,,ii  ,cal5d> ,no4 #ahb  #aac?          
,,congress  #a/ ,session  ,h4 ,r4 #aaee 
,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates 
,septemb] #aa1 #bjac ,receiv$2 read     
twice & plac$ on ! cal5d>  ,,an ,,act   
,to re=m ! ,national ,association (     
,regi/]$ ,ag5ts & ,brok]s1 & = o!r      
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,national ,association (   
,regi/]$ ,ag5ts & ,brok]s ,re=m ,act (  
#bjac4  #b4 ,ree/abli%m5t ( ! ,national 
,association ( ,regi/]$ ,ag5ts & ,brok]s
  7a7 ,9 g5]al ,subtitle ,c ( title     
,,iii ( ! ,gramm-,lea*-,bliley ,act 7#ae
 ,u4,s4,c4 #fgea et seq47 is am5d$ to   
read z foll[s3  ,c ,national            
,association ( ,regi/]$ ,ag5ts & ,brok]s
  #cba4 ,national ,association (        
,regi/]$ ,ag5ts & ,brok]s  7a7          
,e/abli%m5t ,!re is e/abli%$ ! ,national
 ,association ( ,regi/]$ ,ag5ts &       
,brok]s 7ref]r$ to 9 ?is subtitle z !   
,association74  7b7 ,/atus ,!           
,association %all--  7#a7 be a nonpr(it 
corporation2  7#b7 n be an ag5t or      

in/rum5tality ( ! ,f$]al ,gov]nm5t2     
7#c7 be an indep5d5t organization t may 
n be m]g$ ) or into any o!r private or  
public entity2 &  7#d7 except z o!rwise 
provid$ 9 ?is subtitle1 be subject to1 &
 h all ! p[]s conf]r$ ^u1 a nonpr(it    
corporation by ! ,di/rict ( ,columbia   
,nonpr(it ,corporation ,act 7,d4,c4     
,code1 sec4 #bi-cja4ja et seq47 or any  
successor !reto4  #cbb4 ,purpose ,!     
purpose ( ! ,association %all be to     
provide a me*anism ?r\gh :i* lic5s+1    
cont9u+ education1 & o!r nonresid5t     
insurance produc] qualification         
requirem5ts & conditions may be adopt$ &
 appli$ on a multi-/ate basis )\t       
affect+ ! laws1 rules1 & regulations1 & 
pres]v+ ! rights ( a ,/ate1 p]ta9+ to-- 
7#a7 lic5s+1 cont9u+ education1 & o!r   
qualification requirem5ts ( insurance   
produc]s t are n memb]s ( !             
,association2  7#b7 resid5t or          
nonresid5t insurance produc] appo9tm5t  
requirem5ts2  7#c7 sup]vis+ & discipl9+ 
resid5t & nonresid5t insurance produc]s2

  7#d7 e/abli%+ lic5s+ fees = resid5t & 
nonresid5t insurance produc]s s t !re is
 no loss ( insurance produc] lic5s+     
rev5ue to ! ,/ate2 &  7#e7 prescrib+ &  
en=c+ laws & regulations regulat+ !     
conduct ( resid5t & nonresid5t insurance
 produc]s4  #cbc4 ,memb]%ip  7a7        
,eligibility  7#a7 ,9 g5]al ,any        
insurance produc] lic5s$ 9 its home     
,/ate %all1 subject to p>agraphs 7#b7 & 
7#d71 be eligible to become a memb] ( ! 
,association4  7#b7 ,ineligibility =    
susp5sion or revocation ( lic5se        
,subject to p>agraph 7#c71 an insurance 
produc] is n eligible to become a memb] 
( ! ,association if a ,/ate insurance   
regulator has susp5d$ or revok$ !       
insurance lic5se ( ! insurance produc] 9
 t ,/ate4  7#c7 ,resumption (           
eligibility ,p>agraph 7#b7 %all cease to
 apply to any insurance produc] if--    
7,a7 ! ,/ate insurance regulator        
reissues or r5ews ! lic5se ( ! insurance
 produc] 9 ! ,/ate 9 :i* ! lic5se 0     
susp5d$ or revok$1 or o!rwise t]m9ates  

or vacates ! susp5sion or revocation2 or
  7,b7 ! susp5sion or revocation expires
 or is subsequ5tly ov]turn$ by a c\rt ( 
compet5t jurisdiction4  7#d7 ,crim9al   
hi/ory record *eck requir$  7,a7 ,9     
g5]al ,an insurance produc] :o is an    
individual %all n be eligible to become 
a memb] ( ! ,association unless !       
insurance produc] has und]gone a crim9al
 hi/ory record *eck t complies )        
regulations prescrib$ by ! ,attorney    
,g5]al ( ! ,unit$ ,/ates "u subp>agraph 
7,k74  7,b7 ,crim9al hi/ory record *eck 
reque/$ by home ,/ate ,an insurance     
produc] :o is lic5s$ 9 a ,/ate & :o has 
und]gone a crim9al hi/ory record *eck   
dur+ ! #b-ye> p]iod prec$+ ! date (     
submission ( an application to become a 
memb] ( ! ,association1 9 compliance ) a
 requirem5t to und]go su* crim9al hi/ory
 record *eck z a condition = su*        
lic5sure 9 ! ,/ate1 %all be deem$ to h  
und]gone a crim9al hi/ory record *eck = 
purposes ( subp>agraph 7,a74  7,c7      
,crim9al hi/ory record *eck reque/$ by  

,association  7i7 ,9 g5]al ,!           
,association %all1 ^u reque/ by an      
insurance produc] lic5s$ 9 a ,/ate1     
submit f+]pr9ts or o!r id5tification    
in=mation obta9$ f ! insurance produc]1 
& a reque/ = a crim9al hi/ory record    
*eck ( ! insurance produc]1 to ! ,f$]al 
,bureau ( ,inve/igation4  7ii7          
,proc$ures ,! bo>d ( directors ( !      
,association 7ref]r$ to 9 ?is subtitle z
 ! ,bo>d7 %all prescribe proc$ures =    
obta9+ & utiliz+ f+]pr9ts or o!r        
id5tification in=mation & crim9al hi/ory
 record in=mation1 includ+ ! e/abli%m5t 
( reasonable fees to defray ! exp5ses ( 
! ,association 9 connection ) ! p]=mance
 ( a crim9al hi/ory record *eck &       
appropriate safegu>ds = ma9ta9+         
confid5tiality & security ( ! in=mation4
 ,any fees *>g$ pursuant to ?is clause  
%all be sep>ate & di/9ct f ^? *>g$ by ! 
,attorney ,g5]al pursuant to subp>agraph
 7,i74  7,d7 ,=m ( reque/ ,a submission 
"u subp>agraph 7,c77i7 %all include su* 
f+]pr9ts or o!r id5tification in=mation 

