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(123rd General Assembly)(Amended House Bill Number 730)
AN ACT
To amend sections 3905.01, 3905.011, 3905.012, 3905.48, 3905.49,
3905.55, 3905.86, and 3905.99; to amend, for the purpose of adopting a new
section number as indicated in parentheses, section 3905.86
(3905.81); and to enact new section 3905.86 and sections 2927.27,
3905.83, 3905.84, 3905.841,
3905.85, 3905.851, 3905.861, 3905.862, 3905.87
to 3905.92, 3905.921, 3905.93, 3905.931,
3905.932, 3905.933, 3905.934, 3905.94, 3905.941, and 3905.95 of the Revised
Code relative to the regulation of surety bail bond agents and the
apprehension or arrest of a principal on bond.
Be it enacted by the General Assembly of the State of Ohio:
SECTION 1 . That sections 3905.01, 3905.011,
3905.012, 3905.48, 3905.49, 3905.55, 3905.86, and
3905.99 be amended, section 3905.86 (3905.81) be amended for the
purpose of adopting a new section number as indicated in
parentheses, and new section 3905.86 and sections 2927.27,
3905.83, 3905.84, 3905.841, 3905.85, 3905.851, 3905.861, 3905.862, 3905.87,
3905.88, 3905.89, 3905.90, 3905.91, 3905.92, 3905.921,
3905.93, 3905.931, 3905.932, 3905.933, 3905.934, 3905.94,
3905.941, and 3905.95 of the Revised Code be enacted to read as follows:
Sec. 2927.27. (A) No person, other than a law enforcement officer,
shall apprehend, detain, or arrest a principal on bond,
wherever issued, unless that person meets all of the following
criteria: (1) The person is any of the following: (a) Qualified, licensed, and appointed as a surety bail bond
agent under sections 3905.83 to 3905.95 of the Revised
Code; (b) Licensed as a surety bail bond agent by the state where the
bond was written; (c) Licensed as a private investigator under chapter
4749. of
the Revised Code; (d) Licensed as a private investigator by the state where the
bond was written; (e) An off-duty peace officer, as defined in section 2921.51 of
the Revised Code. (2) The person, prior to apprehending, detaining, or arresting
the principal, has entered into a written contract with the surety or with a
licensed surety bail bond agent appointed by the
surety, which contract sets forth the name of the principal who is
to be apprehended, detained, or arrested. For purposes of division(A) (2) of this section, "surety" has the
same meaning as
in section 3905.83 of the Revised Code. (3) The person, prior to apprehending, detaining, or arresting
the principal, has notified the local law enforcement agency
having jurisdiction over the area in which such activities will be
performed and has provided any form of identification or other
information requested by the law enforcement agency. (B) No person shall represent the person's self to be a bail
enforcement agent or bounty hunter, or claim any similar title, in this
state. (C) (1) whoever violates this section is guilty of illegal bail
bond agent practices. (2) a violation of division (A) of this section is a misdemeanor
of the first degree or, if the offender previously has been convicted of or
pleaded guilty to two or more violations of division (A) of this
section, a felony of the third degree. (3) a violation of division (B) of this section is a
misdemeanor
of the first degree or, if the offender previously has been convicted of or
pleaded guilty to two or more violations of division (B) of this
section, a felony of the third degree. Sec. 3905.01. (A) No
person shall procure an application or quote premiums for, discuss coverages
of, or solicit, negotiate,
effect, procure, place, write, deliver, renew, or bind, a policy of
insurance, including any fidelity, surety, or guaranty
bond, through any medium for risks residing, located, or to be
performed in this state, unless the person is licensed by
the superintendent of insurance in accordance with this
chapter. (B) Division
(A) of this section does not
apply to any of the following persons: (1) An insurer as defined in section 3901.32 of the Revised Code; (2) Any person who furnishes information regarding group
insurance, enrolls individuals in group insurance plans, issues
certificates under such plans, or otherwise assists in
administering such plans, if no commission or other form of
compensation related to premium or sales volume is paid for such
services; (3) Any employee of a creditor with respect to insurance products made
available only
in connection with a credit transaction, including credit life insurance,
credit disability or accident and health insurance, credit property insurance,
mortgage life insurance, mortgage accident and health insurance, involuntary
unemployment insurance, individual life insurance, and individual
disability or accident and health insurance, if the entire premium is financed
as part of the credit transaction and the following conditions are met: (a) If the insurance product is an individual life insurance
policy, a licensed agent is responsible for the insurance transaction. (b) If the employee of the creditor is paid by the insurance
agent or by the insurance company, the employee holds a limited authority
license. For purposes of division (B)(3) of this section, "credit property
insurance" means insurance covering risks of loss, damage, and
destruction of property used as security for a credit transaction, which
insurance may also
cover other property that is merely incidental to the property used as
security for
the credit transaction. (4) Any employer, or
officer or employee of an employer,
to the extent that the employer, officer, or employee is engaged
in the administration or operation of any employee benefits
program involving the use of insurance for the employer's
employees or the employees of a subsidiary or affiliate of the
employer, provided that the employer, officer, or employee is
not compensated, either directly or indirectly, in any manner by
an insurance agent or by the insurance company issuing the
insurance; (5) An adjuster employed by or
representing an insurer in the adjustment of claims or a public
insurance adjuster holding a certificate of authority issued
under Chapter 3951. of the
Revised
Code when performing the duties
of a public insurance adjuster. (C) Division
(A) of this section does not
apply to any of the following activities when performed by an
employee of, and at the direction of, an insurer or licensed insurance
agent: (1) The acceptance of premiums other than the initial
premium; (2) The gathering of information, such as names, addresses,
expiration dates of current insurance, and names of current
insurers; (3) The setting of appointments for insurance agents,
provided that the person setting the appointment does not
communicate any information about insurance; (4) The servicing of existing insurance
policies issued by or through the employee's employer, provided the servicing
is not part of a solicitation; (5) The performance of clerical or ministerial
duties. (D) The superintendent
may adopt rules in accordance with
Chapter 119. of the
Revised
Code to set forth the specific acts that comprise any of the
activities described in this section, the performance of which either requires
or
does not require licensure as an agent. Sec. 3905.011. (A) As
used in this section and sections 3905.012 and 3905.013 of the
Revised Code, "insurer" has the same
meaning as in section 3901.32 of the
Revised Code. (B) Any person that is
licensed as an agent under section 3905.02 or 3905.18 of the
