(1) As used in this section, “personal or controlled insurance” means insurance covering an insurance producer or:
(a) The spouse of the insurance producer, the employer of the insurance producer or the employer’s spouse, or any group of employees under a group policy issued to the employer of the insurance producer;
(b) Any person related to the insurance producer, to the spouse of the insurance producer, to the employer of the insurance producer or to the employer’s spouse within the second degree by blood or marriage;
(c) If the employer of the insurance producer is a corporation, any person directly or indirectly owning or controlling a majority of the voting stock or controlling interest in such corporation;
(d) If the employer of the insurance producer is a partnership or association, any person owning any interest in such partnership or association;
(e) If the insurance producer is a corporation, any person directly or indirectly owning or controlling a majority of the voting stock or controlling interest in the insurance producer, and any corporation which is likewise directly or indirectly controlled by the person who so directly or indirectly controls the insurance producer; or
(f) If the insurance producer is a corporation, any corporation making consolidated returns for United States income tax purposes with any corporation described in paragraph (e) of this subsection.
(2) If premiums on personal or controlled insurance transacted by an insurance producer payable in one calendar year exceed the premiums or with respect to life and health insurance twice the premiums, on other insurance transacted by the insurance producer payable in the same year, the receipt of commissions upon the excess is an unlawful rebate.
(3) This section shall not apply to an individual licensee who:
(a) Is licensed during all of such calendar year individually as an insurance producer;
(b) During such calendar year conducts an individual insurance producer business, not being designated to exercise the powers conferred by an insurance producer’s license issued to any firm or corporation nor owning any interest in any firm or corporation transacting an insurance producer business;
(c) Has been continuously licensed in some manner as an insurance producer, and has been active as such, for at least 25 years; and
(d) Is at least 65 years of age at the beginning of such calendar year.
(4) This section does not apply to the writing, issuing or soliciting by a seller of personal property of insurance covering the personal property sold by the seller on an installment contract whereunder the title to the property is reserved by the seller.
(5) This section shall not apply to an insurance producer, whether an individual, firm or corporation, if:
(a) The insurance producer is controlled or owned by a nonprofit professional association and offers professional liability and related business and personal umbrella or excess liability insurance exclusively to members of the association; and
(b) The primary function of the association is other than marketing insurance. [1967 c.359 §573; 1987 c.774 §147; 1989 c.701 §73; 2003 c.364 §136]Section: Previous 746.030 746.035 746.040 746.045 746.050 746.055 746.060 746.065 746.070 746.075 746.080 746.085 746.090 746.100 746.110 Next
Last modified: August 7, 2008