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Wednesday, March 13, 2013

NARAB II Bill Introduced in House and Senate

Yesterday, the House and Senate introduced the National Association of Registered Agents and Brokers Act of 2013 (NARAB II), which "would streamline the insurance agent licensing process.

The legislation has bipartisan support, with Rep. Randy Neugebauer (R-TX) and Rep. David Scott (D-GA) introducing the House version (H.R. 1064) and Senators Mike Johanns (R-NE) and Jon Tester (D-MT) introducing the Senate bill.

The legislation would:
  • Formally create NARAB as a non-profit, independent board comprised of state insurance commissioners and insurance market representatives;
  • Allow insurance agents that pass background checks in their home states to apply for NARAB membership, which then allows them to sell insurance in other states; 
  • Ensure transparency and consumer protection; and
  • Empower NARAB to levy disciplinary measures on agents who do not adhere to board guidelines.
According to Rep. Neugebauer, "The NARAB Reform Act only relates to marketplace entry and would not impact the day-to-day state regulation of insurance.  Additionally, NARAB would not be part of, or report to, any federal agency and would not have any federal regulatory power. The legislation also would provide higher and more consistent national consumer protections for those agents utilizing NARAB."

Read the Senate Bill.

Learn more from Rep. Neugebauer.

Learn more from Senator Johanns.