Uniform Treatment/Licensing Reciprocity Information at NIPR web site
The uniform treatment project is an initiative intended to address the multi-state licensing system currently in place. Uniform treatment means that all participating states agree to license non-resident producers, who are in good standing in their resident states, without imposing additional restrictions or qualifications not required of resident producers. To help facilitate this process, the NAIC developed the (i) Declaration of Uniform Treatment, (ii) the Uniform Application for Non-Resident Individual Insurance Producer License, (iii) the Uniform Application for Non-Resident Business Entity Insurance License/Registration, (iv) the Individual Resident Individual Insurance Producer License and (v) the Uniform Application for Resident Business Entity Insurance License/Registration.
The Declaration of Uniform Treatment is a common statement of principles concerning non-resident licensing. By signing the Declaration, a state commits itself to treating resident and non-resident producers in the same way and commits to accepting the uniform applications as the only non-resident licensing applications. Under the new system, a producer residing in a state that participates in the uniform treatment project is able to take advantage of a more streamlined, efficient licensing system. A producer only needs to complete one non-resident uniform application that can be filed in states that have agreed to accept the uniform non-resident application. All producers must continue to meet and fulfill the state specific licensing requirements that may be in place in the participating states. While not specifically addressed under the Declaration of Uniform Treatment, states are beginning to implement the use of a Uniform Resident Application with the Ultimate goal being the implementation of a uniform application for both resident and non-resident applicants.
In response to the passage of the Gramm-Leach-Bliley Act (GLBA) and the potential creation of the National Association of Registered Agents and Brokers (NARAB), the NAIC modified the Declaration of Uniform Treatment and developed the Declaration of Reciprocity. The Declaration of Reciprocity was circulated to the state insurance commissioners, directors and superintendents in July, 2000 and sets forth the key licensing reciprocity mandates of the Gramm-Leach-Bliley Act (GLBA). In September of 2002, the NAIC certificated that 35 states have implemented the licensing reciprocity mandates of GLBA.
While the Declaration of Reciprocity and the establishment of licensing reciprocity standards was a necessary interim step to preventing the creation of NARAB, the NAIC continues to pursue uniform licensing standards that can be utilized in all states. States will continue to use the Uniform Non-Resident and Resident Licensing Applications as they strive to create uniform licensing standards and implement the use of a uniform application for residents and non-residents.
For more information contact:
Uniform Treatment
Tim Mullen
NAIC, 2301 McGee, Suite 800
Kansas City, MO 64108-2604
(816) 783-8260
tmullen@naic.org
Licensing Reciprocity
Becky McElduff
NAIC, 2301 McGee, Suite 800
Kansas City, MO 64108-2604
(816) 783-8058
bmcelduf@naic.org
States Participating - Licensing Reciprocity
AL, AK, AR, AZ, CO, CT, DE, DC, GA, HI, IL, ID, IN, IA, KS, KY, LA, ME, MD, MA, MI, MN, MO, MS, MT, NE, NJ, NV, NH, NM, NY, NC, ND, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, WV, WI, WY
States Not Participating
AS, CA, FL, GU, PR, VI, WA
To be considered actively participating in Uniform Treatment/Licensing Reciprocity -(UT/LR) - a State's Commissioner has signed the Licensing Reciprocity Declaration and submitted a copy of the agreement to the NARAB Working Group or the NAIC Legal Department.