§ 27-8-12-18 — Insurance producer commissions

Indiana § 27-8-12-18

• Jurisdiction: Indiana
• Title 27: INSURANCE
• Art. 8: LIFE, ACCIDENT, AND HEALTH
• Ch. 12: Long Term Care Insurance

Text

(a) An insurer or other entity that provides
a commission to an insurance producer or other representative for the
sale of a long term care insurance policy may not violate the following
conditions:
(1) The insurer or other entity shall, for at least six (6) years, pay
to the insurance producer or other representative an annual
commission for selling or servicing the policy.
(2) The amount of commission provided in years after the first
year must be determined based on the premium charged for the
long term care insurance policy during the first year.
(b) If an existing long term care policy or certificate is replaced, the
insurer or other entity that issues the replacement policy may not
provide, and its insurance producer may not accept, a commission in
an amount greater than the renewal commission payable by the
replacing insurer on renewal policies, unless the benefits of the
replacement policy or certificate are clearly and substantially greater
than the benefits under the replaced policy or certificate.
(c) This section does not apply to the following:
(1) Life insurance policies and certificates.
(2) A policy or certificate that is sponsored by an employer for the
benefit of:
(A) the employer's employees; or
(B) the employer's employees and their dependents.

Legislative History

As added by P.L.114-1991, SEC.20. Amended by P.L.178-2003, SEC.67; P.L.173-2007, SEC.29; P.L.115-2011, SEC.10.