Effective July 1, 2010, Minnesota legislation is overhauling the licensing structure for Adjusters.

Part of that legislation creates a new, separate Crop line of authority as well as separate specific education and testing. Please note these changes do not affect the current Crop Hail Limited Line license.

Please Note:  The Minnesota Department of Commerce will take a no-action position on Multi-Peril Crop Insurance (MPCI) claims adjusted from July 1, 2010, through September 1, 2010, for those individuals who have not been properly licensed up to this point.  The extension is applicable only for those independent and public adjusters who adjust MPCI claims only and who are not currently licensed. These individuals must pass the required examination and apply for the appropriate license (either Independent Adjuster—Crop or Public Adjuster—Crop) by September 1, 2010.

Any adjuster working on MPCI claims who is currently licensed in Minnesota should not be affected and will be able to continue adjusting claims. Individuals who are adjusting only MPCI claims should send the Department an email to licensing.commerce@state.mn.usand let them know that information, and they will convert the individual to the new Crop line of authority.

Other Adjuster Licensing Changes Effective July 1, 2010:

  • Resident insurance adjusters will have continuing education requirements. Insurance adjuster continuing education will consist of 24 hours during each licensing period. At least 3 of those hours must be in a class or classes in the area of ethics.
  •  The license renewal date will change from October 31 to the last day of the adjuster’s birth month.
  • A distinction will now be made between resident and nonresident insurance adjusters in terms of a “home state,” which means the District of Columbia and any U.S. state or territory in which an adjuster’s principal place of residence or business is maintained and in which the adjuster is licensed as a resident adjuster. If the adjuster’s resident state does not license adjusters for the line of authority sought, the adjuster may designate as the home state any state in which the adjuster is licensed and in good standing. Nonresident adjusters must maintain a resident adjuster license in their home state in order for their Minnesota nonresident adjuster license to remain valid.
  • Insurance adjusters whose licenses expire will be able to reactivate them within 12 months of the renewal date by paying double fees.
  • An applicant for a resident independent or public insurance adjuster license must submit fingerprints for a criminal history background check and pay an associated fee.
  • Independent and public adjusters will start paying the $40 technology surcharge.
  • Nonresident insurance adjusters who are occasionally in Minnesota to adjust a single loss will no longer be exempt from licensure.
  • A public insurance adjuster must deposit funds managed on an insured’s behalf in an escrow or trust account meeting specified criteria.

For questions, please contact the Department of Commerce Licensing Division at 651-296-6319 or licensing.commerce@state.mn.us.

This information is brought to you by Supportive Insurance Services… Licensing Experts Saving You Time & Money!