11:17-2.1 Term of license
(a) For licenses issued or renewed prior to January 1, 2007, the standard term of an insurance producer license shall be 16 licensing quarters. Licensing quarters shall begin on the first day of February, May, August and November of each year. Licenses shall expire in the fourth year on the last day of the quarter before the quarter in which the license was effective.
(b) The terms of individual producer licenses are established as set forth below.
1. The first term of licenses that are initially issued, or of licenses that were previously in effect and are initially renewed, on or after January 1, 2007 shall expire on the last day of the birth month of the producer in the year that will result in the term of the license being at least 18 months.
2. Commencing on the first license expiration on the last day of the birth month of an individual producer as set forth in (b)1 above, all such licenses shall thereafter expire biennially on the last day of the birth month of the individual producer that is two years subsequent to the preceding expiration date.
3. For example, a producer is initially licensed on February 1, 2007. His or her birth month is March. The second birth month after the February 1, 2007 issue date is March 2008 (less than 18 months). In this case, the first renewal will be March 31, 2009, and subsequent renewals would be on March 31, 2011, March 31, 2013, and so on. If the birth month was September, the second September 30 following the February 1, 2007 issue date would be September 30, 2008, more than 18 months from issuance. Thus, the license would initially renew on September 30, 2008 and thereafter on September 30, 2010, September 30, 2012, and so on.
(c) The terms of business entity producer licenses are established as set forth below.
1. The first term of licenses initially issued, or of licenses that were previously in effect and are initially renewed, on or after January 1, 2007 shall expire on May 31 of the first year that will result in the term of the license being at least 18 months.
2. Commencing on the first license expiration on a May 31 date as set forth in (c)1 above, all such licenses shall thereafter expire biennially on the second May 31 date that is two years subsequent to the preceding expiration date.
3. For example, a business entity license renews on February 1, 2007. Since the second May 31 following this renewal (May 31, 2008) is less than 18 months from the prior renewal date, the license would not expire until May 31, 2009, and subsequent renewals would be on May 31, 2011, May 31, 2013, and so on. If the business entity renewed on October 31, 2007, the license would expire on May 31, 2009, since the license term would be more than 18 months and, if renewed, again expire on May 31, 2011, May 31, 2013, and so on.
(d) An insurance producer license shall remain in effect unless revoked or suspended as long as the renewal fee set forth in N.J.A.C. 11:17-2.12 is timely paid and, in the case of resident individual insurance producers, education requirements are timely satisfied.
(e) An initial license shall be deemed effective as of the date of issuance of any temporary authority issued pursuant to N.J.A.C. 11:17-2.4(a) if the application for licensure and applicable fees are received by the Department prior to expiration of the temporary authority.
Correction, effective March 6, 1989. See: 21 N.J.R. 637(a). Added "before the quarter" to (a). Amended by R. 2002 d. 354, effective November 4, 2002. See: 34 N.J.R. 2286(a), 34 N.J.R. 2549(b), 34 N.J.R. 3839(a). In (b), substituted "authority" for "certificate". Amended by R. 2006 d. 429, effective December 18, 2006. See: 38 N.J.R. 2378(a), 38 N.J.R. 5369(a). In (a), substituted "For licenses issued or renewed prior to January 1, 2007, the" for "The"; rewrote introductory paragraph of (b); and added (b)1 through (b)3 and (c) through (e).