A. Use knowledge gained as a result of the producer's insurance relationship with the insurance consumer for the producer's own personal gain, other than the receipt of fees or commissions allowed under section 1450, or use knowledge gained as a result of the relationship for the purpose of investing the insurance consumer's money in property or assets in which the insurance producer or the producer's relatives have or will have a personal ownership interest unless that activity is otherwise authorized under insurance, banking or securities laws or rules; or

B. Receive a fee for rendering advice on financial or estate planning or for selling trust packages, if the producer also recommends the purchase of an insurance policy upon which the producer will receive commissions, unless the producer is licensed as a consultant acting in compliance with consultant licensing laws or provides the required documentation in accordance with section 1466, subsection 2.

Sec. 5. 24-A MRSA §1466, sub-§2, as enacted by PL 1997, c. 457, §23 and affected by §55, is amended to read:

2. Life and health consultant. A life and health consultant may charge a consulting fee and receive commissions for the sale of insurance as an insurance producer if both the consulting fee and the insurance commissions are provided for in a written agreement, in a form approved by the superintendent, signed by the client and the consultant. A life consultant shall offset fees against first-year commissions received as an insurance producer on the sale of insurance.

SUMMARY

Financial planners and investment advisors are regulated under the Maine Revised Statutes, Title 32. This bill eliminates duplicative regulation of financial planners and investment advisors under Title 24-A and brings Maine's definition of "insurance consultant" into conformity with the majority of other states.