INTRODUCTION

Section 1204c of the Michigan Insurance Code, being MCLA 500.1204c, mandates continuing education (CE) for most individuals who earn an insurance license. This site will assist with the application process for continuing education provider and course registation in the State of Michigan.

GENERAL INFORMATION

Providers certify when submitting an application to thoroughly understand the statutory and procedural mandates, and agree to stay abreast of any future changes, related to offering approved education programs in the State of Michigan.

Providers must keep at least 1 course active to maintain an active status in Michigan. Failure to do so will result in termination of the provider status. Should providers decide to offer courses in the future, a new provider fee, course fees, required forms and suppporting documentation is required. All courses will be subject to review once again.

Section 1204c(10) mandates providers issue a certificate of completion, with specific information, for attendance or instruction or completion of course work of an approved program of study and report a $1.00 per credit on behalf of the licensee within 30 days of the date the agent/producer completes the program.

The State currently contracts with Promissor, Inc. to perform many administrative functions including the CE provider and course application process and the CE credit banking program. Oversight responsibilities of these functions are by the Office of Financial and Insurance Services (OFIS), Licensing Section.

Definitions

• State: the State of Michigan, Office of Financial and Insurance Services.
• Provider: any person, firm, corporation, partnership, insurer, association or education institution offering classes, courses, seminars, programs and/or self-directed study in insurance approved by the State.
• Provider/Course Application: required for each course approval.
• Fee Processing Card required with each application.
• Filing Fees: required with each application and fee-processing card.
• Certificate of Registration: approval document of provider and/or course filing assigning provider and course numbers and other related information.
• Certificate of Completion: form issued to a licensee by the provider certifying that the $1.00 per credit hour on behalf of the licensee was reported for completion of an approved course.
• Renewal Fees: provider fee required by December 31 annually.
• Active: at least one (1) course has received approval and one (1) course remains approved at all times.
• Terminated: failed to keep one (1) course active at all times, course is more than 2 years old, failed to pay required fees, and/or administrative action taken by OFIS. (NEW)
• Disinterested Third Party: a person who does not have a financial interest in the success or failure of the exam and certifies that the exam was completed without assistance, including books, tiling of windows for Internet course, inability to get to the exam before completing the course work, etc. Providers must be able to identify and verify this individual. (NEW)
• Method of Instruction: self-study/correspondence or classroom attendance.
• Open to the Public: an indicator on the application to publish publicly approved providers and courses.
• Midwest Zone Application: application process through the NAIC.

Course Topics

• Section 1204c(5) identifies eligible topics.
• The following topics are examples of subjects that will NOT qualify:
  • Prospecting
  • Motivation
  • Sales
  • Psychology
  • Computer training
  • Office skills training
  • Time management
  • Telephone skills
  • Health/stress/exercise
  • Telemarketing or other marketing instructions

Review/Determination Process

• One Provider/Course Application will be used to obtain both provider and course approvals.
• Within 15 days of the receipt of a completed application, a cursory review of the application for completeness will occur and a course evaluation will be assigned to review the specific education component.
• Within 90 days of receipt of a complete application with appropriate fees, a determination is made.
• If no or minimal problems are noted during the initial review and evaluation, a certificate of registration will be issued to the provider indicating the provider and course name, instruction method, provider and course number, number of approved credits, effective date, and line(s) of insurance.
• Provider numbers and approval will be granted with the first course approval.
• Subsequent course approvals are handled separately and in writing.
• All courses expire within 2 years of the approval/effective date. (NEW)
• When a provider receives its first course approval, Promissor will provide the necessary software program, EasyBank, to report course credit hours on behalf of licensees.
• Only electronic reporting is acceptable for the $1.00 per credit hour.
• Courses may receive approval for fewer credits than requested on the application.
• Providers can only offer and award the approved amount of credits.
• No partial credits are allowed.
• No carryover of credit hours is allowed from one review period to the next review period.
• No credit for passage of an exam without course work is allowed.

Please do not contact OFIS and/or its representative regarding the status of an application unless 90 days have passed since the application was filed. This only delays the process.

Disapproval/Appeal Process

• An explanation of why a course cannot be approved as requested on the application for any reason will accompany the final determination to the provider.
• To correct any problems, return the Cover Letter and/or the ORIGINAL Certificate of Registration along with two (2) copies of the necessary supporting documentation for resubmission within 30 days from the final determination.
• Resubmissions not returned within the 30 days or if the course was disapproved, a new $25.00 course filing fee and application is required for the course to be reconsidered.

Instructor Criteria

• Providers must describe the minimum requirements used to hire an instructor.
• Individual instructors are not approved by the State.
• Providers are responsible for the actions of their instructors.
• Providers must provide a copy of their classroom protocol that instructors are required to announce at each program. (NEW)

Code Violations (NEW)

• Section 1204c(10) · Section 1204c(10) states, in part, that a representative of the approved program of study shall file the form and a fee of $1.00 per hour for course credit for each agent license renewal as directed by the commissioner within 30 days after the agent completes the program.
• A copy of the form shall also be mailed first class to the agent who attended, taught, or successfully completed the program of study.
• Failure to comply with these requirements will result in violation of Section 1244, being MCLA 500.1244 of the Michigan Insurance Code.
• Providers who mislead licensees to believe that the $1.00 per credit hour has been properly reported upon receipt of the a certificate of completion will be subject to formal action upon investigation under the following conditions:
  1. The provider issued a certificate of completion stating the credits have been reported when they have not been and a licensee is suspended and/or terminated.
  2. The $1.00 per credit hour was not reported within the 30-day statutory time frame.
  3. If a provider offers a course after the course has been terminated, reports the $1.00 per credit as if the course was still active, and a licensee is suspended or terminated.
  4. Providers who issue a certificate of completion that do not contain the required information.