z is requir$ by ! ,attorney ,g5]al      
conc]n+ ! p]son ab\t :om ! crim9al      
hi/ory record *eck is reque/$1 & a      
/atem5t sign$ by ! p]son au?oriz+ !     
,attorney ,g5]al to provide ! in=mation 
to ! ,association & = ! ,association to 
receive ! in=mation4  7,e7 ,provision ( 
in=mation by ,attorney ,g5]al ,^u       
receiv+ a submission "u subp>agraph     
7,c77i7 f ! ,association1 ! ,attorney   
,g5]al %all se>* all crim9al hi/ory     
records ( ! ,f$]al ,bureau (            
,inve/igation1 includ+ records ( !      
,crim9al ,ju/ice ,in=mation ,s]vices    
,division ( ! ,f$]al ,bureau (          
,inve/igation1 t ! ,attorney ,g5]al     
det]m9es appropriate = crim9al hi/ory   
records correspond+ to ! f+]pr9ts or o!r
 id5tification in=mation provid$ "u     
subp>agraph 7,d7 & provide all crim9al  
hi/ory record in=mation includ$ 9 !     
reque/ to ! ,association4  7,f7         
,limitation on p]missible uses (        
in=mation ,any in=mation provid$ to !   
,association "u subp>agraph 7,e7 may    

only--  7i7 be us$ = purposes ( det]m9+ 
compliance ) memb]%ip crit]ia e/abli%$  
by ! ,association2  7ii7 be disclos$ to 
,/ate insurance regulators1 or ,f$]al or
 ,/ate law en=cem5t ag5cies1 9 con=mance
 ) applicable law2 or  7iii7 be         
disclos$1 ^u reque/1 to ! insurance     
produc] to :om ! crim9al hi/ory record  
in=mation relates4  7,g7 ,p5alty =      
improp] use or disclosure ,:oev] kn[+ly 
uses any in=mation provid$ "u           
subp>agraph 7,e7 = a purpose n au?oriz$ 
9 subp>agraph 7,f71 or discloses any su*
 in=mation to anyone n au?oriz$ to      
receive x1 %all be f9$ n m ?an #ej1jjj  
p] violation z det]m9$ by a c\rt (      
compet5t jurisdiction4  7,h7 ,reliance  
on in=mation ,nei!r ! ,association nor  
any ( its ,bo>d memb]s1 (fic]s1 or      
employees %all be liable 9 any action = 
us+ in=mation provid$ "u subp>agraph    
7,e7 z p]mitt$ "u subp>agraph 7,f7 9    
good fai? & 9 reasonable reliance on its
 accuracy4  7,i7 ,fees ,! ,attorney     
,g5]al may *>ge a reasonable fee =      

conduct+ ! se>* & provid+ ! in=mation "u
 subp>agraph 7,e71 & any su* fee %all be
 collect$ & remitt$ by ! ,association to
 ! ,attorney ,g5]al4  7,j7 ,rule (      
con/ruction ,no?+ 9 ?is p>agraph %all be
 con/ru$ z--  7i7 requir+ a ,/ate       
insurance regulator to p]=m crim9al     
hi/ory record *ecks "u ?is section2 or  
7ii7 limit+ any o!r au?ority t all[s    
access to crim9al hi/ory records4  7,k7 
,regulations ,! ,attorney ,g5]al %all   
prescribe regulations to c>ry out ?is   
p>agraph1 :i* %all include--  7i7       
appropriate protections = ensur+ !      
confid5tiality ( in=mation provid$ "u   
subp>agraph 7,e72 &  7ii7 proc$ures     
provid+ a reasonable opportunity = an   
insurance produc] to conte/ ! accuracy (
 in=mation reg>d+ ! insurance produc]   
provid$ "u subp>agraph 7,e74  7,l7      
,ineligibility = memb]%ip  7i7 ,9 g5]al 
,! ,association may1 "u reasonably      
consi/5tly appli$ /&>ds1 d5y memb]%ip to
 an insurance produc] on ! basis (      
crim9al hi/ory record in=mation provid$ 

"u subp>agraph 7,e71 or :]e ! insurance 
produc] has be5 subject to discipl9>y   
action1 z describ$ 9 p>agraph 7#b74     
7ii7 ,rights ( applicants d5i$ memb]%ip 
,! ,association %all notify any         
insurance produc] :o is d5i$ memb]%ip on
 ! basis ( crim9al hi/ory record        
in=mation provid$ "u subp>agraph 7,e7 ( 
! "r ( ! insurance produc] to--  7,i7   
obta9 a copy ( all crim9al hi/ory record
 in=mation provid$ to ! ,association "u 
subp>agraph 7,e7 ) respect to !         
insurance produc]2 &  7,,ii7 *all5ge !  
d5ial ( memb]%ip bas$ on ! accuracy &   
complet5ess ( ! in=mation4  7,m7        
,def9ition ,= purposes ( ?is p>agraph1 !
 t]m crim9al hi/ory record *eck means a 
national backgr\nd *eck ( crim9al hi/ory
 records ( ! ,f$]al ,bureau (           
,inve/igation4  7b7 ,au?ority to e/abli%
 memb]%ip crit]ia ,! ,association may   
e/abli% memb]%ip crit]ia t be> a        
reasonable relation%ip to ! purposes =  
:i* ! ,association 0 e/abli%$4  7c7     
,e/abli%m5t ( classes & categories (    

memb]%ip  7#a7 ,classes ( memb]%ip ,!   
,association may e/abli% sep>ate classes
 ( memb]%ip1 ) sep>ate crit]ia1 if !    
,association reasonably det]m9es t      
p]=mance ( diff]5t duties requires      
diff]5t levels ( education1 tra9+1      
exp]i5ce1 or o!r qualifications4  7#b7  
,bus9ess entities ,! ,association %all  
e/abli% a class ( memb]%ip & memb]%ip   
crit]ia = bus9ess entities4 ,a bus9ess  
entity t applies = memb]%ip %all be     
requir$ to designate an individual      
,association memb] responsible = !      
compliance ( ! bus9ess entity )         
,association /&>ds & ! insurance laws1  
/&>ds1 & regulations ( any ,/ate 9 :i* !
 bus9ess entity seeks to d bus9ess on ! 
basis ( ,association memb]%ip4  7#c7    
,categories  7,a7 ,sep>ate categories = 
insurance produc]s p]mitt$ ,!           
,association may e/abli% sep>ate        
categories ( memb]%ip = insurance       
produc]s & = o!r p]sons or entities )9  
ea* class1 bas$ on ! types ( lic5s+     
categories t exi/ "u ,/ate laws4  7,b7  

