                                 CODE OF VIRGINIA

LICENSE REQUIRED OF RESIDENT PUBLIC ADJUSTERS (§ 38.2-1845.2)

A. No person shall engage in the business of public adjusting without first
applying for and obtaining a license from the Commission, except as provided in
&#xA7; 38.2-1845.3.

B. Each individual applicant for a public adjuster license who is at least 18
years of age, who has satisfied the Commission that he (i) is of good character;
(ii) has a reputation for honesty; (iii) has not committed any act that is a
ground for the Commission to refuse to issue, deny, suspend, or revoke a public
adjuster license as set forth in &#xA7; 38.2-1845.10; and (iv) has complied
successfully with the other requirements of this article is entitled to and
shall receive a license under this chapter in the form and manner prescribed by
the Commission. The Commission may require, for resident licensing, proof of
residency as described in subsection B of &#xA7; 38.2-1800.1.

C. Each individual applicant for a public adjuster license shall apply to the
Commission in the form and manner prescribed by the Commission and shall provide
satisfactory evidence of having met the following requirements:

   1. Each applicant shall pass, within 183 calendar days prior to the date of
   application for such license, the public adjuster examination as required by
   the Commission pursuant to and in accordance with the requirements set forth
   in &#xA7; 38.2-1845.4.

   2. Each applicant for a public adjuster license shall submit a nonrefundable
   application processing fee in an amount and in a manner prescribed by the
   Commission at the time of initial application for such license. The fee shall
   be collected by the Commission and paid directly into the state treasury and
   credited to the fund for the maintenance of the Bureau of Insurance as
   provided in subsection B of &#xA7; 38.2-400.

   3. Prior to issuance of a license, each applicant shall attest that the
   applicant has, and thereafter shall keep in force for as long as the license
   remains in effect, a bond in favor of the Commonwealth in the amount of
   $50,000 with corporate sureties licensed by the Commission, on a form
   prescribed by the Commission. The bond shall be conditioned that the public
   adjuster will conduct business under the license in accordance with the laws
   of the Commonwealth. The bond shall not be terminated unless at least 60
   calendar days&#8217; prior written notice of the termination is filed with the
   Commission. If, prior to the expiration date of the bond, the licensed public
   adjuster fails to file with the Commission a certification or attestation that
   a new bond satisfying the requirements of this section has been put into
   effect, the public adjuster license shall terminate, and the licensee shall be
   required to satisfy any and all prelicensing requirements in order to apply
   for a new public adjuster license. The Commission may ask for a copy of the
   bond or other evidence of financial responsibility at any time.

   4. Each individual applicant for a public adjuster license shall, at the time
   of applying for a new license, be fingerprinted in a form and manner
   prescribed by the Commission and shall provide personal descriptive
   information to be forwarded along with the applicant&#8217;s fingerprints
   through the Central Criminal Records Exchange to the Federal Bureau of
   Investigation for the purpose of obtaining criminal history record information
   regarding such applicant. The results of the state and national records search
   shall be forwarded to the Commissioner or the Commissioner&#8217;s designee,
   who shall be an employee of the Commission. The cost of fingerprinting and the
   criminal history record check shall be paid by the applicant. If an
   applicant&#8217;s application for a license is denied, the Commission shall
   provide a copy of the information obtained from the Central Criminal Records
   Exchange to the applicant upon request. The information provided to the
   Commission shall not be disseminated except as provided in this subsection.

D. Except where prohibited by state or federal law, by submitting an application
for license, the applicant shall be deemed to have appointed the Clerk of the
Commission as the agent for service of process on the applicant in any action or
proceeding arising in the Commonwealth out of or in connection with the exercise
of the license. Such appointment of the Clerk of the Commission as agent for
service of process shall be irrevocable during the period within which a cause
of action against the applicant may arise out of transactions with respect to
subjects of insurance in the Commonwealth. Service of process on the Clerk of
the Commission shall conform to the provisions of Chapter 8 (&#xA7; 38.2-800 et
seq.).

E. Any individual who acts as a public adjuster and who is also an officer,
director, principal, or employee of a business entity acting as a public
adjuster in the Commonwealth shall be required to hold an appropriate individual
license as a public adjuster in the Commonwealth.

F. A business entity acting as a public adjuster is required to obtain a public
adjuster license. Application shall be made in a form and manner acceptable to
the Commission. Before approving the application, the Commission shall find
that:

   1. The business entity has paid the fee prescribed by the Commission;

   2. The business entity has demonstrated proof of residency pursuant to
   subsection B of &#xA7; 38.2-1800.1; and

   3. The business entity has designated an individual employee, officer,
   director, manager, member, or partner licensed in Virginia as a public
   adjuster to be responsible for the business entity&#8217;s compliance with the
   laws, rules, and regulations of the Commonwealth applicable to public
   adjusters.

G. Prior to issuance of a license, each entity shall attest that the entity has,
and thereafter shall keep in force for as long as the license remains in effect,
a bond in favor of the Commonwealth in the amount of $50,000 with corporate
sureties licensed by the Commission, on a form prescribed by the Commission. The
bond shall be conditioned that the public adjuster will conduct business under
the license in accordance with the laws of the Commonwealth. The bond shall not
be terminated unless at least 60 calendar days&#8217; prior written notice of
the termination is filed with the Commission. If, prior to the expiration date
of the bond, the licensed public adjuster fails to file with the Commission a
certification or attestation that a new bond satisfying the requirements of this
section has been put into effect, the public adjuster license shall terminate,
and the entity shall be required to satisfy any and all prelicensing
requirements in order to apply for a new public adjuster license. The Commission
may ask for a copy of the bond or other evidence of financial responsibility at
any time.

H. The Commission may require any documents reasonably necessary to verify the
information contained in an application.

HISTORY: 2012, cc. 734, 735; 2016, c. 552; 2018, c. 131; 2019, c. 675; 2020, c.
225.