Nevada Administrative Code
Chapter 683A - Persons Involved in Sale or Administration of Insurance
MANAGING GENERAL AGENTS
Section 683A.530 - Prohibited acts of agent

Universal Citation: NV Admin Code 683A.530

Current through September 16, 2024

A managing general agent shall not:

1. Commit the insurer to participate in an insurance or reinsurance syndicate.

2. Appoint a producer of insurance who is not licensed by this State as a producer for the type of insurance for which he or she is appointed.

3. Without the prior approval of the insurer:

(a) Pay or commit the insurer to pay a claim over an amount specified by the insurer, net of reinsurance, which exceeds 1 percent of the policyholder's surplus of the insurer on December 31 of the prior calendar year.

(b) Collect a payment from a reinsurer or commit the insurer to a claim settlement with a reinsurer without the prior approval of the insurer. If the approval is given by the insurer, the managing general agent shall promptly submit a report of the transaction to the insurer.

4. Allow a person who is an agent of the managing general agent to serve on the board of directors of the managing general agent.

5. Employ a person who is an employee of the insurer.

6. Delegate any duty imposed on him or her by the provisions of NAC 683A.470 to 683A.530, inclusive.

7. Bind reinsurance or retrocessions on behalf of the insurer. The managing general agent may bind facultative reinsurance contracts under obligatory facultative agreements if his or her contract with the insurer contains reinsurance underwriting guidelines including, for both reinsurance assumed and ceded:

(a) A list of reinsurers with which such automatic agreements are in effect;

(b) The coverages and amounts or percentages that may be reinsured; and

(c) Schedules for commissions.

Added to NAC by Comm'r of Insurance, eff. 9-19-90; A by R172-01, 7-5-2002

NRS 679B.130

Disclaimer: These regulations may not be the most recent version. Nevada may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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