,sep>ate treatm5t = depository          
in/itutions prohibit$ ,no special       
categories ( memb]%ip1 & no di/9ct      
memb]%ip crit]ia1 %all be e/abli%$ =    
memb]s t are depository in/itutions or =
 employees1 ag5ts1 or affiliates (      
depository in/itutions4  7d7 ,memb]%ip  
crit]ia  7#a7 ,9 g5]al ,! ,association  
may e/abli% crit]ia = memb]%ip :i* %all 
include /&>ds = p]sonal qualifications1 
education1 tra9+1 & exp]i5ce4 ,!        
,association %all n e/abli% crit]ia t   
unfairly limit ! ability ( a small      
insurance produc] to become a memb] ( ! 
,association1 includ+ impos+            
discrim9atory memb]%ip fees4  7#b7      
,qualifications ,9 e/abli%+ crit]ia "u  
p>agraph 7#a71 ! ,association %all n    
adopt any qualification less protective 
to ! public ?an t conta9$ 9 ! ,national 
,association ( ,insurance ,commission]s 
7ref]r$ to 9 ?is subtitle z ! ,,naic7   
,produc] ,lic5s+ ,model ,act 9 effect z 
( ! date ( enactm5t ( ! ,national       
,association ( ,regi/]$ ,ag5ts & ,brok]s

 ,re=m ,act ( #bjac1 & %all consid] !   
highe/ levels ( insurance produc]       
qualifications e/abli%$ "u ! lic5s+ laws
 ( ! ,/ates4  7#c7 ,assi/ance f ,/ates  
7,a7 ,9 g5]al ,! ,association may reque/
 a ,/ate to provide assi/ance 9         
inve/igat+ & evaluat+ ! eligibility ( a 
prospective memb] = memb]%ip 9 !        
,association4  7,b7 ,au?orization (     
in=mation %>+ ,a submission "u          
subsection 7a77#d77;,c77i7 made by an   
insurance produc] lic5s$ 9 a ,/ate %all 
include a /atem5t sign$ by ! p]son ab\t 
:om ! assi/ance is reque/$ au?oriz+--   
7i7 ! ,/ate to %>e in=mation ) !        
,association2 &  7ii7 ! ,association to 
receive ! in=mation4  7,c7 ,rule (      
con/ruction ,subp>agraph 7,a7 %all n be 
con/ru$ z requir+ or au?oriz+ any ,/ate 
to adopt new or additional requirem5ts  
conc]n+ ! lic5s+ or evaluation (        
insurance produc]s4  7#d7 ,d5ial (      
memb]%ip ,! ,association may1 bas$ on   
reasonably consi/5tly appli$ /&>ds1 d5y 
memb]%ip to any ,/ate-lic5s$ insurance  

produc] = failure to meet ! memb]%ip    
crit]ia e/abli%$ by ! ,association4  7e7
 ,effect ( memb]%ip  7#a7 ,au?ority (   
association memb]s ,memb]%ip 9 !        
,association %all--  7,a7 au?orize an   
insurance produc] to sell1 solicit1 or  
negotiate insurance 9 any ,/ate = :i* ! 
memb] pays ! lic5s+ fee set by ! ,/ate =
 any l9e or l9es ( insurance specifi$ 9 
! home ,/ate lic5se ( ! insurance       
produc]1 & ex]cise all su* incid5tal    
p[]s z %all be necess>y to c>ry out su* 
activities1 includ+ claims adju/m5ts &  
settlem5t to ! ext5t p]missible "u !    
laws ( ! ,/ate1 risk managem5t1 employee
 b5efits advice1 retirem5t plann+1 & any
 o!r insurance-relat$ consult+          
activities2  7,b7 be ! equival5t ( a    
nonresid5t insurance produc] lic5se =   
purposes ( au?oriz+ ! insurance produc] 
to engage 9 ! activities describ$ 9     
subp>agraph 7,a7 9 any ,/ate :]e ! memb]
 pays ! lic5s+ fee2 &  7,c7 be !        
equival5t ( a nonresid5t insurance      
produc] lic5se = ! purpose ( subject+ an

 insurance produc] to all laws1         
regulations1 provisions or o!r action ( 
any ,/ate conc]n+ revocation1 susp5sion1
 or o!r en=cem5t action relat$ to !     
ability ( a memb] to engage 9 any       
activity )9 ! scope ( au?ority grant$ "u
 ?is subsection & to all ,/ate laws1    
regulations1 provisions1 & actions      
pres]v$ "u p>agraph 7#e74  7#b7 ,viol5t 
,crime ,control & ,law ,en=cem5t ,act ( 
#aiid ,no?+ 9 ?is subtitle %all be      
con/ru$ to alt]1 modify1 or sup]c$e any 
requirem5t e/abli%$ by section #ajcc (  
title #ah1 ,unit$ ,/ates ,code4  7#c7   
,ag5t = remitt+ fees ,! ,association    
%all act z an ag5t = any memb] =        
purposes ( remitt+ lic5s+ fees to any   
,/ate pursuant to p>agraph 7#a74  7#d7  
,notification ( action  7,a7 ,9 g5]al ,!
 ,association %all notify ! ,/ates      
7includ+ ,/ate insurance regulators7 & !
 ,,naic :5 an insurance produc] has     
satisfi$ ! memb]%ip crit]ia ( ?is       
section4 ,! ,/ates 7includ+ ,/ate       
insurance regulators7 %all h #aj bus9ess

 days aft] ! date ( ! notification 9    
ord] to provide ! ,association ) evid5ce
 t ! insurance produc] does n satisfy ! 
crit]ia = memb]%ip 9 ! ,association4    
7,b7 ,ongo+ disclosures requir$ ,on an  
ongo+ basis1 ! ,association %all        
disclose to ! ,/ates 7includ+ ,/ate     
insurance regulators7 & ! ,,naic a li/ (
 ! ,/ates 9 :i* ea* memb] is au?oriz$ to
 op]ate4 ,! ,association %all imm$iately
 notify ! ,/ates 7includ+ ,/ate         
insurance regulators7 & ! ,,naic :5 a   
memb] is newly au?oriz$ to op]ate 9 "o  
or m ,/ates1 or is no long] au?oriz$ to 
op]ate 9 "o or m ,/ates on ! basis (    
,association memb]%ip4  7#e7            
,pres]vation ( consum] protection &     
m>ket conduct regulation  7,a7 ,9 g5]al 
,no provision ( ?is section %all be     
con/ru$ z alt]+ or affect+ !            
applicability or cont9u+ effectiv5ess ( 
any law1 regulation1 provision1 or o!r  
action ( any ,/ate1 includ+ ^? describ$ 
9 subp>agraph 7,b71 to ! ext5t t ! ,/ate
 law1 regulation1 provision1 or o!r     

action is n inconsi/5t ) ! provisions ( 
?is subtitle relat$ to m>ket entry =    
nonresid5t insurance produc]s1 & !n only
 to ! ext5t ( ! inconsi/5cy4  7,b7      
,pres]v$ regulations ,! laws1           
regulations1 provisions1 or o!r actions 
( any ,/ate ref]r$ to 9 subp>agraph 7,a7
 include laws1 regulations1 provisions1 
or o!r actions t--  7i7 regulate m>ket  
conduct1 insurance produc] conduct1 or  
unfair trade practices2  7ii7 e/abli%   
consum] protections2 or  7iii7 require  
insurance produc]s to be appo9t$ by a   
lic5s$ or au?oriz$ insur]4  7f7 ,bi5nial
 r5ewal ,memb]%ip 9 ! ,association %all 
be r5ew$ on a bi5nial basis4  7g7       
,cont9u+ education  7#a7 ,9 g5]al ,!    
,association %all e/abli%1 z a condition
 ( memb]%ip1 cont9u+ education          
requirem5ts :i* %all be comp>able to !  
cont9u+ education requirem5ts "u !      
lic5s+ laws ( a majority ( ! ,/ates4    
7#b7 ,/ate cont9u+ education requirem5ts
 ,a memb] may n be requir$ to satisfy   
cont9u+ education requirem5ts impos$ "u 

