§ 23-66-402 - Definitions.

23-66-402. Definitions.

As used in this subchapter:

(1) A "blind" is the collection of a premium from a policyowner or premium payor who is intentionally not made aware of the correct paid-to status of the policy for which the premium is to be applied because a premium intentionally was not properly recorded pursuant to 23-66-405(1);

(2) "Commissioner" means the Insurance Commissioner of this state;

(3) "Customarily collected" means that in his or her ordinary course of business, the agent collects premiums for the policy on site at a payor's home or business;

(4) (A) "Customarily marketed, issued, or delivered" means that in his or her ordinary course of business, the agent markets, issues, or delivers the policy on site at a payor's home or business.

(B) "Customarily marketed, issued, or delivered" does not include any solicitation or sale made at the home or workplace of a person, if it will not thereafter be the ordinary course of business of the agent to either collect premiums from the person on site at his or her home or workplace, or regularly service the premium payor or policyowner on site at his or her home or workplace; and

(5) "Home service system of distribution" is a manner of selling insurance policies which are customarily marketed, issued, or delivered by an agent in person at a payor's home or business, or is a manner of collecting premiums in which premiums are customarily collected in person at a payor's home or business by an agent. This shall not include the sale of commercial policies, crop or hail policies, or term policies covering crops whether harvested or unharvested, or policies covering grain, hay, chemicals, or fertilizer.