Revised Code is eligible to be
appointed by one or more insurers authorized to do business in
this state. (C)(1) Prior to By
appointing an agent, an insurer shall certify certifies to the
superintendent of insurance, in accordance with rules adopted by
the superintendent under section 3905.013 of the Revised
Code, that the person is competent, financially responsible, and
suitable to represent the insurer. (2) No agent shall represent to the public that the agent
has authority to represent a particular insurer until the
insurer has acknowledged that authority by appointment of the
agent in accordance with division
(C)(1) of this section. (D)(1) No insurer shall pay
a commission, fee, or other type of consideration, or give any
other thing of value, to a person that is required to be licensed by
the superintendent under this chapter for the sale
of, or for any direct or indirect connection with the sale of,
any insurance sold by or on behalf of the insurer, but is not so licensed. (2) Nothing in this section prohibits an insurer from entering into a
compensation agreement with a creditor with respect to insurance products made
available
only in connection with a credit transaction, including credit life insurance,
credit disability or accident and health insurance, credit property insurance,
mortgage life insurance, mortgage accident and health insurance,
involuntary unemployment insurance, individual life insurance, and individual
disability or accident and health insurance, if the entire
premium is financed as part of the credit transaction. For purposes of
division (D)(2) of this section, "credit property insurance" has the
same meaning as in division (B)(3) of section 3905.01 of the Revised Code. Sec. 3905.012. (A)(1) Except as provided in division
(A)(2) of this section, any
person licensed as an agent under section 3905.02 or,
3905.18, or 3905.85 of
the Revised Code, or appointed as a
solicitor under section 3905.03 of the
Revised Code, may at any time surrender
any or all licenses held by the person. (2) No agent shall surrender the agent's licenses
if the superintendent of insurance is investigating any
allegation of wrongdoing by the agent or has initiated proceedings under
Chapter 119. of the Revised Code and notice of an opportunity for a hearing
has
been issued to the agent, and any attempt to so surrender is invalid. (B)(1) If an insurer or
agent cancels the appointment of an agent or solicitor due to suspected
fraud, misrepresentation, theft, conversion, or any other
culpable misappropriation, the insurer or agent shall promptly
notify the superintendent. The notice shall
include a complete statement of the facts and the reasons for
the cancellation. (2) In the absence of fraud or actual malice, an insurer or
agent is immune from any civil liability that otherwise might be
incurred or imposed as a result of any action taken by the
insurer or agent to comply with division
(B)(1) of this section. (C) If an agent's license is surrendered, revoked, or
suspended, all appointments held by the agent are void. If a
new license is issued to that person or if that person's
previous license is reinstated, any appointment of the person to
represent an insurer or agent must be made in accordance with
the requirements of this chapter. (D)(1) Any agent, other than a corporation, partnership, or
limited liability company, who is no longer engaged in the
business of insurance in any capacity for which an agent's
license is required may apply to the superintendent for inactive
status. The superintendent may grant such status only if the
superintendent is satisfied that the person is not engaged in
and does not intend to engage in any of the activities set forth
in section 3905.01 of the
Revised
Code that requires an agent's
license. (2) A person who has been granted inactive status is
exempt from any continuing education requirements imposed under
this chapter. (3) The superintendent may adopt rules in
accordance with Chapter 119. of
the Revised
Code to establish procedures
for applying for inactive status, criteria used to determine
eligibility for such status, and standards and procedures for
transferring from inactive to active status. (E) The superintendent
may suspend or revoke a license, or take any
other disciplinary action authorized by this chapter, regardless
of whether the person is appointed or otherwise authorized to
represent an insurer or agent. Sec. 3905.48. (A) No person,
unless the person has complied with division (B) of this
section, shall
be permitted to take an examination for a license as an agent to engage in the
sale of any of the following types of
insurance: (1) Life insurance, annuity contracts, variable annuity
contracts, and variable life insurance; (2) Sickness and accident insurance; (3) All lines of property and casualty insurance; (4) Surety bail bonds; (5) All other lines of insurance for which an examination
is required for licensing, except title insurance. (B) No person shall be permitted to take an examination
described in division (A) of this section unless either of the
following applies: (1) The person has earned a bachelor's or associate's
degree in insurance in an accredited institution; (2) The person has been granted a diploma for successfully
completing a high school curriculum under section 3313.61 of the
Revised Code or a certificate of high school equivalence under
rule 3301-41-1 of the Administrative Code, or been granted a
comparable diploma or certificate by another state, and has
successfully completed at least forty hours of study in a program
of insurance education approved by the superintendent of
insurance in consultation with the insurance agent education
advisory council under criteria established by the
superintendent. Sec. 3905.49. (A) As used in this section: (1) "Insurer" has the same meaning as in section
3901.32 of the Revised Code. (2) "Refusal to issue or renew" means the decision of
the superintendent of insurance not to process either the
initial application for a license as an agent
or the renewal of such a license. (3) "Revocation" means the permanent termination of
all authority to hold any license as an agent in this state. (4) "Surrender for cause" means the voluntary
termination of all authority to hold any license
as an agent in this state, in lieu of a revocation or
suspension order. (5) "Suspension" means the termination of all
authority to hold any license as an agent
in this state, for either a specified period of time
or an indefinite period of time and under any terms or
conditions determined by the superintendent. (B)
The superintendent may
suspend, revoke, or refuse to issue
or renew any license as an agent, surety bail bond agent,
surplus line broker, or limited insurance representative, or
impose any other sanction authorized
under this chapter, for one or more of the following
reasons: (1) Obtaining or attempting to obtain any license or
appointment through misrepresentation or fraud, including making
any materially untrue
statement in an application for a
license or appointment; (2) Violating or
failing to comply with any
insurance law, rule, subpoena, consent
agreement, or order of the superintendent; (3) Misappropriating
or converting to the person's own use any moneys belonging to
policyholders, prospective policyholders,
beneficiaries, insurance companies, sureties, principals, or
