44-4902. Terms, defined.

311 words·~1 min read·/ne/chapter-44/44-4902

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

For purposes of the Managing General Agents Act:

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

(2)Business entity means a corporation, association, partnership, limited liability company, limited liability partnership, or other legal entity;

(3)Director means the Director of Insurance;

(4)Insurer means any person duly licensed in this state as an insurance company pursuant to Chapter 44;

(5)Managing general agent 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 in any one quarter or year an amount of gross direct written premium equal to or more than five percent of the policyholders surplus as reported in the last annual statement of the insurer in any one quarter or year and who

(a)adjusts or pays claims in excess of ten thousand dollars or

(b)negotiates reinsurance on behalf of the insurer. Managing general agent does not include an attorney in fact for a reciprocal or interinsurance exchange under a power of attorney, an employee of the insurer, a United States manager of the United States branch of an alien insurer, or an underwriting manager who, pursuant to contract, manages all or part of the insurance operations of the insurer, is under common control with the insurer, and is subject to the Insurance Holding Company System Act and whose compensation is not based on the volume of premiums written;

(6)Person means an individual or a business entity; and

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