Regulators Adopt Model Criminal History Record Check

The National Association of Insurance Commissioners’ (NAIC) Market Regulation & Consumer Affairs (D) Committee recently adopted the Authorization for Criminal History Record Check Model Act during the NAIC Spring National Meeting.

The Act provides the basic regulatory framework for the use of electronic fingerprints provided by a resident insurance producer. In summary, the model language was developed for states to adopt in order to obtain access to the Criminal Justice Information Services Division of the Federal Bureau of Investigation (FBI) criminal history record information and also secure information or reports from the Criminal Justice Information Services Division of the FBI.

“This model will assist states in achieving an important NAIC uniform licensing standard of fingerprinting their resident producers,” said Susan Voss, Iowa Insurance Commissioner and Chair of the Market Regulation and Consumer Affairs Committee. “Consistent with this goal, this model applies to a natural person applying for any of the following: an initial home state license as an insurance producer; an additional line of authority under an existing home state insurance producer license where a criminal history record check has not been obtained; or a resident insurance producer license under change of home state provisions.”

Earlier versions of the model included provisions for the creation of an NAIC centralized fingerprint repository, the fingerprinting of directors and officers and a fingerprinting exemption for producers who are currently licensed and in good standing with the National Association of Securities Dealers. All of these provisions were deleted from the adopted model act.

“It is important to note that the model contains key confidentiality provisions regarding an applicant’s fingerprints, necessary identifying information and criminal history record check information,” said Commissioner Voss.

Source: NAIC

Topics Fraud Legislation