others received in the
course of the person's insurance business; (4) Failing to timely submit an application for
insurance. For purposes of division
(B)(4) of this section, a
submission is considered timely if it occurs within the time
period expressly provided for by the insurer, or within seven
days after the agent accepts a premium or an order to bind from a
policyholder or applicant, whichever is later. (5) Knowingly misrepresenting the
terms, benefits, value, cost, or effective dates of
any actual or proposed insurance policy or, contract,
or
bond; (6) Being convicted of a felony; (7) Being convicted of a
misdemeanor that involves the misuse
or theft of money or property belonging to another, fraud,
forgery, dishonest acts, or breach of a fiduciary duty, or
that is based on any act or omission relating to the business of
insurance, securities, or financial services; (8) Committing
an unfair trade
act or practice under any section of Title XXXIX of the
Revised Code or any rule adopted thereunder; (9) Having an insurance license
suspended or revoked in
any other state, province, or territory; (10) Forging or causing the
forgery of
another's name to any document related to or used in an
insurance transaction; (11) Possessing or using any unauthorized materials during a
licensing or continuing education examination or cheating
on a licensing or continuing education examination; (12) Failing to disclose to an applicant for insurance
or policyholder upon accepting a premium or an
order to bind coverage from the applicant or policyholder, that
the person has not been appointed as agent by the
insurer and is not an appointed solicitor of an appointed agent; (13) Having any professional license suspended or
revoked as a result of a mishandling of funds
or breach of fiduciary
responsibilities; (14) Causing or permitting a policyholder or applicant
for insurance to designate the person or the person's spouse,
parent, child, or sibling as the beneficiary of a policy or
annuity sold by the person, unless the person or a relative of
the person is the insured or applicant; (15) Failing to provide a written response to the
department of insurance within thirty days after receipt of
any written inquiry from the department; (16) Failing to notify the superintendent
of any change in the person's address, within thirty days after the
change
occurs, as required by section 3905.54 of the Revised Code; (17) Transferring or placing insurance with an insurer
other than the insurer expressly chosen by the applicant for insurance or
policyholder without the consent of the applicant or
policyholder or absent extenuating circumstances; (18) Engaging in any fraudulent, dishonest, or coercive
practice in connection with the business of insurance; (19) Failing to inform a policyholder or applicant for insurance of
the identity of the insurer or insurers, or the identity of any
other insurance agent, general agent, surplus line broker, or
licensee known to be involved in procuring, placing, or continuing
the insurance for the policyholder or applicant, upon the binding of the
coverage; (20) In the case of an agent that is a corporation,
limited liability company, or partnership, failing to report an
individual licensee's violation to the department when the
violation was known or should have been known by one or more of
the partners, officers, managers, or members of the corporation,
limited liability company, or partnership; (21) Submitting or using a document in the conduct of
the business of insurance when the person knew or should have
known that the document contained the forged signature of
another person; (22) Misrepresenting the person's qualifications or
using in any way a professional designation that has not been
conferred upon the person by the appropriate accrediting
organization; (23) Obtaining a premium loan or causing a premium
loan to be made to or in the name of an insured without that
person's knowledge and written authorization; (24) Failing to notify the superintendent of any
disciplinary action taken by the insurance authority of another
state, within sixty days after the action
was taken, as required by section 3905.54 of the Revised Code; (25) Failing to file any of the reports or notices
required under this chapter; (26) Submitting an application for insurance, or
causing the issuance of an insurance policy or contract, on behalf
of an applicant who did not request or authorize the
insurance. Division (B)(26) of this section does not apply to any
policy issued by an other than life insurance company. (27) Using paper, software, or any other materials of
or provided by an insurer after the insurer has terminated the
authority of the licensee, if the use of such materials would
cause a reasonable person to believe that the licensee was
acting on behalf of or otherwise representing the
insurer; (28) Providing misleading, deceptive, or untrue
information to an applicant for insurance or a policyholder
regarding a particular insurance agent, company, or
product; (29) Soliciting, procuring an application for, or
placing, either directly or indirectly, any insurance policy
when the person is not authorized under this chapter to engage
in such activity; (30) Soliciting, marketing, or selling any product or
service that offers benefits similar to insurance but is not
regulated by the superintendent, without fully disclosing to the
prospective purchaser that the product or service is not
insurance and is not regulated by the superintendent; (31) Failing to fulfill a refund obligation in a timely manner.
For purposes of division
(B)(31) of this section, a
rebuttable presumption exists that a refund obligation is not fulfilled in a
timely manner unless it is fulfilled within one of the following time
periods: (a) Thirty days after the date the
policyholder, applicant, or insurer takes or requests action
resulting in a refund; (b) Thirty days after the date of the insurer's
refund check, if the agent is expected to issue a portion of the
total refund; (c) Forty-five days after the date of the
agent's statement of account on which the refund first
appears. (32) With respect to a surety bail bond agent license, rebating
or offering to rebate, or unlawfully dividing or offering to divide, any
commission. (C) Before denying, revoking, suspending, or refusing to
issue any license or imposing any penalty under this
section or section 3905.482 of the Revised Code, the superintendent shall
provide the licensee or applicant
with notice and an
opportunity for hearing as provided in Chapter 119. of
the Revised Code,
except as follows: (1)(a) Any notice of opportunity for hearing, the hearing
officer's findings and recommendations, or the
superintendent's order shall be served by certified mail at the
last known address of the licensee or applicant. Service shall
be evidenced by return receipt signed by any person. For purposes of this section, the "last known address" is the address that
appears in the licensing records of the department of insurance. (b) If the certified mail envelope is returned
with an endorsement showing that service was refused, or that
the envelope was unclaimed, the notice and all subsequent notices required by
Chapter 119. of the Revised Code may be served by ordinary
mail to the last known address of the licensee or applicant.
The mailing shall be evidenced by a certificate of mailing.
