§431:8-310 - Surplus lines broker license required; qualifications for license.
§431:8-310 Surplus lines broker license required; qualifications for license. (a) No person shall procure any contract of surplus lines insurance with an unauthorized insurer unless the person is licensed as a surplus lines broker.
(b) The commissioner shall issue a surplus lines broker license to any producer licensed under article 9A, except producers licensed under section 431:9A-107(a)(1), (2), or (5), when the producer has:
(1) Remitted the annual license fee to the commissioner as provided in article 7; and
(2) Submitted a completed license application on a form furnished by the commissioner.
(c) A surplus lines broker license shall be inactivated if the licensee fails to pay any required fee or penalty. A surplus lines broker who allows the surplus lines broker's license to become inactive for nonpayment of the renewal fee may reinstate that license without the necessity of a written examination; provided that the surplus lines broker:
(1) Pays the fee and a penalty in the amount of fifty per cent of the then unpaid fees within twenty-four months from the inactivation date; and
(2) Is in compliance with all requirements of chapter 431.
The license shall automatically expire if the surplus lines broker does not reinstate the surplus lines broker's license within the twenty-four-month period.
(d) Business entities shall be eligible to be surplus lines brokers, upon meeting the following conditions:
(1) The business entity licensee shall list individuals within the business entity who have satisfied all requirements of this part to become surplus lines brokers;
(2) Only those individuals listed on the business entity's license shall transact surplus lines business; and
(3) An individual licensed as a surplus lines broker shall be identified as the business entity's designated representative.
(e) Licensing procedure, duration, and related matters are governed by articles 7 and 9A. [L 1987, c 347, pt of §2; am L 1993, c 205, §13; am L 2002, c 155, §17; am L 2004, c 122, §26; am L 2006, c 154, §9; am L 2009, c 77, §7]