! laws1 regulations1 provisions1 or     
actions ( any ,/ate o!r ?an ! home ,/ate
 ( ! memb]4  7#c7 ,reciprocity ,!       
,association %all n require a memb] to  
satisfy cont9u+ education requirem5ts t 
are equival5t to any cont9u+ education  
requirem5ts ( ! home ,/ate ( ! memb] t h
 be5 satisfi$ by ! memb] dur+ !         
applicable lic5s+ p]iod4  7#d7          
,limitation on ! ,association ,!        
,association %all n directly or         
indirectly (f] any cont9u+ education    
c\rses = insurance produc]s4  7h7       
,probation1 susp5sion & revocation  7#a7
 ,discipl9>y action ,! ,association may 
place an insurance produc] t is a memb] 
( ! ,association on probation or susp5d 
or revoke ! memb]%ip ( ! insurance      
produc] 9 ! ,association1 or assess     
monet>y f9es or p5alties1 z !           
,association det]m9es to be appropriate1
 if--  7,a7 ! insurance produc] fails to
 meet ! applicable memb]%ip crit]ia or  
o!r /&>ds e/abli%$ by ! ,association2   
7,b7 ! insurance produc] has be5 subject

 to discipl9>y action pursuant to a f9al
 adjudicatory proce$+ "u ! jurisdiction 
( a ,/ate insurance regulator2  7,c7 an 
insurance lic5se held by ! insurance    
produc] has be5 susp5d$ or revok$ by a  
,/ate insurance regulator2 or  7,d7 !   
insurance produc] has be5 convict$ ( a  
crime t w\ld h result$ 9 ! d5ial (      
memb]%ip pursuant to subsection         
7a77#d77,l77i7 at ! "t ( application1 & 
! ,association has receiv$ a copy ( !   
f9al disposition f a c\rt ( compet5t    
jurisdiction4  7#b7 ,violations (       
,association /&>ds ,! ,association %all 
h ! p[] to inve/igate alleg$ violations 
( ,association /&>ds4  7#c7 ,report+ ,! 
,association %all imm$iately notify !   
,/ates 7includ+ ,/ate insurance         
regulators7 & ! ,,naic :5 ! memb]%ip (  
an insurance produc] has be5 plac$ on   
probation or has be5 susp5d$1 revok$1 or
 o!rwise t]m9at$1 or :5 ! ,association  
has assess$ monet>y f9es or p5alties4   
7i7 ,consum] compla9ts  7#a7 ,9 g5]al ,!
 ,association %all--  7,a7 ref] any     

compla9t aga9/ a memb] ( ! ,association 
f a consum] relat+ to alleg$ misconduct 
or violations ( ,/ate insurance laws to 
! ,/ate insurance regulator :]e !       
consum] resides &1 :5 appropriate1 to   
any additional ,/ate insurance          
regulator1 z det]m9$ by /&>ds adopt$ by 
! ,association2 &  7,b7 make any relat$ 
records & in=mation available to ea*    
,/ate insurance regulator to :om !      
compla9t is =w>d$4  7#b7 ,telephone &   
o!r access ,! ,association %all ma9ta9 a
 toll-free numb] = purposes ( ?is       
subsection &1 z practicable1 o!r        
alt]native means ( communication )      
consum]s1 su* z an ,int]net webpage4    
7#c7 ,f9al disposition ( inve/igation   
,/ate insurance regulators %all provide 
! ,association ) in=mation reg>d+ ! f9al
 disposition ( a compla9t ref]r$        
pursuant to p>agraph 7#a77;,a71 b no?+  
%all be con/ru$ to compel a ,/ate to    
release confid5tial inve/igation reports
 or o!r in=mation protect$ by ,/ate law 
to ! ,association4  7j7 ,in=mation %>+  

,! ,association may--  7#a7 %>e         
docum5ts1 mat]ials1 or o!r in=mation1   
includ+ confid5tial & privileg$         
docum5ts1 ) a ,/ate1 ,f$]al1 or         
int]national gov]nm5tal entity or ) !   
,,naic or o!r appropriate entity ref]r$ 
to p>agraphs 7#c7 & 7#d71 provid$ t !   
recipi5t has ! au?ority & agrees to     
ma9ta9 ! confid5tiality or privileg$    
/atus ( ! docum5t1 mat]ial1 or o!r      
in=mation2  7#b7 limit ! %>+ ( in=mation
 z requir$ "u ?is subtitle ) ! ,,naic or
 any o!r non-gov]nm5tal entity1 9       
circum/ances "u :i* ! ,association      
det]m9es t ! %>+ ( su* in=mation is     
unnecess>y to fur!r ! purposes ( ?is    
subtitle2  7#c7 e/abli% a c5tral        
cle>+h\se1 or utilize ! ,,naic or ano!r 
appropriate entity1 z det]m9$ by !      
,association1 z a c5tral cle>+h\se1 =   
use by ! ,association & ! ,/ates        
7includ+ ,/ate insurance regulators71   
?r\gh :i* memb]s ( ! ,association may   
disclose _! int5t to op]ate 9 #a or m   
,/ates & pay ! lic5s+ fees to !         

appropriate ,/ates2 &  7#d7 e/abli% a   
database1 or utilize ! ,,naic or ano!r  
appropriate entity1 z det]m9$ by !      
,association1 z a database1 = use by !  
,association & ! ,/ates 7includ+ ,/ate  
insurance regulators7 = ! collection (  
regulatory in=mation conc]n+ !          
activities ( insurance produc]s4  7k7   
,effective ,date ,! provisions ( ?is    
section %all take effect on ! lat] (--  
7#a7 ! expiration ( ! #b-ye> p]iod      
beg9n+ on ! date ( enactm5t ( !         
,national ,association ( ,regi/]$ ,ag5ts
 & ,brok]s ,re=m ,act ( #bjac2 &  7#b7 !
 date ( incorporation ( ! ,association4 
#cbd4 ,bo>d ( directors  7a7 ,e/abli%m5t
 ,!re is e/abli%$ a bo>d ( directors ( !
 ,association1 :i* %all h au?ority to   
gov]n & sup]vise all activities ( !     
,association4  7b7 ,p[]s ,! ,bo>d %all h
 su* ( ! p[]s & au?ority ( !            
,association z may be specifi$ 9 !      
bylaws ( ! ,association4  7c7           
,composition  7#a7 ,9 g5]al ,! ,bo>d    
%all consi/ ( #ac memb]s :o %all be     