Service is deemed complete as of the date of such certificate
provided that the ordinary mail envelope is not returned by the
postal authorities with an endorsement showing failure of
delivery. The time period in which to request a hearing, as
provided in Chapter 119. of the
Revised
Code, begins to run on the date
of mailing. (c) If service by ordinary mail fails, the
superintendent may cause a summary of the substantive provisions
of the notice to be published once a week for three consecutive
weeks in a newspaper of general circulation in the county where
the last known place of residence or business of the party is
located. The notice is considered served on the date of the
third publication. (d) Any notice required to be served under
Chapter 119. of the
Revised
Code shall also be served upon
the party's attorney by ordinary mail if the attorney has
entered an appearance in the matter. (e) The superintendent may, at any time,
perfect service on a party by personal delivery of the notice by
an employee of the department. (f) Notices regarding the scheduling of
hearings and all other matters not described in division
(C)(1)(a)
of this section shall be sent by ordinary mail to the party and
to the party's attorney. (2) Any subpoena for the appearance of a witness or
the production of documents or other evidence at a hearing, or
for the purpose of taking testimony for use at a hearing, shall
be served by certified mail, return receipt requested, by an
attorney or by an employee of the department designated by the
superintendent. Such subpoenas shall be enforced in the manner
provided in section 119.09 of the
Revised
Code. Nothing in this section
shall be construed as limiting the superintendent's other
statutory powers to issue subpoenas. (D) If the superintendent determines that a violation
described in this section has occurred, the
superintendent may do any
of the following: (1) Assess a civil forfeiture in an amount not
exceeding twenty-five thousand dollars per violation; (2) Assess administrative costs to cover the expenses incurred
by the department in the administrative action, including costs
incurred in the investigation and hearing processes. Any costs
collected shall be paid into the state treasury to the credit of
the department of insurance operating fund created in section
3901.021 of the Revised
Code. (3) Suspend all of the person's licenses for all lines of
insurance for either a specified period of time or an indefinite
period of time and under such terms and conditions as the
superintendent may determine; (4) Permanently revoke all of the person's licenses for all
lines of insurance; (5) Refuse to issue a license; (6) Refuse to renew a license; (7) Prohibit the person from being employed in any
capacity in the business of insurance and from having any
financial interest in any insurance agency, company, surety bail bond
business, or
third-party administrator in this state. The superintendent
may, in the superintendent's discretion, determine the nature,
conditions, and duration of such restrictions. (8) Order corrective actions in lieu of or in addition
to the other penalties listed in division
(D) of this section. Such an
order may provide for the suspension of civil forfeitures,
license revocation, license suspension, or refusal to issue or
renew a license if the licensee complies with the terms and
conditions of the corrective action order. (9) Accept a surrender for cause offered by the
licensee, which shall be for at least five years and shall
prohibit the licensee from seeking any license authorized under
this chapter during that time period. A surrender for cause may
also include a corrective action order as provided in division
(D)(8) of this section. (E) The superintendent may consider the following
factors in denying a license, imposing suspensions,
revocations, fines, or other penalties, and issuing orders
under this section: (1) Whether the person acted in good faith; (2) Whether the person made restitution for any
pecuniary losses suffered by other persons as a result of the
person's
actions; (3) The actual harm or potential for harm to others; (4) The degree of trust placed in the person by, and the
vulnerability of,
persons who were or could have been adversely affected by the person's
actions; (5) Whether the person was the subject of any
previous administrative actions by the superintendent; (6) The number of individuals adversely affected
by the person's acts or omissions; (7) Whether the person voluntarily reported the violation, and
the extent of the person's cooperation and acceptance of
responsibility; (8) Whether the person obstructed or impeded, or
attempted to obstruct or impede, the superintendent's
investigation; (9) The person's efforts to conceal the
misconduct; (10) Remedial efforts to prevent future
violations; (11) If the person was convicted of a criminal
offense, the nature of the offense, whether the conviction was
based on acts or omissions taken under any professional license,
whether the offense involved the breach of a fiduciary duty, the
amount of time that has passed, and the person's activities
subsequent to the conviction; (12) Such other factors as the superintendent determines to
be appropriate under the circumstances. (F)(1) A violation described in
division (B)(1), (2), (3),
(5), (6), (7), (8), (9), (10), (11), (12), (13), (14), (17),
(18), (19), (20), (21), (22), (23), (25),
(26), (27), (28), (29), (30), or (31), or (32)
of this section is a class A offense for which the
superintendent may impose any penalty set forth in division
(D) of this section. (2) A violation described in division
(B)(4), (15), (16), or (24)
of this section is a class
B offense for which the
superintendent may impose any penalty set forth in division
(D)(1), (2), (8), or (9) of
this section. (G) If a violation
described in this section has caused, is
causing, or is about to
cause substantial and material harm, the superintendent may
issue an order requiring that person to cease and desist from
engaging in the violation. Notice of the order shall be mailed
by certified mail, return receipt requested, or served in any
other manner provided for in this section, immediately after its
issuance to the person subject to the order and to all persons
known to be involved in the violation. The superintendent may
thereafter publicize or otherwise make known to all interested
parties that the order has been issued. The notice shall specify the particular act, omission,
practice, or transaction that is subject to the cease-and-desist
order and shall set a date, not more than fifteen days after the
date of the order, for a hearing on the continuation or
revocation of the order. The person shall comply with the order
immediately upon receipt of notice of the order. The superintendent may, upon the application of a party
and for good cause shown, continue the hearing.
Chapter 119. of the
Revised
Code applies to such hearings
to the extent that that chapter does not conflict with the
procedures set forth in this section. The superintendent shall,
within fifteen days after objections are submitted to the
hearing officer's report and recommendation, issue a final order
either confirming or revoking the cease-and-desist order. The
final order may be appealed as provided under section 119.12 of
the Revised
Code. The remedy under this division is cumulative and
concurrent with the other remedies available under this section. (H) If the
superintendent has reasonable cause to believe that an order
issued under this section has been violated in whole or in part,
the superintendent may request the attorney general to commence
and prosecute any appropriate action or proceeding in the name
of the state against such person. The court may, in an action brought pursuant to this
division, impose any of the following: (1) For each violation, a civil penalty of not more
than twenty-five thousand dollars; (2) Injunctive relief; (3) Restitution; (4) Any other appropriate relief. (I) With respect to a surety bail bond agent license: (1) Upon the suspension or revocation of a license, or the
eligibility of a surety bail bond agent to hold a license, the
superintendent likewise may suspend or revoke the license or
eligibility of any surety bail bond agent who is employed by or
associated with that agent and who knowingly was a party to the
act that resulted in the suspension or revocation. (2) The superintendent may revoke a license as a surety bail
bond agent if the licensee is adjudged bankrupt. (J) This section applies to both resident and
nonresident agents who are licensed
under this chapter. (J)(K) Nothing in this
section shall be construed to create or imply a
private cause of
action against an agent, solicitor, or insurer.
