RS 22:1622

438 words·~2 min read·/la/title-22/22-1544

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RS 22:1622

§1622. Definitions

As used in this Part, unless the context requires otherwise, the following definitions shall be applicable:

(1)"Actuary" means a person who is a member in good standing of the American Academy of Actuaries.

(2)"Commissioner" means the commissioner of insurance as defined in R.S. 22:46.

(3)"Insurer" means any person duly licensed in this state as an insurer pursuant to this Chapter.

(4)(a) "Managing General Agent"

(MGA)means any person who manages all or part of the insurance business of an insurer, including the management of a separate division, department, or underwriting office, and acts as an agent for such insurer whether known as a managing general agent, manager, or other similar term, who, with or without the authority, either separately or together with affiliates, produces, directly or indirectly, and underwrites an amount of gross direct written premium equal to or more than five percent of the policyholder surplus as reported in the last annual statement of the insurer in any one quarter or year together with one or more of the following:

(i)Adjusts or pays claims in excess of an amount determined by the commissioner.

(ii)Negotiates reinsurance on behalf of the insurer.

(b)Notwithstanding the preceding provisions of this Subsection, the following persons shall not be considered as MGAs for the purposes of this Part:

(i)An employee of the insurer.

(ii)A United States manager of the United States branch of an alien insurer.

(iii)An underwriting manager, which, pursuant to contract, manages all of the insurance operations of the insurer, is under common control with the insurer, subject to the Insurance Holding Company System Regulatory Law, R.S. 22:691.1 et seq., and whose compensation is not based on the volume of premiums written.

(iv)The attorney authorized by and acting for the subscribers of a reciprocal insurer or inter-insurance exchange under powers of attorney.

(5)"Person" shall have the same meaning as set forth in R.S. 22:1542.

(6)"Producer" or "insurance producer" means a person currently licensed as a property and casualty producer in accordance with the provisions of this Title, who is properly appointed to represent the insurer for the lines of insurance for which he is performing the duties of a managing general agent as defined in this Part.

(7)"Underwrite" means the authority to accept or reject risk on behalf of the insurer.

Acts 1990, No. 265, §1, eff. midnight Dec. 31, 1991; Acts 1993, No. 189, §1; Redesignated from R.S. 22:1202 by Acts 2008, No. 415, §1, eff. Jan. 1, 2009; Acts 2011, No. 94, §1, eff. Jan. 1, 2012; Acts 2022, No. 161, §1.