appo9t$ by ! ,presid5t1 by & ) ! advice 
& cons5t ( ! ,s5ate1 9 accordance ) !   
proc$ures e/abli%$ "u ,s5ate ,resolution
 #aaf ( ! #aab? ,congress1 ( :om--  7,a7
 #h %all be ,/ate insurance commission]s
 appo9t$ 9 ! mann] provid$ 9 p>agraph   
7#b71 #a ( :om %all be designat$ by !   
,presid5t to s]ve z ! *airp]son ( !     
,bo>d until ! ,bo>d elects "o su* ,/ate 
insurance commission] ,bo>d memb] to    
s]ve z ! *airp]son ( ! ,bo>d2  7,b7 #c  
%all h demon/rat$ exp]tise & exp]i5ce ) 
prop]ty & casualty insurance produc]    
lic5s+2 &  7,c7 #b %all h demon/rat$    
exp]tise & exp]i5ce ) life or heal?     
insurance produc] lic5s+4  7#b7 ,/ate   
insurance regulator repres5tatives  7,a7
 ,recomm5dations ,be=e mak+ any         
appo9tm5ts pursuant to p>agraph         
7#a77;,a71 ! ,presid5t %all reque/ a li/
 ( recomm5d$ c&idates f ! ,/ates ?r\gh !
 ,,naic1 :i* %all n be b9d+ on !        
,presid5t4 ,if ! ,,naic fails to submit 
a li/ ( recomm5dations n lat] ?an #ae   
bus9ess days aft] ! date ( ! reque/1 !  

,presid5t may make ! requisite          
appo9tm5ts )\t consid]+ ! views ( !     
,,naic4  7,b7 ,political affiliation ,n 
m ?an #d ,bo>d memb]s appo9t$ "u        
p>agraph 7#a77;,a7 %all belong to ! same
 political p>ty4  7,c7 ,=m] ,/ate       
insurance commission]s  7i7 ,9 g5]al    
,if1 aft] (f]+ ea* curr5tly s]v+ ,/ate  
insurance commission] an appo9tm5t to ! 
,bo>d1 few] ?an #h ,/ate insurance      
commission]s h accept$ appo9tm5t to !   
,bo>d1 ! ,presid5t may appo9t ! rema9+  
,/ate insurance commission] ,bo>d       
memb]s1 z requir$ "u p>agraph 7#a77;,a71
 ( ! appropriate political p>ty z       
requir$ "u subp>agraph 7,b71 f among    
individuals :o are =m] ,/ate insurance  
commission]s4  7ii7 ,limitation ,a =m]  
,/ate insurance commission] appo9t$ z   
describ$ 9 clause 7i7 may n be employ$  
by or h any pres5t direct or indirect   
f9ancial int]e/ 9 any insur]1 insurance 
produc]1 or o!r entity 9 ! insurance    
indu/ry1 o!r ?an direct or indirect     
own]%ip (1 or b5eficial int]e/ 91 an    

insurance policy or annuity contract    
writt5 or sold by an insur]4  7,d7      
,s]vice ?r\gh t]m ,if a ,bo>d memb]     
appo9t$ "u p>agraph 7#a77;,a7 ceases to 
be a ,/ate insurance commission] dur+ ! 
t]m ( ! ,bo>d memb]1 ! ,bo>d memb] %all 
cease to be a ,bo>d memb]4  7#c7        
,private sector repres5tatives ,9 mak+  
any appo9tm5t pursuant to subp>agraph   
7,b7 or 7,c7 ( p>agraph 7#a71 !         
,presid5t may seek recomm5dations =     
c&idates f gr\ps repres5t+ ! category ( 
individuals describ$1 :i* %all n be b9d+
 on ! ,presid5t4  7#d7 ,/ate insurance  
commission] def9$ ,= purposes ( ?is     
subsection1 ! t]m ,/ate insurance       
commission] means a p]son :o s]ves 9 !  
position 9 ,/ate gov]nm5t1 or on ! bo>d1
 commission1 or o!r body t is ! prim>y  
insurance regulatory au?ority = ! ,/ate4
  7d7 ,t]ms  7#a7 ,9 g5]al ,except z    
provid$ "u p>agraph 7#b71 ! t]m ( s]vice
 = ea* ,bo>d memb] %all be #b ye>s4     
7#b7 ,exceptions  7,a7 #a-ye> t]ms ,!   
t]m ( s]vice %all be #a ye>1 z designat$

 by ! ,presid5t at ! "t ( ! nom9ation ( 
! subject ,bo>d memb]s =--  7i7 #d ( !  
,/ate insurance commission] ,bo>d memb]s
 initially appo9t$ "u p>agraph          
7#a77;,a71 ( :om n m ?an #b %all belong 
to ! same political p>ty2  7ii7 #a ( !  
,bo>d memb]s initially appo9t$ "u       
p>agraph 7#a77;,b72 &  7iii7 #a ( !     
,bo>d memb]s initially appo9t$ "u       
p>agraph 7#a77;,c74  7,b7 ,expiration ( 
,t]m ,a ,bo>d memb] may cont9ue to s]ve 
aft] ! expiration ( ! t]m to :i* ! ,bo>d
 memb] 0 appo9t$ = ! e>li] ( #b ye>s or 
until a successor is appo9t$4  7,c7     
,mid-t]m appo9tm5ts ,a ,bo>d memb]      
appo9t$ to fill a vacancy occurr+ be=e !
 expiration ( ! t]m = :i* ! pr$ecessor (
 ! ,bo>d memb] 0 appo9t$ %all be appo9t$
 only = ! rema9d] ( t t]m4  7#c7        
,successive t]ms ,bo>d memb]s may be    
reappo9t$ to successive t]ms4  7e7      
,initial appo9tm5ts ,! appo9tm5t (      
initial ,bo>d memb]s %all be made no    
lat] ?an #ij days aft] ! date ( enactm5t
 ( ! ,national ,association ( ,regi/]$  

,ag5ts & ,brok]s ,re=m ,act ( #bjac4    
7f7 ,meet+s  7#a7 ,9 g5]al ,! ,bo>d %all
 meet--  7,a7 at ! call ( ! *airp]son2  
7,b7 z reque/$ 9 writ+ to ! *airp]son by
 n few] ?an #e ,bo>d memb]s2 or  7,c7 z 
o!rwise provid$ by ! bylaws ( !         
,association4  7#b7 ,quorum requir$ ,a  
majority ( all ,bo>d memb]s %all        
con/itute a quorum4  7#c7 ,vot+         
,decisions ( ! ,bo>d %all require !     
approval ( a majority ( all ,bo>d memb]s
 pres5t at a meet+1 a quorum be+ pres5t4
  7#d7 ,initial meet+ ,! ,bo>d %all hold
 its fir/ meet+ n lat] ?an #de days aft]
 ! date on :i* all initial ,bo>d memb]s 
h be5 appo9t$4  7g7 ,re/riction on      
confid5tial in=mation ,bo>d memb]s      
appo9t$ pursuant to subp>agraphs 7,b7 & 
7,c7 ( subsection 7c77#a7 %all n h      
access to confid5tial in=mation receiv$ 
by ! ,association 9 connection )        
compla9ts1 inve/igations1 or discipl9>y 
proce$+s involv+ insurance produc]s4    
7h7 ,e?ics & conflicts ( int]e/ ,! ,bo>d
 %all issue & en=ce an e?ical conduct   

