As used in this article, unless the context otherwise
requires:
(1) Catastrophic disaster means an event, as declared by the president of
the United States or the governor, or both, which results in large numbers of deaths
or injuries; causes extensive damage or destruction of property or facilities that
provide and sustain human needs; produces an overwhelming demand on state and
local response resources and mechanisms; causes a severe long-term effect on
general economic activity; or severely affects state, local, and private sector
capabilities to begin and sustain response activities.
(1.5) Commissioner means the commissioner of insurance.
(2) Health coverage means accident and health or sickness and accident
policies or contracts including other health coverages provided by insurers, health
maintenance organizations, or nonprofit hospital and surgical plans.
(2.5) Home state means the District of Columbia and any state or territory
of the United States in which an insurance producer meets the following:
(a) Maintains the producer's principal place of residence or principal place of
business; and
(b) Is licensed to act as an insurance producer.
(3) Individual means any private or natural person as distinguished from a
partnership, corporation, association, or any foreign or domestic entity as defined in
section 7-90-102, C.R.S.
(4) Insurance means any of the lines of authority set forth in section 10-2-407 (1).
(5) Insurance agency or business entity means a corporation, partnership,
association, or foreign or domestic entity as defined in section 7-90-102, C.R.S., or
other legal entity that transacts the business of insurance.
(6) Insurance producer or producer, except as otherwise provided in
section 10-2-105, means:
(a) A person who solicits, negotiates, effects, procures, delivers, renews,
continues, or binds:
(I) Policies of insurance for risks residing, located, or to be performed in this
state;
(II) Membership in a prepayment plan as defined in parts 2 and 3 of article 16
of this title; or
(III) Membership enrollment in a health-care plan as defined in part 4 of
article 16 of this title; and
(b) A public adjuster.
(6.5) Insurer means every person engaged as principal, indemnitor, surety,
or contractor in the business of making contracts of insurance.
(7) License means a document issued by the commissioner that authorizes
a person to act as an insurance producer for the lines of authority, specified in such
document. The license itself does not create any authority, actual, apparent, or
inherent, in the holder to represent or commit an insurance carrier to a binding
agreement.
(7.1) Limited line insurance means those lines of authority other than those
defined in section 10-2-407 (1)(a) to (1)(e) or any other line of insurance that the
commissioner may deem necessary to recognize for the purpose of complying with
section 10-2-502.
(7.3) Limited line producer means a person authorized by the commissioner
to sell, solicit, or negotiate limited lines of insurance.
(7.5) Limited lines credit insurance includes credit life, credit disability,
credit property, credit unemployment, involuntary unemployment, mortgage life,
mortgage guaranty, mortgage disability, guaranteed automobile protection
insurance, and any other form of insurance offered in connection with an extension
of credit that is limited to partially or wholly extinguishing the insured credit
obligation that the commissioner determines should be designated a form of limited
line credit insurance.
(7.7) Limited lines credit insurance producer means a person who sells,
solicits, or negotiates one or more forms of limited lines credit insurance coverage
to individuals through a master, corporate, group, or individual policy.
(7.9) Negotiate means the act of conferring directly with or offering advice
directly to a purchaser or prospective purchaser of a particular contract of
insurance concerning any of the substantive benefits, terms, or conditions of the
contract, if the person engaged in that act either sells insurance or obtains
insurance from insurers for purchasers or acts as a public adjuster.
(8) Person includes any individual or a business entity.
(8.5) Public adjuster means any person who, for compensation or any other
thing of value on behalf of the insured:
(a) Acts or aids, solely in relation to first-party claims arising under insurance
contracts that insure the real or personal property or allied lines of the insured, on
behalf of an insured in negotiating for, or effecting, the settlement of a claim for
loss or damage covered by an insurance contract;
(b) Advertises for employment as a public adjuster of insurance claims or
solicits business or represents himself or herself to the public as a public adjuster
of first-party insurance claims for losses or damages arising out of policies of
insurance that insure real or personal property or allied lines; or
(c) Directly or indirectly solicits business, investigates or adjusts losses, or
advises an insured about first-party claims for losses or damages arising out of
policies of insurance that insure real or personal property or allied lines for another
person engaged in the business of adjusting losses or damages covered by an
insurance policy for the insured.
(9) (Deleted by amendment, L. 2001, p. 1190, � 3, effective January 1, 2002.)
(10) Sell means to exchange a contract of insurance by any means, for
money or its equivalent, on behalf of an insurance company.
(11) Solicit means attempting to sell insurance, asking or urging a person to
apply for a particular kind of insurance from a particular company, or asking or
urging a person to use the services of, or services in connection with activities as, a
public adjuster.
(12) Terminate means the cancellation of the relationship between an
insurance producer and the insurer or the termination of a producer's authority to
transact insurance.
(13) Uniform business entity application means the current version of the
national association of insurance commissioners' uniform business entity
application for resident and nonresident business entities.
(14) Uniform application means the current version of the national
association of insurance commissioners' uniform application for resident and
nonresident producer licensing.