Sec. 3905.55. (A) Except as provided in division
(B) of this section, an agent
may charge a consumer a fee if all of the following conditions
are met: (1) The fee is disclosed to the consumer in a manner
that separately identifies the fee and the premium. (2) The fee is not calculated as a percentage of the
premium. (3) The fee is not refunded, forgiven, waived, offset,
or reduced by any commission earned or received for any policy
or coverage sold. (4) The amount of the fee, and the consumer's
obligation to pay the fee, are not conditioned upon the
occurrence of a future event or condition, such as the purchase,
cancellation, lapse, declination, or nonrenewal of
insurance. (5) The agent discloses to the consumer that the fee
is being charged by the agent and not by the insurance company,
that neither state law nor the insurance company requires the
agent to charge the fee, and that the fee is not
refundable. (6) The consumer consents to the fee. (7) The agent, in charging the fee, does not
discriminate on the basis of race, sex, national origin,
religion, disability, health status, age, marital status, or
geographic location, and does not unfairly discriminate between
persons of essentially the same class and of essentially the
same hazard or expectation of life. (B) A fee may not be
charged for taking or submitting an initial application for
coverage with any one insurer or different programs with the
same insurer, or processing a change to an existing policy, a
cancellation, a claim, or a renewal, in connection with any of the
following personal lines policies: (1) Private passenger automobile; (2) Homeowners, including coverage for tenants or
condominium owners, owner-occupied fire or dwelling property
coverage, personal umbrella liability, or any other personal
lines-related coverage whether sold as a separate policy or as
an endorsement to another personal lines policy; (3) Individual life insurance; (4) Individual sickness or accident insurance; (5) Disability income policies; (6) Credit insurance products. (C) Notwithstanding
any other provision of this section, an agent may charge a fee
for agent services in connection with a policy issued on a
no-commission basis, if the agent provides the consumer with
prior disclosure of the fee and of the services to be
provided. (D) In the event of a
dispute between an agent and a consumer regarding any disclosure
required by this section, the agent has the burden of proving that the
disclosure was made. (E)(1) No person
shall fail to comply with this section. (2) Whoever violates division
(E)(1) of this section is
deemed to have engaged in an unfair and deceptive act or
practice in the business of insurance under sections 3901.19 to
3901.26 of the Revised
Code. (F) This section does not apply with respect to any expense fee
charged by a surety bail bond agent to cover the costs incurred by the surety
bail bond agent in executing the bail bond. Sec. 3905.86 3905.81. (A) As used in this section: (1) "Reinsurance intermediary-broker" means a person,
other than an officer or employee of the ceding insurer, that
solicits, negotiates, or places reinsurance cessions or
retrocessions on behalf of a ceding insurer without the authority
or power to bind reinsurance on behalf of such insurer. (2)(a) "Reinsurance intermediary-manager" means a person
that has authority to bind or that manages all or part of the
assumed reinsurance business of a reinsurer, including the
management of a separate division, department, or underwriting
office, and that acts as an agent of the reinsurer whether known
as a reinsurance intermediary-manager, manager, or similar term. (b) "Reinsurance intermediary-manager" does not include: (i) An employee of the reinsurer; (ii) A United States manager of the United States branch
of an alien reinsurer; (iii) An underwriting manager that, pursuant to contract,
manages all of the reinsurance operations of the reinsurer, is
under common control with the reinsurer, subject to sections
3901.32 to 3901.37 of the Revised Code, and whose compensation is
not based on the volume of premiums written; (iv) The manager of a group, association, pool, or
organization of insurers that engages in joint reinsurance and
that are subject to examination by the insurance regulatory
authority of the state in which the manager's principal business
office is located. (B) No person shall act as a reinsurance
intermediary-broker or reinsurance intermediary-manager in this
state, or on behalf of an insurer or reinsurer domiciled in this
state, unless the person first obtains a license from the
superintendent of insurance in accordance with this section or
the superintendent accepts, in accordance with rules that he the
superintendent may
adopt under division (C) of this section, a license issued to the
person by the insurance regulatory authority of another state. (C) The superintendent of insurance shall adopt rules in
accordance with Chapter 119. of the Revised Code establishing the
standards and procedures for licensing reinsurance
intermediary-brokers and reinsurance intermediary-managers. The
superintendent may also adopt rules, in accordance with Chapter
119. of the Revised Code, for the acceptance of licenses issued
by insurance regulatory authorities of other states with statutes
similar to this section in lieu of requiring a license to be
obtained from the superintendent under division (B) of this
section. (D) The fee for the issuance or renewal of a license shall
be five hundred dollars. The fee for accepting the license of
another state shall be one hundred dollars each year. All fees
collected pursuant to this section shall be paid into the state
treasury to the credit of the department of insurance operating
fund. Sec. 3905.83. As used in sections 3905.83 to 3905.95 of the Revised Code: (A) "Insurer" means any
domestic, foreign, or alien insurance company that has been
issued a certificate of authority by the superintendent of insurance to
transact surety business in this state. (B) "Managing general
agent" means any person that is appointed or employed by an
insurer to supervise or otherwise manage the bail bond business
written in this state by surety bail bond agents appointed
by the insurer. (C) "Surety" means an insurer
that agrees to be responsible for the fulfillment of the
obligation of a principal if the principal fails
to fulfill that obligation. Sec. 3905.84. No person shall act in the capacity of a
surety bail bond agent, or perform any
of the functions, duties, or powers prescribed for surety bail bond agents
under sections 3905.83 to 3905.95 of the Revised Code, unless that person is qualified,
licensed,
and appointed as provided in those sections. Sec. 3905.841. The following persons or classes of persons
shall not act as surety bail bond agents or employees of a surety bail bond
agent or bail bond business and
shall not
directly or indirectly receive any benefits from the execution of a bail bond,
except as a principal: (A) Jailers or other persons employed in a detention facility, as
defined
in section 2921.01 of the Revised Code; (B) Peace officers as defined in section 2921.51 of the Revised Code, or other
employees of a law enforcement agency; (C) Committing magistrates, employees of a court, or employees of
the clerk of any court; (D) Attorneys; (E) Any other persons having the power to arrest, or persons who
have authority over or control of, federal, state, county, or municipal
corporation prisoners. Sec. 3905.85. (A) An
applicant for a license as a surety bail bond agent shall submit an
application for the license in a manner prescribed by the superintendent of
insurance. The application shall be
accompanied by a one hundred fifty dollar fee and a statement
that gives the applicant's name, age,
residence, present occupation, occupation for the five years next
preceding the date of the application, and such other information
as the superintendent may require. The applicant shall also request a criminal records check
conducted by the superintendent of the bureau of criminal identification
and investigation in accordance with section 109.572 of the
Revised
Code, and direct that the bureau's written response to that
request be transmitted to the superintendent of insurance, or to the
superintendent's designee, as
specified on the form prescribed pursuant to that section. If the
superintendent of insurance or the superintendent's designee fails
to receive the bureau's response to the applicant's request for a
criminal records check, the superintendent may refuse to issue a
license under this section. The applicant shall pay any fee
required by the bureau for conducting the criminal records check. An applicant for a license shall submit to an examination as to the
