Wyo. Code R. 044-0002-18
Effective Date: 05/24/1988 to 12/31/1996
Rule Type: Superceded Rules & Regulations
Reference Number: 044.0002.18.05241988
Effective May 24, 1988
(Section) 1 Authority
These regulations governing consultants are promulgated by the authority of and pursuant to the Wyoming Administrative Procedure Act, W.S. 16-3-101 through 16-3-115, W.S. 26-2-110 and W.S. 26-9-139.
(Section) 2 Purpose
The purpose of these regulations is to protect the interest of the public by providing for the definition and the regulation of consultants and by supplementing W.S. 26-9-139.
(Section) 3 Scope
These regulations shall apply to all persons who fall within the definition of consultant.
(Section) 4 Definitions
As used in these regulations:
(a) "Consultant" means any person who, for a fee, engages in the business of offering to another person any advice, counsel, opinion or service with respect to insurance needs, insurance risks, or concerning the benefits, coverages or provisions under any policy of insurance that could be issued in this state, or involving the advantages or disadvantages of any such policy of insurance, or any formal plan of managing pure risk and is not compensated by an insurer, agent, or broker for the advice given.
Consultants, as defined in this section, shall include a public adjustor or any other person who, for compensation as an independent contractor, or as the employee of an independent contractor, or for fee or commission, on behalf of the insured investigates and negotiates settlement of claims arising under insurance contracts or who is engaged in the business of advising insureds with respect to the benefits or advantages promised under insurance contracts that could be and have been issued in this state.
(b) "Person" means an individual, firm, corporation or public entity.
The following are not included in the definition of a consultant:
(a) An attorney at law who is licensed to practice in this state; and
(b) Any licensed agent or broker who gives advice incidental to the normal course of the agent's or broker's insurance business and does not charge a fee other than commissions received from the insurance written.
(c) Any person who gives incidental advice in the normal course of a business or professional activity, other than insurance consulting, if neither that person nor that person's employer receives compensation, direct or indirect, on account of any insurance transaction that results from that advice. (Section) 6 Qualifications
(a) To be licensed as a consultant the applicant shall:
(i) Be an adult;
(ii) Be a resident of Wyoming or of another state which permits residents of Wyoming to act as consultants in that state;
(iii) Be trustworthy and of good reputation;
(iv) Pass any written examination required for a consultant's license under Chapter 9 of the Wyoming Insurance Code; and
(v) Have and maintain an office accessible to the public and keep therein the usual and customary records pertaining to transactions under the license except that this provision does not prohibit maintenance of the office in the licensee's home.
(b) The Commissioner may, in his discretion, waive the requirement of passing a written examination after a consideration of the person's knowledge, skill, and experience in the area of consulting and any other factors deemed relevant to the Commissioner.
The commissioner upon ten day's written notice to the licensee by registered mail stating the contemplated action and the grounds therefore, and upon reasonable opportunity to be heard, may revoke or suspend any consultant's license or impose a fine as set forth in W.S. 26-1-107 if he finds that:
(a) The licensee has failed to pay the annual license fee;
(b) The licensee, either knowingly or without the exercise of due care to prevent the same, has violated any provision of these rules and regulations or any order lawfully made pursuant to and within the authority of these rules and regulations and the Wyoming Insurance Code W.S. 26-1-101, et seq.; and
(c) Any fact or condition exists at the time of the proposed revocation which, if it had existed at the time of the original application for such license, clearly would have justified the commissioner in refusing originally to issue such license.
If any provision of these rules and regulations or the application thereof to any person or circumstance is for any reason held to be invalid, the remainder of these rules and regulations and the application of such provision to other persons and circumstances shall not be affected thereby.
This regulation becomes effective immediately upon filing with the Secretary of State.