44-7518. Advisory organizations and statistical agents; certificate of authority required; application; director; powers.

446 words·~2 min read·/ne/chapter-44/44-7518

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

(1)No advisory organization or statistical agent shall provide any service relating to insurance subject to the Property and Casualty Insurance Rate and Form Act, and no insurer shall use the services of such advisory organization or statistical agent for such purposes, unless the advisory organization or statistical agent has been issued a certificate of authority by the director. Such certificate of authority shall expire on April 30 each year and shall be renewed annually if the advisory organization or statistical agent has continued to comply with the laws of this state and the rules and regulations of the director.

(2)No advisory organization or statistical agent shall refuse to supply any services for which it is licensed in this state to any insurer authorized to do business in this state and offering to pay the fair and usual compensation for the services.

(3)An advisory organization or statistical agent applying to the director for a certificate of authority shall include with its application:

(a)A copy of its constitution, charter, articles of incorporation, organization, agreement, or association, bylaws, plan of operation, and other rules or regulations governing the conduct of its business;

(b)The names of insurers that own or have control over the applicant, and a description of their ownership or control;

(c)The name and address of a resident of this state upon whom notices, process, or orders of the director may be served;

(d)Information showing its qualifications for acting in the capacity for which it seeks a certificate of authority;

(e)Biographical information on its officers; and

(f)Any other relevant information and documents that the director may require.

(4)Every applicant for a certificate of authority shall notify the director of all material changes in the information or documents on which its application was based. Any amendment to a document filed under this section shall be filed at least thirty days before it becomes effective.

(5)The director shall issue a certificate of authority stating the authorized activity of the applicant for those applicants that meet all requirements of the law and are competent, trustworthy, and qualified to provide the services proposed. The authorized activity of an advisory organization or statistical agent may be limited to specified lines or types of insurance.

(6)The director may at any time, after a hearing in accordance with section 44-7532 , suspend or revoke the certificate of authority of an advisory organization or statistical agent that does not comply with the requirements of the act.

(7)An applicant requesting a certificate of authority to operate both as an advisory organization and as a statistical agent may be so authorized under a single certificate.