qualifications set forth in division (B) of this section. (B) The superintendent of insurance
shall issue to an applicant a license that states in substance
that the person is authorized to do the business of a surety
bail bond agent, if the superintendent is satisfied that all of the following
apply: (1) If the applicant is a natural person, the applicant is eighteen
years of age or older. (2) The applicant is a person of high character and
integrity. (3) The applicant has successfully completed the
educational requirements set forth in
section 3905.48 of the Revised Code. (C) A surety bail bond agent license issued pursuant to this
section authorizes the holder, when appointed by an insurer, to
execute or countersign bail bonds in connection with judicial
proceedings and to receive money or other things of value for
those services. However, the holder shall not execute or deliver
a bond during the first one hundred eighty days after the license
is initially issued. This restriction does not apply with respect to license
renewals. (D) The superintendent of insurance may suspend or revoke
a
surety bail bond agent's license as provided in section 3905.482 of the
Revised Code, and may suspend, revoke, or refuse to issue
or renew such a license as provided in section 3905.49 of the
Revised Code. If the superintendent refuses to issue such a license based in
whole or in part upon the bureau's written response to a criminal records
check requested pursuant to division (A) of this section, the
superintendent shall send a copy of the response that the bureau
transmitted to the superintendent or to the
superintendent's designee, to the applicant at the applicant's home
address upon the applicant's submission of a written request to the
superintendent. (E) Any person licensed as a surety bail bond agent may
surrender the person's license in accordance with section 3905.012 of the
Revised Code. (F) Unless revoked or suspended by the superintendent or
surrendered by the surety bail bond agent, such a license may, in the
discretion of the superintendent and the payment of a one
hundred fifty dollar fee, be continued past the last day of February
next after its issue and after the last day of February in each
succeeding year. (G) The superintendent of insurance may prescribe the forms to
be used as evidence of the issuance of a license under this section. The
superintendent shall require each licensee to acquire,
from a source designated by the superintendent, a wallet
identification card that includes the licensee's photograph and
any other information required by the superintendent. The
licensee shall keep the wallet identification card on the
licensee's person while engaging in the bail bond business. (H)(1) The superintendent of insurance shall not issue or renew
the license of a corporation, partnership, or limited liability
company organized under the laws of this or any other state unless
the corporation, partnership, or limited liability company is
qualified to do business in this state under the applicable
provisions of Title XVII of the Revised
Code. (2) The failure of a corporation, partnership, or limited
liability company to be in good standing with the secretary of state or to
maintain a valid appointment of statutory agent is grounds for suspending,
revoking, or refusing to renew its license. (3) By applying for a surety bail bond agent license under this
section, an individual, corporation, partnership, or limited liability
company consents to the jurisdiction of the courts of this state. (I) A surety bail bond agent
licensed pursuant to this section is an officer of the
court. (J) Any fee collected under this section shall be paid into the
state treasury to the credit of the department of insurance operating
fund created by section 3901.021 of the Revised Code. Sec. 3905.851. A surety bail bond agent qualified, licensed, and
appointed in accordance with sections 3905.83 to 3905.95 of the
Revised Code shall not be
required to pay any licensing fee imposed by a political
subdivision of this state to perform any of the functions, duties, or powers
prescribed for surety bail bond agents under those sections. Sec. 3905.86. (A) Any person licensed as a surety bail bond
agent may be appointed by an insurer in accordance with this section. (B) Each insurer
shall certify to the superintendent of insurance before the
thirtieth day of June each year the names and addresses of the
surety bail bond agents for whom it requests appointments or the continuance
of appointments. All insurers shall pay to
the superintendent a fee of twenty dollars for each such
appointment when issued and for each continuance thereafter. Such
an appointment, unless canceled by the insurer, may be continued
in force past the thirtieth day of June next after its issue and
after the thirtieth day of June of each succeeding year provided
that the appointee is licensed and is eligible for the
appointment. Any fee collected under this division shall be paid into
the state treasury to the credit of the department of insurance
operating fund created by section 3901.021 of the
Revised
Code. (C)(1) By appointing a surety bail bond agent, an insurer
certifies
to the superintendent that the person is competent,
financially responsible, and suitable to represent the insurer. (2) An insurer shall be bound by the acts of the person named in
the appointment within that person's actual or apparent authority as its
agent. (D) A surety bail bond agent shall not represent to the
public
that the agent has authority to represent a particular insurer until the
insurer has acknowledged that authority by appointment of
the agent in accordance with this section. Sec. 3905.861. An insurer that appoints a surety bail bond agent who is a
member
of an agency, partnership, corporation, or limited liability company shall
require that all
other surety bail bond agents who are members of the same agency,
partnership, corporation, or limited liability company be appointed to
represent that insurer. Sec. 3905.862. Upon the expiration or cancellation of a surety bail bond
agent's
appointment, the agent shall not
engage or attempt to engage in any activity requiring such an appointment.
However, an insurer that cancels the appointment of a
surety bail bond agent
may authorize the agent to continue to attempt the arrest and surrender
of a defendant for whom a bail bond had been written prior to the cancellation
and to seek discharge of forfeitures and judgments. Sec. 3905.87. (A) A surety bail bond agent shall not file a bond
in any court of
this state unless both of the following conditions are met: (1) The agent has registered with the clerk of that court, If
registration is required by the court. (2) The agent has registered with the clerk of the court of
common pleas of the county in which the agent resides. (B) To register, a surety bail bond agent shall file, with the
clerk
of the court, a certified copy of the surety bail bond agent's appointment by
power
of attorney from each insurer that the surety bail bond agent represents.
Registration and filing of a certified copy of a renewed power of attorney
shall be performed by the first day of August of each odd-numbered
year. The clerk of the court shall not accept the registration of a surety
bail bond agent unless the surety bail bond agent is currently licensed and
appointed in
accordance with sections 3905.83 to 3905.95 of the Revised Code. Sec. 3905.88. (A) Each individual who is issued a license
as a surety bail bond agent shall
complete, in accordance with section 3905.481 of the Revised Code, at least fourteen hours of
continuing education offered
in a course or program of study
related to the bail bond business that is approved by the
superintendent of insurance in consultation with the insurance agent
education advisory council. (B) The superintendent shall, in accordance with section
3905.482 of the Revised Code, suspend or revoke the license
of any
surety bail bond agent who fails to meet the requirements of division
(A) of this section and has not been granted an extension
of time within which to complete the requirements. (C) The superintendent
shall adopt, in accordance with
Chapter 119. of the
Revised
Code, any rule necessary
to carry out the superintendent's duties under this
section. Sec. 3905.89. Each person licensed under sections 3905.83 to 3905.95 of the Revised Code
shall notify in
writing the appropriate insurer or managing
general agent, and the clerk of the court of common pleas of the county in
which the licensee resides, within thirty days after a change in
the licensee's principal business address or telephone number. This notification requirement is in addition to the notification
requirements set forth in section 3905.54 of the Revised Code. Sec. 3905.90. Each surety bail bond agent shall maintain all records of
