Joney Faragher, MHK for Douglas East, wants new laws to come into place to remove the bishop before a successor is appointed.
It comes as Bishop Peter Eagles is set to retire after more than six years in the role.
He will leave his job in the late autumn and will move with his wife Gail to England to be closer to family at the end of October.
The bishop, as the representative of the Established Church, is automatically given a seat in Legislative Council and therefore Tynwald. As such, he is a lawmaker.
Ms Faragher told Manx Radio: ‘It’s really just about inclusivity and democracy. It’s an appointed role, it doesn’t have any say from the public.
‘This bishop is an excellent representative in our parliament, but he isn’t actually a representative.
‘You never really know who the Church of England will appoint to our parliament and our parliament should be a representative parliament made up of people who have been chosen by the general public.
‘I feel that it would be a good time whilst this present bishop is about to retire and the new one is appointed.’
When asked if the bishop could be seen as an inclusive role to the public, she said: ‘I’m not sure how we would argue that the bishop is an inclusive role.
‘It would make it more representative of the people of the island and it would increase democracy within our parliament.
‘That, to me, is quite a fundamental principle of our parliamentary makeup.
‘I think it’s important to get that element of democracy in there.
‘It doesn’t look great we have somebody appointed with no reference to the general public in our parliament.’
In 2017, Tynwald made the decision that the bishop should retain a permanent seat in the Legislative Council.
It ensured the bishop would have voting powers on policy matters.
He said: ‘Hopefully Joney will have better luck than I did! Tynwald should be made up of elected representatives – not appointees.’