Insurance Agency Compliance Requires Full-Time Focus
Dropping the ball on regulatory issues can halt insurance agency growth, disrupt service, and result in costly penalties. Agencies need an experienced partner to ensure compliance full time.
Compliance
7 Tips for Dealing With a Lapsed License
The term “lapsed” refers to an insurance license that the holder does not renew at the time of its expiration date, but which state regulators have yet to administratively terminate.
In Good Standing: Certificate of Authority Statuses
Insurance businesses operating in a state other than their domicile jurisdiction need to register with the Secretary of State as a foreign corporation for a Certificate of Authority. Failing to complete these tasks in a timely manner can impact your ability to do business in that state.
DEC Pages & Surplus Lines Filings
As you prepare to file a surplus lines policy with state regulators—and, depending on the state, make your premium tax payment—it’s likely you’ll use the declaration (or DEC) page as a convenient source for policy information. Let’s take a closer look at the definition & information required to file surplus lines policies in four key states
Who’s Who in Surplus Lines?
A single surplus lines policy may pass through a lot of hands during its existence. Each individual or entity involved in the process has a specific role to play, making up the surplus lines ecosystem, contributing to the integrity and growth of the insurance industry as a whole.
Adjuster Licensing, Reciprocity, and the Designated Home State
For producers holding the major lines of authority, choosing a home (or resident) state is straightforward. When it comes to adjuster licensing, though, it’s not quite as straightforward.
Certificates of Authority & the Secretary of State
If you fail to establish approval for your entity to transact business in a specific state, your business legally doesn’t exist. If you’re not registered at the time of an event that led to a legal suit, you may just be out of luck.
Major Lines of Authority
A key decision to make before applying for a new license is what lines of authority (LOA) the license holder needs. The LOA always need to reflect the full range of insurance products that the licensee intends to sell in a particular jurisdiction.
Surplus Lines & the Home State Rule
One of the things that makes the non-admitted market different from the standard market is the need to pay premium taxes and other fees on a policy-by-policy basis. When the risks covered by a policy are located in more than one state, the Home State Rule comes into play.