surety
bonds executed or countersigned by the surety bail bond agent for at least
three
years after the liability of the surety has been terminated. Those records
shall be open, at all times, to examination, inspection, and photographic
reproduction by any employee or agent of the department of insurance, or by
any authorized representative of the insurer or managing general agent. The
superintendent of insurance at any time may require the licensee to furnish to
the department, in the manner and form that the superintendent requires, any
information concerning the surety bond business of the licensee. Sec. 3905.91. (A) All build-up funds posted by a surety bail
bond
agent or managing general agent, either with an insurer or managing general
agent representing an insurer, shall be maintained in an individual build-up
trust account for the surety bail bond agent by the insurer or the managing
general
agent. The insurer or managing general agent shall establish the account in a
federally insured bank or savings and loan association in this state jointly
in the name of the surety bail bond agent and the insurer or managing general
agent, or in trust for the surety bail bond agent by the insurer or managing
general
agent. The account shall be open to inspection and examination by the
department of insurance at all times. The insurer or managing general agent
shall maintain an accounting of all of those funds, which accounting
designates the amounts collected on each bond written. (B) Build-up funds shall not exceed forty per cent of the premium
as established by the surety bail bond agent's contract agreement with the
insurer
or managing general agent. Build-up funds received shall be immediately
deposited to the build-up trust account. Interest earned on build-up trust
accounts shall accrue to the surety bail bond agent. (C) Build-up funds are due upon termination of the surety bail
bond agent's contract and
discharge of liabilities on the bonds for which the build-up funds were
posted. The insurer or managing general agent shall
pay the funds to the surety bail bond agent not later than six months after
the funds are due. Sec. 3905.92. (A) A surety bail bond agent that accepts
collateral security or other indemnity shall comply with all of the
following requirements: (1) The collateral security or other indemnity shall be
reasonable in relation to the amount of the bond. (2) The collateral security or other indemnity shall not be used
by the surety bail bond agent for personal benefit or gain and shall be
returned in the same condition as received. (3) Acceptable forms of collateral security or indemnity include
cash or its equivalent, a promissory note, an indemnity agreement, a real
property mortgage in the name of the surety, and any filing under
Chapter 1309. of the
Revised Code. If the surety bail
bond agent accepts on a bond collateral security in excess of fifty
thousand dollars in cash, the cash amount shall be made
payable to the surety in the form of a cashier's check, United
States postal money order, certificate
of deposit, or wire transfer. (4) The surety bail bond agent shall provide to the person
giving the collateral security or other indemnity, a written, numbered
receipt that describes in a detailed manner the collateral security or
other indemnity received, along with copies of any documents
rendered. (5) The collateral security or other indemnity shall be received
and held in the surety's name by the surety bail bond agent in a
fiduciary capacity and, prior to any forfeiture of bail, shall be
kept separate and apart from any other funds or assets of the
surety bail bond agent. However, when collateral security in
excess of fifty thousand dollars in cash or its equivalent is
received on a bond, the surety bail bond agent promptly shall
forward the entire amount to the surety or managing general agent. (B) Collateral security may be placed in an interest-bearing
account in a federally insured bank or savings and loan
association in this state, to accrue to the benefit of the person
giving the collateral security. The surety bail bond agent,
surety, or managing general agent shall not make any pecuniary
gain on the collateral security deposited. (C)(1) The surety is liable for all collateral security or other
indemnity accepted by a surety bail bond agent. If, upon final termination of
liability on a bond, the surety bail bond agent or
managing general agent fails to return the collateral security to
the person that gave it, the surety shall return the actual
collateral to that person or, in the event that the surety cannot
locate the collateral, shall pay the person in accordance with
this section. (2) A surety's liability as described in division (C)(1) of this
section survives the termination of the surety bail bond agent's appointment,
with respect to those bonds that were executed by the surety bail bond agent
prior to the termination of the appointment. (D) If a forfeiture occurs, the surety bail bond agent or surety
shall give the principal and the person that gave the collateral security ten
days' written notice of intent to convert the
collateral deposit into cash to satisfy the forfeiture. The
notice shall be sent by certified mail, return receipt requested,
to the last known address of the principal and the person that
gave the collateral. The surety bail bond agent or surety shall convert the collateral
deposit into cash within a reasonable period of time and return that which
is in excess of the face value of the bond minus the actual and reasonable
expenses of converting
the collateral into cash. In no event shall these expenses exceed ten
per cent of the face value of the bond. However, upon motion and proof
that the actual and reasonable expenses exceed ten per cent, the
court may allow recovery of the full amount of the actual and
reasonable expenses. If there is a remission of forfeiture
that required the surety to pay the bond to the court, the surety shall
pay to the person that gave
the collateral the value of any collateral received for the bond minus the
actual and reasonable
expenses permitted to be recovered under this division. (E) A surety bail bond agent or surety shall not solicit or
accept a waiver of any of the provisions of this section, or enter into
any agreement as to the value of the collateral. (F) No person shall fail to comply with this section. Sec. 3905.921. (A) If collateral security or other indemnity is
accepted on a bond, the surety bail bond agent, managing general agent, or
surety shall make, upon demand, a written request to
the court for a discharge of the bond to be delivered to the
surety or the surety's agent. If the obligation of the surety on the bond is released in
writing by the court and a discharge is provided to the surety or
the surety's agent, the collateral security or other indemnity,
except a promissory note or an indemnity agreement, shall be
returned, within twenty-one days after the discharge is provided,
to the person that gave the collateral security or other
indemnity, unless another disposition is provided for by legal
assignment of the right to receive the collateral to another
person. If, despite diligent inquiry by the surety or the
surety's agent to determine that the bond has been discharged, the
court fails to provide a written discharge within thirty days after
the written request was made to the court, the bond shall be
considered canceled by operation of law, and the collateral
security or other indemnity, except a promissory note or an
indemnity agreement, shall be returned, within twenty-one days
after the written request for discharge was made to the court, to
the person that gave the collateral security or other indemnity. (B) No fee or other charge, other than those authorized by
sections 3905.83 to 3905.95 of the Revised Code or by rule of the superintendent of
insurance, shall be deducted from
the collateral due. However, allowable expenses incurred in the apprehension
of a defendant because of a forfeiture of bond or judgment
may be deducted if
those expenses are accounted for. (C)(1) No person shall fail to return collateral security
in accordance with this section. (2) A violation of division (C)(1) of this section shall be
punishable as follows: (a) If the collateral is of a value of less than
five hundred dollars, a violation is a misdemeanor of the first degree; (b) If the collateral is of a value of at least five hundred
dollars but less
than five thousand dollars, a violation is a felony of the fifth degree; (c) If the collateral is of a value of at least five thousand
dollars but less than ten thousand dollars, a violation is a felony of the
fourth degree; (d) If the collateral is of a value of ten thousand dollars or
more,