code to address p]missible & prohibit$  
activities ( ,bo>d memb]s & ,association
 (fic]s1 employees1 ag5ts1 or           
consultants4 ,! code %all1 at a m9imum1 
include provisions t prohibit any ,bo>d 
memb] or ,association (fic]1 employee1  
ag5t or consultant f--  7#a7 engag+ 9   
une?ical conduct 9 ! c\rse ( p]=m+      
,association duties2  7#b7 p>ticipat+ 9 
! mak+ or influ5c+ ! mak+ ( any         
,association decision1 ! outcome ( :i* !
 ,bo>d memb]1 (fic]1 employee1 ag5t1 or 
consultant kn[s or _h reason to "k w\ld 
h a reasonably =eseeable mat]ial        
f9ancial effect1 di/+ui%able f its      
effect on ! public g5]ally1 on ! p]son  
or a memb] ( ! imm$iate family ( !      
p]son2  7#c7 accept+ any gift f any     
p]son or entity o!r ?an ! ,association t
 is giv5 because ( ! position held by ! 
p]son 9 ! ,association2  7#d7 mak+      
political contributions to any p]son or 
entity on behalf ( ! ,association2 &    
7#e7 lobby+ or pay+ a p]son to lobby on 
behalf ( ! ,association4  7i7           

,comp5sation  7#a7 ,9 g5]al ,except z   
provid$ 9 p>agraph 7#b71 no ,bo>d memb] 
may receive any comp5sation f !         
,association or any o!r p]son or entity 
on acc\nt ( ,bo>d memb]%ip4  7#b7       
,travel exp5ses & p] diem ,bo>d memb]s  
may be reimburs$ only by ! ,association 
= travel exp5ses1 includ+ p] diem 9 lieu
 ( subsi/5ce1 at rates consi/5t ) rates 
au?oriz$ = employees ( ,f$]al ag5cies "u
 sub*apt] ,i ( *apt] #eg ( title #e1    
,unit$ ,/ates ,code1 :ile away f home or
 regul> places ( bus9ess 9 p]=mance (   
s]vices = ! ,association4  #cbe4        
,bylaws1 /&>ds1 & discipl9>y actions    
7a7 ,adoption & am5dm5t ( bylaws & /&>ds
  7#a7 ,proc$ures ,! ,association %all  
adopt proc$ures = ! adoption ( bylaws & 
/&>ds t are simil> to proc$ures "u      
sub*apt] ,,ii ( *apt] #e ( title #e1    
,unit$ ,/ates ,code 7commonly kn[n z !  
,adm9i/rative ,proc$ure ,act74  7#b7    
,copy requir$ to be fil$ ,! ,bo>d %all  
submit to ! ,presid5t1 ?r\gh ! ,dep>tm5t
 ( ! ,treasury1 & ! ,/ates 7includ+     

,/ate insurance regulators71 & %all     
publi% on ! website ( ! ,association1   
all propos$ bylaws & /&>ds ( !          
,association1 or any propos$ am5dm5t to 
! bylaws or /&>ds ( ! ,association1     
accompani$ by a concise g5]al /atem5t ( 
! basis & purpose ( su* proposal4  7#c7 
,effective date ,any propos$ bylaw or   
/&>d ( ! ,association1 & any propos$    
am5dm5t to ! bylaws or /&>ds ( !        
,association1 %all take effect1 aft]    
notice "u p>agraph 7#b7 & opportunity = 
public comm5t1 on su* date z !          
,association may designate1 unless      
susp5d$ "u section #cbi7;c74  7#d7 ,rule
 ( con/ruction ,no?+ 9 ?is section %all 
be con/ru$ to subject ! ,bo>d or !      
,association to ! requirem5ts ( sub*apt]
 ,,ii ( *apt] #e ( title #e1 ,unit$     
,/ates ,code 7commonly kn[n z !         
,adm9i/rative ,proc$ure ,act74  7b7     
,discipl9>y action by ! ,association    
7#a7 ,specification ( *>ges ,9 any      
proce$+ to det]m9e :e!r memb]%ip %all be
 d5i$1 susp5d$1 revok$1 or n r5ew$1 or  

to det]m9e :e!r a memb] ( ! ,association
 %\ld be plac$ on probation 7ref]r$ to 9
 ?is section z a discipl9>y action7 or  
:e!r to assess f9es or monet>y p5alties1
 ! ,association %all br+ specific *>ges1
 notify ! memb] ( ! *>ges1 give ! memb] 
an opportunity to def5d aga9/ ! *>ges1 &
 keep a record4  7#b7 ,support+ /atem5t 
,a det]m9ation to take discipl9>y action
 %all be support$ by a /atem5t sett+    
=?--  7,a7 any act or practice 9 :i* !  
memb] has be5 f\nd to h be5 engag$2     
7,b7 ! specific provision ( ?is subtitle
 or /&>d ( ! ,association t any su* act 
or practice is deem$ to violate2 &  7,c7
 ! sanction impos$ & ! reason = !       
sanction4  7#c7 ,ineligibility ( private
 sector repres5tatives ,bo>d memb]s     
appo9t$ pursuant to section #cbd7;c77#c7
 may n--  7,a7 p>ticipate 9 any         
discipl9>y action or be c\nt$ t[>d      
e/abli%+ a quorum dur+ a discipl9>y     
action2 &  7,b7 h access to confid5tial 
in=mation conc]n+ any discipl9>y action4
  #cbf4 ,p[]s ,9 addition to all ! p[]s 

conf]r$ ^u a nonpr(it corporation by !  
,di/rict ( ,columbia ,nonpr(it          
,corporation ,act1 ! ,association %all h
 ! p[] to--  7#a7 e/abli% & collect su* 
memb]%ip fees z ! ,association f9ds     
necess>y to impose to cov] ! co/s ( its 
op]ations2  7#b7 adopt1 am5d1 & repeal  
bylaws1 proc$ures1 or /&>ds gov]n+ !    
conduct ( ,association bus9ess &        
p]=mance ( its duties2  7#c7 e/abli%    
proc$ures = provid+ notice & opportunity
 = comm5t pursuant to section #cbe7;a72 
7#d7 ent] into & p]=m su* agreem5ts z   
necess>y to c>ry out ! duties ( !       
,association2  7#e7 hire employees1     
pr(essionals1 or speciali/s1 & elect or 
appo9t (fic]s1 & to fix _! comp5sation1 
def9e _! duties & give !m appropriate   
au?ority to c>ry out ! purposes ( ?is   
subtitle1 & det]m9e _! qualification2   
7#f7 e/abli% p]sonnel policies ( !      
,association & programs relat+ to1 among
 o!r ?+s1 conflicts ( int]e/1 rates (   
comp5sation1 :]e applicable1 &          
qualifications ( p]sonnel2  7#g7 borr[  

