Esta ley enmienda varias secciones del Código de Seguros de Puerto Rico (Ley Núm. 77 de 19 de junio de 1957) para modificar el proceso de renovación de licencias para aseguradoras, organizaciones de servicios de salud, agentes, corredores, solicitantes, consultores y ajustadores. La ley establece que la renovación de licencias se realizará por incrementos y autoriza al Comisionado de Seguros a establecer la reglamentación necesaria para este proceso, eliminando la fecha fija de renovación para todos.
(Approved March 27, 2003)
To amend subsection (1) of Section 3.190; amend subsection (5) of Section 3.340; amend subsection (1) of Section 7.010; amend subsection (1), eliminate subsection (2), and renumber subsections (3), (4), and (5) of Section 9.420; amend subsection (2) of Section 10.110; amend subsection (5) of Section 12.210; amend subsection (2) of Section 12.350; and add a new Section 19.271 to Act No. 77 of June 19, 1957, as amended, known as the Puerto Rico Insurance Code, to set forth that the renewal of licenses of insurers, health services organizations, agents, brokers, solicitors, consultants and adjusters shall be performed by increments, and to set forth regulations to such effects.
The insurance industry in Puerto Rico has quickly grown into a strong industry that offers innumerable services to our people.
This accelerated growth has caused the Office of the Insurance Commissioner of Puerto Rico to issue about ten thousand licenses to different agents, brokers, solicitors, and adjusters. However, the current Section 9.420 of the Puerto Rico Insurance Code sets forth June 30 of each year as the date for the renewal of licenses for said agents, brokers, solicitors, and adjusters throughout the Island, which causes an unnecessary accumulation of renewal applications in the Office of the Insurance Commissioner.
The Legislature of the Commonwealth of Puerto Rico is primarily interested in introducing the necessary legislation to promote administrative agility in our government agencies. Likewise, it acknowledges the efforts of the Office of the Insurance Commissioner of Puerto Rico to comply fully with the dispositions set forth in Section 9.420. However, the legislative houses believe that the content of the legislation is an unnecessary limitation for the Office of the Insurance Commissioner.
Also, this Legislature is committed to ensuring that our laws are enablers and not obstacles for the government agencies or the services for our citizenry. To said effects, the current Act is hereby approved to grant flexibility in the license renewal process, and to empower the Insurance Commissioner to set forth the license renewal dates.
Section 1.-Subsection (1) of Section 3.190 of Act No. 77 of June 19, 1957, as amended, known as the Puerto Rico Insurance Code is hereby amended to read as follows: "Section 3.190 - Expirations, Renewals, Amendments to Authorization Certificates (1) All authorization certificates issued to an insurer shall continue to be in effect until its expiration, but subject to the payment to the Commissioner of the corresponding annual fee set forth in Section 7.010 of this Code before midnight on the date of expiration."
Section 2.-Subsection (5) of Section 3.340 of Act No. 77 of June 19, 1957, as amended, known as the Puerto Rico Insurance Code is hereby amended to read as follows:
"Section 3.340 - General Agents and Agents (1) ... (2) $\ldots$ (3) $\ldots$ (4) $\ldots$ (5) The license of the general agent, or manager, issued by the Commissioner shall continue to be in effect until same is suspended, revoked, or cancelled, but subject to the payment of the annual fee in the amount stipulated in Section 7.010 of this Code prior to midnight on the date of expiration. (6) $\ldots$ (7) $\ldots$ (8) (9) ..." Section 3.-Subsection (1) of Section 7.010 of Act No. 77 of June 19, 1957, as amended, known as the Puerto Rico Insurance Code is hereby amended to read as follows: "Section 7.010 - Presentation Rights, License and Others (1) As a condition to remain or continue being authorized to procure or process any type of insurance in Puerto Rico, the following persons or entities shall pay to the Commissioner, no later than the date of expiration of their licenses or authorization certificates, the fees specified below:
Section 4.-Subsection (1) is hereby amended, subsection (2) is hereby eliminated, and subsections (3), (4), and (5) are hereby renumbered in Section 9.420 of Act No. 77 of June 19, 1957, as amended, known as the Puerto Rico Insurance Code, to read as follows: "Section 9.420 - License Expirations and Renewals (1) All licenses of agents, brokers, solicitors, consultants and adjusters issued pursuant to the dispositions in this Chapter, except for temporary licenses, shall continue to be in effect until their expiration, suspension, revocation, or cancellation, but subject to the payment to the Commissioner, prior to midnight of the date of expiration, of the annual fees for each license in the amount set forth in Section 701 of this Code, accompanied by the written renewal application for said license. Any license, the written renewal application for which the Commissioner does not receive, along with the payment of fees before midnight on the date of expiration of said license shall be considered as expired on said date. (2) $\ldots$ (3) $\ldots$ (4) ..." Section 5.-Subsection (2) of Section 10.110 of Act No. 77 of June 19, 1957, as amended, known as the Puerto Rico Insurance Code, is hereby amended to read as follows: "Section 10.110 - Insurance Broker Surplus Lines Insurance license; Bond.