a violation is a felony of the third degree. Sec. 3905.93. A surety bail bond agent shall not execute a bail bond
without doing
both of the following: (A) Charging the premium rate filed with and approved by the
superintendent of insurance; (B) Disclosing the expense fee
that will be charged to cover the costs incurred by the agent in
executing the bond. Sec. 3905.931. (A) No insurer, managing general agent, or surety
bail bond agent shall furnish to any person any blank form,
application, stationery,
business card, or other supplies to be used in soliciting, negotiating, or
effecting bail bonds unless the person is licensed to act as a surety bail
bond
agent and is appointed by an insurer. This division does not prohibit an
unlicensed employee, under the direct supervision and control of a licensed
and appointed surety bail bond agent, from possessing or executing in the
surety
bond office, any form, other than a power of attorney, bond form, or
collateral receipt, while acting within the scope of the employee's
employment. (B) An insurer that
furnishes any of the supplies mentioned in division (A) of this
section to any surety bail bond agent or other person not appointed by an
insurer
and that accepts any bail bond business from or writes any bail bond business
for that
surety bail bond agent or other person is liable on the bond to the same
extent and in the same manner
as if the surety bail bond agent or other person had been appointed or
authorized
by an insurer to act in its
behalf. Sec. 3905.932. A surety bail bond agent or insurer shall not do any of the
following: (A) Suggest or advise the employment of, or name for employment,
any particular attorney to represent its principal; (B) Directly or indirectly solicit business in, or on the
property
or grounds of, a detention facility, as defined in section 2921.01 of the
Revised Code, or in, or on the property or grounds of, any
court. For purposes of this division, "solicit" includes the distribution of
business cards, print advertising, or any other written information directed
to prisoners or potential indemnitors, unless a request is initiated by the
prisoner or potential indemnitor. Permissible print advertising in a
detention facility is strictly limited to a listing in a telephone directory
and the posting of the surety bail bond agent's name, address, and telephone
number in a designated location within the detention facility. (C) Wear or otherwise display any identification, other than
wallet identification card required under division (G) of section
3905.85 of the Revised Code,
in or on the property or grounds of a detention facility, as defined in
section 2921.01 of the Revised Code, or in or on the
property or grounds of any court; (D) Pay a fee or rebate or give or promise anything of value to a
jailer, law enforcement officer, committing magistrate, or other person
who has power to arrest or to hold in custody, or to any public official or
public employee, in order to secure a settlement, compromise, remission, or
reduction of the amount of any bail bond or estreatment of bail; (E) Pay a fee or rebate or give or promise anything of value to
an attorney in a bail bond matter, except in defense of any action on a bond; (F) Pay a fee or rebate or give or promise anything of value to
the principal or to anyone in the principal's behalf; (G) Participate in the capacity of an attorney at a trial or
hearing of a principal; (H) Accept anything of value from a principal for providing a
bail bond, other than the premium filed with and approved by
the superintendent of insurance and an expense fee, except that the surety
bail bond agent may, in accordance with
section 3905.92 of the Revised Code, accept collateral security or other indemnity from a
principal or other person together with documentary stamp taxes if
applicable. No fees, expenses, or charges of any kind shall be deducted from
the collateral held or any return premium due, except as authorized by
sections 3905.83 to 3905.95 of the Revised Code or by rule of the superintendent. A surety
bail bond agent,
upon written agreement with another party, may receive a fee or other
compensation
for returning to custody an individual who has fled the jurisdiction of the
court or caused the forfeiture of a bond. (I) Execute a bond in this state on the person's own behalf; (J) Execute a bond in this state if a judgment has been entered
on a bond executed by the surety bail bond agent, which judgment has remained
unpaid for at least sixty days after all appeals have been exhausted, unless
the full amount of the judgment is
deposited with the clerk of the court. Sec. 3905.933. (A) A surety bail bond agent shall not sign or
countersign
in blank any bond, or give a power of attorney to, or otherwise authorize,
anyone to countersign the surety bail bond agent's name to a bond unless the
person
so authorized is a licensed and appointed surety bail bond agent directly
employed
by the surety bail bond agent giving that authority. (B) A surety bail bond agent shall not divide with any other
person, or
share in, any commissions payable on account of a bail bond, except as between
other surety bail bond agents that are licensed or otherwise qualified to
engage in the bail bond business in their state of domicile. Sec. 3905.934. (A) A surety bail bond agent shall not make,
publish, or otherwise disseminate, directly or indirectly, any
misleading or false advertisement, or engage in any other deceptive trade
practice. (B) All advertising by a surety bail bond agent shall
include
the address of record of the agent on file with the department of
insurance. Sec. 3905.94. If the superintendent of insurance, in accordance
with section 3905.49 of the Revised Code, suspends or revokes a person's
license as a surety bail bond agent,
the person, during the period of suspension or revocation,
shall not be employed by any surety bail
bond agent, have any ownership interest in any business involving bail bonds,
or have any financial
interest of any type in any bail bond business. Sec. 3905.941. Upon the surrender, suspension, or revocation of a
surety bail bond agent's license, the appointing insurer or managing general
agent
immediately shall designate a licensed and appointed surety bail bond agent to
administer all bail bonds previously written by the licensee. Sec. 3905.95. The superintendent of insurance shall
adopt, in accordance with
Chapter 119. of the
Revised
Code, any rules necessary to
implement sections 3905.83 to 3905.95 of the Revised Code. Sec. 3905.99. (A) Whoever violates sections 3905.181, 3905.21, or 3905.23 of
the Revised Code shall be fined not less than twenty-five nor more than five
hundred dollars or imprisoned not more than six months, or both. (B) Whoever violates section 3905.31 or 3905.33 of the Revised Code shall be
fined not less than twenty-five nor more than five hundred dollars or
imprisoned not more than one year, or both. (C) Whoever violates section 3905.37 or 3905.43 of the Revised Code shall be
fined not less than one hundred nor more than five hundred dollars. (D) Whoever violates section 3905.01, division (F) of
section 3905.92, or division (A) of section 3905.931 of
the
Revised Code is guilty of a
misdemeanor of the first degree. (E) Whoever violates section 3905.84
of the Revised Code is guilty of a misdemeanor of the first degree on a
first or second offense and of a felony of the third degree on each subsequent
offense. SECTION 2 . That existing sections 3905.01, 3905.011, 3905.012, 3905.48,
3905.49, 3905.55, 3905.86, and 3905.99 of the Revised Code are
hereby repealed.
SECTION 3 . Sections 1 and 2 of this act shall take effect six months after
the effective date of this act.
SECTION 4 . Any person who, on the effective date of this act, is
licensed as a property/casualty insurance agent in this state and
is actively engaged in the business of posting bail bonds,
is not subject to section 3905.841 of the Revised Code, as enacted by this
act, and shall not be required to take an examination for licensure as a
surety bail bond agent, if the person applies for the license
during the six-month period immediately following the effective
date of this act.
SECTION 5 . It is the intent of the General Assembly that the
Superintendent of Insurance take any action necessary to provide
for an orderly transition for those persons who, on the
effective date of this act, perform the functions,
duties, or powers prescribed for surety bail bond agents
under this act. Consequently, the Department of Insurance
shall accept license applications submitted by such persons
beginning on the effective date of this act and shall make every
effort possible to act upon such applications within the
six-month period immediately following that date.
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