NEW YORK — The National Association of Insurance Commissioners is continuing to inch forward on refining a model law to unify the rules in each state for licensing insurance salespeople.

The most recent change, adopted this month, involved the dropping of a section that clarified provisions dealing with the licensing of consumer service representatives. These representatives include clerical employees of insurance companies or producers as well as call center employees.

Call center employees and other clerical workers in insurance companies, agencies, or bank insurance subsidiaries would not have to be licensed to sell insurance, as long as they are not negotiating, soliciting, or selling insurance.

The reason for the change was to prevent unlicensed individuals from offering advice, making recommendation, otherwise engaging in insurance sales activities. Only insurance-licensed representatives would be able to negotiate, sell or solicit.

It is also thought that this clarification may make the law less onerous for states to pass, and therefore forestall the possible creation of the National Association of Registered Agents and Brokers, a quasi-federal agent licensing body that would be mandated by the Gramm-Leach-Bliley Act unless enough states act on their own.

An early version of the model law has already been enacted in Kentucky, Missouri, New Hampshire, and North Carolina and will be considered in 31 additional states in upcoming legislative sessions.

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