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NARAB II Proposal Quick Facts
  • The National Association of Registered Agents and Brokers Reform Act or "NARAB II" was introduced in the U.S. House of Representatives on March 13, 2008. It was passed by the U.S. House of Representatives on September 17, 2008.
  • Due to pressing legislative priorities in the fall of 2008, NARAB II was not taken up in the Senate prior to the adjournment of the 110th Congress.
  • On May 21, 2009 NARAB II (H.R. 2554) was reintroduced by Representatives David Scott (D-GA) and Randy Neugebauer (R-TX), along with more than 30 of their bipartisan House colleagues. The bill was passed by the House on March 3, 2010 and now awaits further action.
  • NARAB II would not create a federal regulator for insurance.
  • Membership in NARAB would be optional.
  • NARAB II would not reduce the standards for agents to be licensed; rather it would allow producers who are licensed and operate in multiple states to comply with a single set of non resident licensing and continuing education rules.
  • Agents that apply for NARAB membership would be required to submit to a federal criminal background check.
  • NARAB members would pay a membership fee; the cost of which would be established by the NARAB governing board.
  • NARAB members would be able to pay all of their requisite state licensing fees through NARAB.
  • NARAB members would be governed by NARAB’s continuing education requirements and no state other than a producer’s home state could impose CE requirements on NARAB members.
  • Non-resident states would continue to have the power to discipline NARAB licensed producers and to suspend their licenses.
  • The NARAB Board must coordinate disciplinary efforts with the states and establish a consumer complaints office.
  • The NARAB Board could seek a court order if necessary to enforce its disciplinary actions.
  • The NARAB Board would be composed of 6 insurance commissioners and 5 marketplace representatives from the producer and carrier communities.
Quick Fact

FactsNARAB II would not reduce the standards for agents to be licensed; rather it would allow producers who are licensed and operate in multiple states to comply with a single set of non resident licensing and continuing education rules.