money2 &  7#h7 secure fund+ = su* am\nts
 z ! ,association det]m9es to be        
necess>y & appropriate to organize &    
beg9 op]ations ( ! ,association1 :i*    
%all be treat$ z loans to be repaid by !
 ,association ) int]e/ at m>ket rate4   
#cbg4 ,report by ! ,association  7a7 ,9 
g5]al ,z soon z practicable aft] ! close
 ( ea* fiscal ye>1 ! ,association %all  
submit to ! ,presid5t1 ?r\gh ! ,dep>tm5t
 ( ! ,treasury1 & ! ,/ates 7includ+     
,/ate insurance regulators71 & %all     
publi% on ! website ( ! ,association1 a 
writt5 report reg>d+ ! conduct ( its    
bus9ess1 & ! ex]cise ( ! o!r rights &   
p[]s grant$ by ?is subtitle1 dur+ su*   
fiscal ye>4  7b7 ,f9ancial /atem5ts ,ea*
 report submitt$ "u subsection 7a7 )    
respect to any fiscal ye> %all include  
audit$ f9ancial /atem5ts sett+ =? !     
f9ancial position ( ! ,association at ! 
end ( su* fiscal ye> & ! results ( its  
op]ations 7includ+ ! s\rce & application
 ( its funds7 = su* fiscal ye>4  #cbh4  
,liability ( ! ,association & ! ,bo>d   

memb]s1 (fic]s1 & employees ( !         
,association  7a7 ,9 g5]al ,!           
,association %all n be deem$ to be an   
insur] or insurance produc] )9 ! mean+ (
 any ,/ate law1 rule1 regulation1 or    
ord] regulat+ or tax+ insur]s1 insurance
 produc]s1 or o!r entities engag$ 9 !   
bus9ess ( insurance1 includ+ provisions 
impos+ premium taxes1 regulat+ insur]   
solv5cy or f9ancial condition1 e/abli%+ 
gu>anty funds & levy+ assessm5ts1 or    
requir+ claims settlem5t practices4  7b7
 ,liability ( ,bo>d memb]s1 (fic]s1 &   
employees ,no ,bo>d memb]1 (fic]1 or    
employee ( ! ,association %all be       
p]sonally liable to any p]son = any     
action tak5 or omitt$ 9 good fai? 9 any 
matt] )9 ! scope ( _! responsibilities 9
 connection ) ! ,association4  #cbi4    
,presid5tial ov]sight  7a7 ,removal (   
,bo>d ,if ! ,presid5t det]m9es t !      
,association is act+ 9 a mann] contr>y  
to ! int]e/s ( ! public or ! purposes ( 
?is subtitle or has fail$ to p]=m its   
duties "u ?is subtitle1 ! ,presid5t may 

remove ! entire exi/+ ,bo>d = ! rema9d] 
( ! t]m to :i* ! ,bo>d memb]s 7 appo9t$ 
& appo9t1 9 accordance ) section #cbd & 
) ! advice & cons5t ( ! ,s5ate1 9       
accordance ) ! proc$ures e/abli%$ "u    
,s5ate ,resolution #aaf ( ! #aab?       
,congress1 new ,bo>d memb]s to fill !   
vacancies on ! ,bo>d = ! rema9d] ( !    
t]ms4  7b7 ,removal ( ,bo>d memb] ,!    
,presid5t may remove a ,bo>d memb] only 
= neglect ( duty or malfeasance 9 (fice4
  7c7 ,susp5sion ( bylaws & /&>ds &     
prohibition ( actions ,foll[+ notice to 
! ,bo>d1 ! ,presid5t1 or a p]son        
designat$ by ! ,presid5t = su* purpose1 
may susp5d ! effectiv5ess ( any bylaw or
 /&>d1 or prohibit any action1 ( !      
,association t ! ,presid5t or ! designee
 det]m9es is contr>y to ! purposes ( ?is
 subtitle4  #ccj4 ,relation%ip to ,/ate 
law  7a7 ,preemption ( ,/ate laws ,/ate 
laws1 regulations1 provisions1 or o!r   
actions purport+ to regulate insurance  
produc]s %all be preempt$ to ! ext5t    
provid$ 9 subsection 7b74  7b7          

,prohibit$ actions  7#a7 ,9 g5]al ,no   
,/ate %all--  7,a7 imp$e ! activities (1
 take any action aga9/1 or apply any    
provision ( law or regulation arbitr>ily
 or discrim9atorily to1 any insurance   
produc] because t insurance produc] or  
any affiliate plans to become1 has      
appli$ to become1 or is a memb] ( !     
,association2  7,b7 impose any          
requirem5t ^u a memb] ( ! ,association t
 x pay fees diff]5t f ^? requir$ to be  
paid to t ,/ate 7 x n a memb] ( !       
,association2 or  7,c7 impose any       
cont9u+ education requirem5ts on any    
nonresid5t insurance produc] t is a     
memb] ( ! ,association4  7#b7 ,/ates o!r
 ?an a home ,/ate ,no ,/ate1 o!r ?an !  
home ,/ate ( a memb] ( ! ,association1  
%all--  7,a7 impose any lic5s+1 p]sonal 
or corporate qualifications1 education1 
tra9+1 exp]i5ce1 resid5cy1 cont9u+      
education1 or bond+ requirem5t ^u a     
memb] ( ! ,association t is diff]5t f ! 
crit]ia = memb]%ip 9 ! ,association or  
r5ewal ( su* memb]%ip2  7,b7 impose any 

requirem5t ^u a memb] ( ! ,association t
 x be lic5s$1 regi/]$1 or o!rwise       
qualifi$ to d bus9ess or rema9 9 good   
/&+ 9 ! ,/ate1 includ+ any requirem5t t 
! insurance produc] regi/] z a =eign    
company ) ! secret>y ( /ate or equival5t
 ,/ate (ficial2  7,c7 require t a memb] 
( ! ,association submit to a crim9al    
hi/ory record *eck z a condition ( do+  
bus9ess 9 ! ,/ate2 or  7,d7 impose any  
lic5s+1 regi/ration1 or appo9tm5t       
requirem5ts ^u a memb] ( ! ,association1
 or require a memb] ( ! ,association to 
be au?oriz$ to op]ate z an insurance    
produc]1 9 ord] to sell1 solicit1 or    
negotiate insurance = comm]cial prop]ty 
& casualty risks to an insur$ ) risks   
locat$ 9 m ?an "o ,/ate1 if ! memb] is  
lic5s$ or o!rwise au?oriz$ to op]ate 9 !
 ,/ate :]e ! insur$ ma9ta9s its pr9cipal
 place ( bus9ess & ! contract (         
insurance insures risks locat$ 9 t      
,/ate4  7#c7 ,pres]vation ( ,/ate       
discipl9>y au?ority ,no?+ 9 ?is section 
may be con/ru$ to prohibit a ,/ate f    

