W. Va. Code R. § 114-103-3

Current through Register Vol. XLI, No. 50, December 13, 2024

Section 114-103-3 - License Required and Qualifications for Licensure

3.1. On or after July 1, 2022, a person may not engage in the bonding business or act in the capacity of a bail bondsman, or perform any of the functions, duties or powers prescribed for bail bondsmen, unless that person is qualified and licensed by the Commissioner as provided in this rule.

3.1.1. None of the provisions or terms of this rule shall prohibit any individual or individuals from pledging real or other property as security for a bail bond for himself, herself, or another in judicial proceedings who does not charge or receive, or is not promised, a fee or other thing of value in exchange for his or her services, provided such person shall not be permitted to make in excess of ten bonds per year.

3.2. A person seeking a license under this rule shall apply on a form, as located at www.wvinsurance.gov, and in a manner prescribed by the Commissioner and shall comply with the provisions of W. Va. Code § 33-12-37 regarding criminal history record checks.

3.2.1. The application shall provide the following information:

3.2.1.a. The person's home and business address, home and business phone number, email address, and current occupation;

3.2.1.b. That the applicant is at least 21 years of age;

3.2.1.c. That the applicant is a citizen of the United States;

3.2.1.d. If the applicant has been authorized to post criminal bonds in this State previously, or any other state or jurisdiction, a statement as to whether the applicant has ever had a bond forfeited and the name, address and phone number of a person to contact concerning the same;

3.2.1.e. Whether the applicant is in default in payment of any forfeited bail bond or recognizance in any court in any jurisdiction, the amount of bail bond or recognizance on any default, the date of forfeiture, the name of the court, and style of the case in which the forfeiture was declared;

3.2.1.f. That the applicant has knowledge, training or experience of sufficient duration and extent to prove the competence necessary to fulfill the responsibility of a bondsman;

3.2.1.g. That the applicant holds a valid and current driver's license or identification card;

3.2.1.h. That the applicant has not been previously convicted of, or pled guilty or no contest to, any felony crime;

3.2.1.i. The charge, date, court and disposition of any offense, felony or misdemeanor, other than a minor traffic offense, for which the applicant has ever been convicted;

3.2.1.j. An affidavit from the applicant that he or she has read and understands, and will in all respects abide by, the provisions of this rule and W. Va. Code § 51-10-1et seq.; and

3.2.1.k. A list showing the name, age and residence of each person employed by the bondsman as an agent, clerk, or representative in the bonding business. This list must be updated with the Commissioner within 10 working days every time a person employed by the bondsman as a bondsman, agent, clerk or representative begins or leaves employment.

3.2.2. If the applicant is applying for licensure as a surety bondsman, in addition to the information required pursuant to subdivision 3.2.1 of this rule, the applicant shall also provide:

3.2.2.a. The applicant's National Producer Number;

3.2.2.b. Notice of appointment from each insurer that the applicant is authorized by power of attorney to execute or countersign bail bonds for; and

3.2.2.c. A qualifying power of attorney from an insurer that is in good standing with the Commissioner to conduct business in this State and is authorized to post criminal appearance bonds.

3.2.3. If the applicant is applying for licensure as a professional bondsman, in addition to the information required pursuant to subdivision 3.2.1 of this rule, the applicant shall also provide:

3.2.3.a. A deposit of cash or approved securities with the Commissioner of an amount to be determined by the Commissioner in accordance with subsections 8.1 and 8.2 of this rule, but shall in no circumstance be less than $10,000;

3.2.3.b. An applicant for a professional bondsman license may make the required deposit by cash, irrevocable letter of credit, or by purchasing a bond through an insurance company licensed and in good standing in this State. All bonds and irrevocable letters of credit must be on a form approved by the Commissioner and must permit the Commissioner to draw down the entire amount, if necessary, to secure the bondsman's obligations.

3.2.3.c. In lieu of cash, bond or irrevocable letter of credit, if an applicant for a professional bondsman license uses real estate as security for the bonding authority, the applicant shall have an attorney admitted to practice in this State prepare a Title Certificate for Bond on an approved form, as located at www.wvinsurance.gov, that he or she has examined the title to the real estate and that record title to said real estate is in the name of the applicant subject to the limitations stated within such certificate.

3.2.3.c.1. The applicant shall submit the following signed declaration with the Title Certificate for Bond: "In the event this application is granted, the applicant will not sell, convey, mortgage or otherwise encumber any of the real estate or other property listed on the Title Certificate for Bond, except the posting of criminal appearance bonds, without first obtaining written approval of the Insurance Commissioner."

3.2.3.c.2. If licensure is approved, the bondsman shall deliver to, and have recorded in, the Office of the Clerk of the County Commission in the county wherein the real estate is located a Notice of Bond Encumbrance on an approved form, as located at www.wvinsurance.gov. The recording fee shall be payable by the licensee.

