31A-15-212 - Duty of producers to obtain license -- Risk retention groups -- Purchasing groups.
31A-15-212. Duty of producers to obtain license -- Risk retention groups --Purchasing groups.
(1) A person may do the following only if he is licensed as an insurance agent or brokeror is exempt from licensure under Title 31A, Chapter 23a, Insurance Marketing - LicensingProducers, Consultants, and Reinsurance Intermediaries:
(a) solicit, negotiate, or procure liability insurance in this state from a risk retentiongroup;
(b) solicit, negotiate, or procure liability insurance in this state for a purchasing groupfrom an authorized insurer or a risk retention group; and
(c) solicit, negotiate, or procure liability insurance coverage in this state for any memberof a purchasing group under a purchasing group's policy.
(2) A person may solicit, negotiate, or procure liability insurance from an insurer notauthorized to do business in this state on behalf of a purchasing group located in this state only ifhe is licensed as a surplus lines producer or is exempt from licensure under Title 31A, Chapter23a, Insurance Marketing - Licensing Producers, Consultants, and Reinsurance Intermediaries.
(3) The requirement of residence in this state does not apply for purposes of acting as aproducer for a risk retention group or purchasing group under Subsections (1) and (2).
(4) On business placed with a risk retention group or written through a purchasing group,each person licensed under this title shall provide to each prospective insured the notice requiredby Subsection 31A-15-204(7) in the case of a risk retention group, and by Subsection31A-15-209(1) in the case of a purchasing group.
(5) Solicitation for membership in a purchasing group is not of itself a solicitation forinsurance.
Amended by Chapter 298, 2003 General Session