inve/igat+ & tak+ appropriate discipl9>y
 action1 includ+ susp5sion or revocation
 ( au?ority ( an insurance produc] to d 
bus9ess 9 a ,/ate1 9 accordance ) ,/ate 
law & t is n inconsi/5t ) ! provisions (
 ?is section1 aga9/ a memb] ( !         
,association z a result ( a compla9t or 
= any alleg$ activity1 reg>dless ( :e!r 
! activity occurr$ be=e or aft] !       
insurance produc] comm5c$ do+ bus9ess 9 
! ,/ate pursuant to ,association        
memb]%ip4  #cca4 ,coord9ation )         
,f9ancial ,indu/ry ,regulatory ,au?ority
 ,! ,association %all coord9ate ) !     
,f9ancial ,indu/ry ,regulatory ,au?ority
 9 ord] to ease any adm9i/rative burd5s 
t fall on memb]s ( ! ,association t are 
subject to regulation by ! ,f9ancial    
,indu/ry ,regulatory ,au?ority1 consi/5t
 ) ! requirem5ts ( ?is subtitle & !     
,f$]al securities laws4  #ccb4 ,"r (    
action  7a7 ,"r ( action ,any p]son     
aggriev$ by a decision or action ( !    
,association may1 aft] reasonably       
exhau/+ available av5ues = resolution )9

 ! ,association1 comm5ce a civil action 
9 an appropriate ,unit$ ,/ates di/rict  
c\rt1 & obta9 all appropriate relief4   
7b7 ,association int]pretations ,9 any  
action "u subsection 7a71 ! c\rt %all   
give appropriate weight to !            
int]pretation ( ! ,association ( its    
bylaws & /&>ds & ?is subtitle4  #ccc4   
,f$]al fund+ prohibit$ ,! ,association  
may n receive1 accept1 or borr[ any     
am\nts f ! ,f$]al ,gov]nm5t to pay =1 or
 reimburse1 ! ,association =1 ! co/s (  
e/abli%+ or op]at+ ! ,association4      
#ccd4 ,def9itions ,= purposes ( ?is     
subtitle1 ! foll[+ def9itions %all      
apply3  7#a7 ,bus9ess entity ,! t]m     
bus9ess entity means a corporation1     
association1 p>tn]%ip1 limit$ liability 
company1 limit$ liability p>tn]%ip1 or  
o!r legal entity4  7#b7 ,depository     
in/itution ,! t]m depository in/itution 
has ! mean+ z 9 section #c ( ! ,f$]al   
,deposit ,insurance ,act 7#ab ,u4,s4,c4 
#ahac74  7#c7 ,home ,/ate ,! t]m home   
,/ate means ! ,/ate 9 :i* ! insurance   

produc] ma9ta9s its pr9cipal place (    
resid5ce or bus9ess & is lic5s$ to act z
 an insurance produc]4  7#d7 ,insurance 
,! t]m insurance means any product1 o!r 
?an title insurance or bail bonds1 def9$
 or regulat$ z insurance by !           
appropriate ,/ate insurance regulatory  
au?ority4  7#e7 ,insurance produc] ,!   
t]m insurance produc] means any         
insurance ag5t or brok]1 excess or      
surplus l9es brok] or ag5t1 insurance   
consultant1 limit$ insurance            
repres5tative1 & any o!r individual or  
entity t sells1 solicits1 or negotiates 
policies ( insurance or (f]s advice1    
c\nsel1 op9ions or s]vices relat$ to    
insurance4  7#f7 ,insur] ,! t]m insur]  
has ! mean+ z 9 section                 
#cac7;e77#b77;,b7 ( title #ca1 ,unit$   
,/ates ,code4  7#g7 ,pr9cipal place (   
bus9ess ,! t]m pr9cipal place ( bus9ess 
means ! ,/ate 9 :i* an insurance produc]
 ma9ta9s ! headqu>t]s ( ! insurance     
produc] &1 9 ! case ( a bus9ess entity1 
:]e high-level (fic]s ( ! entity direct1

 control1 & coord9ate ! bus9ess         
activities ( ! bus9ess entity4  7#h7    
,pr9cipal place ( resid5ce ,! t]m       
pr9cipal place ( resid5ce means ! ,/ate 
9 :i* an insurance produc] resides = !  
greate/ numb] ( days dur+ a cal5d> ye>4 
7#i7 ,/ate ,! t]m ,/ate includes any    
,/ate1 ! ,di/rict ( ,columbia1 any      
t]ritory ( ! ,unit$ ,/ates1 & ,pu]to    
,rico1 ,guam1 ,am]ican ,samoa1 ! ,tru/  
,t]ritory ( ! ,pacific ,isl&s1 ! ,virg9 
,isl&s1 & ! ,nor!rn ,m>iana ,isl&s4     
7#aj7 ,/ate law  7,a7 ,9 g5]al ,! t]m   
,/ate law includes all laws1 decisions1 
rules1 regulations1 or o!r ,/ate action 
hav+ ! effect ( law1 ( any ,/ate4  7,b7 
,laws applicable 9 ! ,di/rict (         
,columbia ,a law ( ! ,unit$ ,/ates      
applicable only to or )9 ! ,di/rict (   
,columbia %all be treat$ z a ,/ate law r
 ?an a law ( ! ,unit$ ,/ates4  4  7b7   
,te*nical am5dm5t ,! table ( cont5ts = !
 ,gramm-,lea*-,bliley ,act is am5d$ by  
/rik+ ! items relat+ to subtitle ,c (   
title ,,iii & ins]t+ ! foll[+ new items3

  ,subtitle ,c--,national ,association (
 ,regi/]$ ,ag5ts & ,brok]s ,sec4 #cba4  
,national ,association ( ,regi/]$ ,ag5ts
 & ,brok]s4 ,sec4 #cbb4 ,purpose4 ,sec4 
#cbc4 ,memb]%ip4 ,sec4 #cbd4 ,bo>d (    
directors4 ,sec4 #cbe4 ,bylaws1 /&>ds1 &
 discipl9>y actions4 ,sec4 #cbf4 ,p[]s4 
,sec4 #cbg4 ,report by ! ,association4  
,sec4 #cbh4 ,liability ( ! ,association 
& ! ,bo>d memb]s1 (fic]s1 & employees ( 
! ,association4 ,sec4 #cbi4 ,presid5tial
 ov]sight4 ,sec4 #ccj4 ,relation%ip to  
,/ate law4 ,sec4 #cca4 ,coord9ation )   
regulators4 ,sec4 #ccb4 ,"r ( action4   
,sec4 #ccc4 ,f$]al fund+ prohibit$4     
,sec4 #ccd4 ,def9itions4  4  ,pass$ !   
,h\se ( ,repres5tatives ,septemb] #aj1  
#bjac4 ,k>5 ,l4 ,haas1 ,cl]k  ,septemb] 
#aa1 #bjac ,receiv$2 read twice & plac$ 
on ! cal5d>