3.2.3.c.3. A pledge of real estate by a professional bondsman as an approved security shall not be permitted after July 1, 2024. However, a professional bondsman who is licensed by the Commissioner as of July 1, 2024, and has pledged real estate as security to conduct bonding business may continue to use real estate as collateral to operate as a bondsman until his or her license is voluntarily surrendered or revoked by the Commissioner.

3.3. The Commissioner may require any documents reasonably necessary to verify the information in the application and may propound any reasonable interrogatories to an applicant for a license, or on any renewal thereof, relating to qualifications, residence, prospective place of business, and any other matters which, in the opinion of the Commissioner, are deemed necessary or expedient in order to protect the public and ascertain the qualifications of the applicant. The Commissioner may also conduct any reasonable inquiry or investigation relative to the determination of the fitness of the applicant to be licensed or to continue to be licensed including, but not limited to, requiring a criminal history record check as set forth in W. Va. Code § 33-12-37. The Commissioner shall keep all documents, material or other information obtained pursuant to section 3 of this rule confidential and said information is not open to public inspection and exempt from disclosure pursuant to subpoena or Chapter 29B of the West Virginia Code. The Commissioner is authorized to use the documents, materials, or other information in furtherance of any regulatory or legal action brought as part of the Commissioner's official duties.

3.4. The application fee for a bail bondsman license is $200, every two years, which shall be paid at the time of application and renewal. The application fee is nonrefundable. Failure to pay the fee at the time of application shall result in a denial of the license. The application fee for a bail bondsman license is in addition to any applicable licensure fee paid by an insurance producer, adjuster, insurer, or other business entity.

3.5. A person whose application is denied may reapply, but the Commissioner shall not consider more than one application submitted by the same person within a six-month period.

3.6. The Commissioner shall establish a process for issuing an official picture identification card to a licensed bail bondsman, which, when issued, must be carried by the bail bondsman at all times when working in the scope of the licensee's employment or occupation as a bail bondsman. A bail bondsman whose license has been revoked, or is otherwise expired or terminated, shall return the picture identification card to the Commissioner within 10 working days. The Commissioner may coordinate with the Division of Motor Vehicles to issue the identification cards described herein if necessary.

3.7. A license issued to a bail bondsman authorizes the licensee to act in that capacity until the license is expired, suspended, or revoked.

3.8. A bail bondsman who employs an agent, clerk or representative may cancel the agent's, clerk's or representative's authority to act for the bail bondsman. When a bail bondsman cancels an agent's, clerk's or representative's authority, the bail bondsman must notify the Commissioner, in writing, within 10 working days.

3.9. If an individual holds a professional bondsman's license and a surety bondsman's license simultaneously, they are considered one license for the purpose of disciplinary actions involving suspension or revocation. However, separate application and renewal fees must be paid for each license.

3.10. Beginning July 1, 2024, the competency of a person applying to the Commissioner for a bail bondsman license shall be determined by examination. A person who is licensed as a bondsman by the Commissioner on or before June 30, 2024, is exempt from the examination requirement. The examination shall test the knowledge of the person concerning the duties and responsibilities of a person engaged in the bonding business and the applicable laws and rules of this state. The examination shall be a multiple-choice test with at least 25 questions, but no more than 50 questions. A person must answer at least 80% of the questions correctly to successfully pass the examination. Each examinee shall pay a $25 fee for each examination to the Commissioner who shall deposit said examination fee into the state treasury for the benefit of the state fund, general revenue.

3.10.1. Any applicant who held a West Virginia bail bondsman license prior to July 1, 2024, but who allowed his or her license to expire while in good standing with the Commissioner, is exempted from examination upon reapplication so long as the application is made within one year of the expiration date of the applicant's license, and further provided that the applicant was not under investigation by the Commissioner for wrongdoing at the time his or her license expired.

3.10.2. Any bail bondsman whose license was suspended or revoked for violation of this rule shall be required to pass a competency test upon any application for re-licensure.

3.10.3. The Commissioner may, at his or her discretion, designate an independent testing service to prepare and administer the examination subject to the direction of, and approval by, the Commissioner. Any examination fees charged by the service shall be paid by the applicant. In addition to examination fees charged by the independent testing service, the independent testing service shall collect and remit to the Commissioner the $25 examination fee as required by subsection 3.10 of this rule.

3.11. A bail bondsman must notify the Commissioner of a change of legal name, residence address, business address, mailing address, e-mail address, or telephone number within 30 days after a change is made.

3.12. Any person who has been convicted of a felony is not qualified to be licensed as a bail bondsman and the Commissioner shall not license any such person. The Commissioner shall revoke or not renew the license of a bail bondsman who is convicted of a felony, after licensure, and shall not renew the license of a bail bondsman who was previously convicted of a felony, and who was issued a license prior to the enactment of this subsection.

W. Va. Code R. § 114-103-3