(1) $\ldots$ (2) The insurance broker surplus lines insurance license issued by the Commissioner shall continue to be in effect until same is suspended, revoked, or cancelled, but subject to the payment of the annual fee set forth in Section 7.010 of this Code prior to midnight of the date of expiration. (3) $\ldots$
Section 6.-Subsection (5) of Section 12.210 of Act No. 77 of June 19, 1957, as amended, known as the Puerto Rico Insurance Code, is hereby amended to read as follows: "Section 12.210 - Fee-setting Organisms, Licenses (1) $\ldots$ (2) $\ldots$ (3) $\ldots$ (4) $\ldots$ (5) The license of the fee-setting organism shall expire at midnight on the date of expiration, subject to the payment to the Commissioner of the annual fee set forth in Section 7.010 of this Code."
Section 7.-Subsection (2) of Section 12.350 of Act No. 77 of June 19, 1957, as amended, known as the Puerto Rico Insurance Code, is hereby amended to read as follows: "Section 12.350 - Advisory Organisms, Authorization (1) $\ldots$ (2) The license of the advisory organism shall expire at midnight on the date of expiration, subject to the payment
to the Commissioner of the annual fees set forth in Section 7.010 of this Code."
Section 8.-Section 19.271 of Act No. 77 of June 19, 1957, as amended, known as the Puerto Rico Insurance Code, is hereby added to read as follows: "Section 19.271 - Health Services Organizations All authorization certificates issued to health services organizations shall continue to be in effect until their expiration, but subject to the payment to the Commissioner of the annual fees set forth in Section 7.010 prior to midnight on the date of expiration."
Section 9.-The Insurance Commissioner of the Commonwealth of Puerto Rico is hereby authorized to promulgate the necessary regulation to set forth by increments the renewal process for the licenses of agents, brokers, solicitors, and adjusters for faithful and orderly compliance with this Act.
Section 10.-This Act shall take effect January $1^{ ext {st }}, 2003$.
I hereby certify to the Secretary of State that the following Act No. 96 (H.B. 1541) of the $5^{ ext {th }}$ Session of the $14^{ ext {th }}$ Legislature of Puerto Rico:
AN ACT to amend subsection (1) of Section 3.190; amend subsection (5) of Section 3.340; amend subsection (1) of Section 7.010; amend subsection (1), eliminate subsection (2), and renumber subsections (3), (4), and (5) of Section 9.420; amend subsection (2) of Section 10.110; amend subsection (5) of Section 12.210; amend subsection (2) of Section 12.350; and add a new Section 19.271 to Act No. 77 of June 19, 1957, as amended, known as the Puerto Rico Insurance Code, etc., has been translated from Spanish to English and that the English version is correct.
In San Juan, Puerto Rico, today $25^{ ext {th }}$ of February of 2004.
Elba Rosa Rodríguez-Fuentes Director