In May of 2009, The Bureau of Insurance discontinued using a preliminary appointment renewal list.
The Bureau now sends an annual appointment renewal invoice along with a list of appointed producers. The renewal will be mailed during the first week of July 2010. Payment is due August 10, 2010. Insurers must pay the $12.00 renewal fee for each appointed producer.
Insurers that have not paid within 15 days of the original invoice date will be mailed a reminder notice (a copy of the original invoice). A second reminder will be mailed to insurers that have not paid within 30 days of the original invoice date. A certified letter will be mailed to the President of the companies that have not paid its invoice by August 10, 2010, regarding the penalties prescribed in § 38.2-1834 of the Code of Virginia.
Companies which have submitted appointments through the quarter ending June 30, 2010 will also receive a quarterly invoice with the payment due August 10, 2010.
The Bureau DOES NOT permit companies to cross off agents from the renewal list and submit a “net” amount. Insurers must submit the cancellation requests electronically to be received by the Bureau no later than June 30, 2010.
Cancellation requests for each producer not being renewed must be submitted electronically. Cancellation requests for Virginia resident producers only using a Virginia DMV-assigned number must be submitted on Form 4921 to the Agent Licensing Section. Download this form at www.scc.virginia.gov/division/boi/webpages/boiformsapplications.htm.
Electronic appointment cancellations must be received by the Bureau no later than June 30, 2010. Paper cancellation forms for Virginia resident producers using a Virginia DMV-assigned number must be received no later than June 15, 2010 to ensure processing prior to June 30, 2010.
The Bureau will not issue credits for cancellations processed after June 30, 2010.
Virginia Code § 38.2-1834 requires insurers to notify the agent within five (5) days and the Commission within thirty (30) days of cancellation of an agent’s appointment. The Bureau should not receive appointment cancellations after July 31, 2010, that are effective prior to June 30, 2010, as it would be evidence of a violation of § 38.2-1834 as described above. Insurers that do submit such notices may be requested to respond to allegations of statutory violations.
If you have any questions, please contact the Agent Licensing Section.
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