records or electronic copies of records on proctors and proctored examinations;
e. Any person with no family or financial relationship to the licensed producer or adjusters may proctor an examination under this Rule;
f. Course providers' filings must explain how correspondence course exams will not be duplicated for any two (2) test takers; and
g. Correspondence courses approved and subsequently purchased by the producer or adjuster, prior to the effective date of this Rule, may be governed by this Rule; however course providers must contact the License Division to reconfirm credit hours.
11. Any other course or program approved by the Commissioner.
12. Subject to approval by the Commissioner, the active annual membership of the licensed producer or adjuster in local, regional, state, or national professional insurance organizations or associations may be approved for up to two (2) annual hours of instruction. These hours shall be credited upon timely filing with the Commissioner or his designee appropriate written evidence acceptable to the Commissioner of such active membership in the organization or association.
E. Course Hour Valuation
1. The Commissioner shall assign the number of continuing education hours for which approved courses qualify.
2. Key Components - Filings must include and clearly demonstrate:
a. Material that is current, relevant, accurate, and that includes valid reference materials, graphics and interactivity;
b. Clearly defined objectives and course completion criteria;
c. Specific instructions to register, navigate, and complete the course work.
d. Technical support/provider representative available during business hours;
e. Process to authenticate student identity; and
f. Method for measuring the student's successful completion of course material and for evaluating the learning experience.
3. Acceptable Procedures to determine Appropriate Number of Credit Hours - Select and File one (1) of three (3) Methods below per Course:
a. Method A:
i. 600-700 words (standard font size) = one (1) text page;
ii. Textbooks/workbooks/other printed material - one (1) credit for every fifteen (15) pages;
iii. Three (3) screens with an aggregate total of approximately 600-700 words - one (1) text page;
iv. Forty-five (45) screens - one (1) hour of credit;
v. Divide total screens by forty-five (45) - total number of credit hours;
iv. [FN1] Multiply number of hours by 1.00 for a basic level course; 1.25 for an intermediate level; 1.50 for an advanced course for additional study time = total number of credit hours (fractional hours rounded up if .50 or above and rounded down if .49 or less).
b. Method B:
i. Divide total number of words by one hundred eighty (180) (documented average reading time) = number of minutes to read material;
ii. Divide number of minutes by fifty (50) = credit hours;
iii. Multiply number of hours by 1.00 for a basic level course; 1.25 for an intermediate level; 1.50 for an advanced course for additional study time = total number of credit hours (fractional hours rounded up if .50 or above and rounded down if .49 or less).
c. Method C:
Oral Presentations: Providers may use the timed outline method for speeches and other oral presentations intended for continuing education credits. Providers should file a detailed description of the proposed subject of the program or course, including a timed course outline, list of any resource materials, and list of speakers or instructors or proctors.
F. Certificates and Evidence of CE Completion
Certificates of Completion (see Appendix E) which were issued to producers prior to the effective date of this Rule will be valid for filing with the Commissioner until the expiration date listed on the certificate. Course providers are no longer required to issue Certificates of Completion. Instead, filing of CE completion will be evidenced by the course provider upon filing with the Department either an Appendix G or an Appendix H roster within ten (10) days from the completion of the course of instruction. Upon specific request, course providers may continue to issue Certificates of Completion or other evidence of course completion, but no filing of such is to be made with the Department.
G. Course Repetition
Courses may not be repeated within a 2-year period of time.

Credits

Amended Sept. 30, 2010; Oct. 16, 2010; Feb. 7, 2016.
[FN1]
So in original.
Current with amendments received through May 15, 2024. Some sections may be more current, see credit for details.
Ark. Admin. Code 054.00.50-4, AR ADC 054.00.50-4
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